channels of distribution

Examples of channels of distribution in the following topics:

• Channels for Industrial Goods

  • A channel for industrial goods is a set of interdependent organizations in the process of making products/services available for use.
  • With the growth of specialization, particularly industrial specialization, and with improvements in methods of transportation and communication, channels of distribution became very complex.
  • This definition implies several important characteristics of the channel.
  • First, the channel consists of institutions, some under the control of the producer and some outside the producer's control.
  • This channel of distribution is commonly used to market accessory equipment, such as typewriters or operating supplies which include typewriting papers, pens, and office materials.

• Channels for Consumer Goods

  • Marketing channels are sets of interdependent organizations involved in making a product or service available for use or consumption.
  • With the growth of specialization, particularly industrial specialization, and with improvements in methods of transportation and communication, channels of distribution have become very complex.
  • First, the channel consists of institutions, some under the control of the producer and some outside the producer's control.
  • Finally, channels should have certain distribution objectives guiding their activities.
  • The structure and management of the marketing channel is thus in part a function of a firm's distribution objective.

• Activities in Marketing Departments

  • Marketing departments have a huge range of responsibility including research, planning, development, promotion, physical distribution, etc.
  • Assembling is the collection of specific type of products from different buyers under a common roof.
  • Grading refers to the process of classification of products into different categories on the basis of quality, size, etc.
  • Physical Distribution: Is concerned with making the goods and services available at the right place.
  • Channels of Distribution are middleman or intermediaries like wholesaler, agents, and retailers that facilitate the movement of goods and services and their title between the point of production and the point of consumption, by performing various marketing activities.

• Growth through buying out other companies

  • First of all, just like large firms, small firms can try to obtain synergies by means of complementary resources from bought-out firms.
  • Sales growth as a result of buying out firms in the same industry could be rendered more efficient by combined resources and the acquisition of competent employees.
  • Cost advantages can arise either through buying or building up cheaper distribution channels (forward integration), or cheap inputs (backward integration).
  • Advantages of differentiation can be obtained by distribution channels or inputs which stand out from those of competitors (cf.
  • The acquisition of other firms can also be a chance to gain technological knowhow, or even new technologies in the form of patents.

• Distribution and logistics

  • Distribution channels are the means by which goods are distributed from the manufacturer to the end user.
  • Logistics, or physical distribution management, is concerned with the planning, implementing, and control of physical flows of materials and final goods from points of origin to points of use to meet customer needs at a profit.
  • The first link is the seller's headquarters organization, which is responsible for supervising the channel, and acts as part of the channel itself.
  • Channels between countries represent the second link.
  • Finally, the third link is the channel structure (logistics) within countries, which distributes the products from their point of entry to the final consumer.

• Nonstore Retailers

  • Non-store retailing is the selling of goods and services outside the confines of a retail facility.
  • Non-store retailing is the selling of goods and services outside the confines of a retail facility.
  • It is a generic term describing retailing taking place outside of shops and stores (i.e., off the premises of fixed retail locations and of markets stands).
  • The non-store distribution channel can be divided into direct selling (off-premises sales) and distance selling, the latter including all forms of electronic commerce.
  • Electronic commerce includes online shopping, Internet trading platforms, travel portals, global distribution systems, and teleshopping.

• Brand Management Strategies

  • Brand management strategies are constantly evolving, and the various potential distribution channels between organizations and their consumers is also rapidly changing.
  • The rise of social networks is an incredible opportunity for meaningful engagement with current and prospective customers, and free outlets like Youtube enable viral distribution of assets for virtually no cost (indeed, sometime for a profit!).
  • There are many approaches to this, both traditional and modern, and understanding both the strategy and the potential tactical channels available is integral to making smart branding decisions:
  • Social media has changed the landscape for branding, and at this point encompasses a critical and necessary series of channels to leverage when pursuing any of the above branding strategies.
  • Distributing messaging and displaying the core values of the organization is both easier and more difficult than ever.

• Materials Handling

  • Materials handling is the movement, storage, control, and protection of materials during their manufacturing, distribution, consumption, and disposal.
  • Material Handling is the movement, storage, control and protection of materials, goods, and products throughout the process of manufacturing, distribution, consumption, and disposal.
  • This trade channel is necessary when agents cannot directly sell to industrial users.
  • The material handling industry manufactures and distributes the equipment and services required to implement material handling systems.
  • Due to the automated nature of the whole production process, the MHS must respond in concert with timeliness for all requirements of the processes and systems.

• Marketing Intermediaries

  • Product distribution is the way an organization moves a product into the hands of their consumers.
  • Most organizations focus on the design and production of the product or service they sell, and not on the distribution channels that connect them to the users themselves.
  • This could include distribution, marketing, sales, retail, e-commerce, web development, branding, packaging, storing, and a variety of other functions.
  • Some of the most common intermediaries are related to product distribution.
  • Ad agencies specialize in building communities and brands, utilizing a wide variety of paid and organic channels.

• Formal Communications

  • The American political scientist and communication theorist Harold Lasswell popularized the concept of the communication channel in his 1948 paper The Communication of Ideas.
  • The "channel" describes the means by which the information is communicated.
  • Print forms of communication are widely used as a form of formal communication.
  • Examples include a variety of types of meetings, including a "cascade" of team meetings or briefings, conferences, site visits, consultation forums, "brown bag" lunches, round-table discussions, and "town meetings. "
  • Regardless of the channel used, formal communications are transmitted by authorized senders over official channels and are received by individuals who need to react, or know the content of these messages.