Chapter 4 商务英语.ppt

Slides by X. Zhang Topics Covered Introduction to Channels of Distribution Intermediaries/Selling Methods Why are Marketing Intermediaries Used? Choosing the Right Distribution Channel Introduction Distribution is all about getting your product/service to the right people at the right time with special consideration for profit and effectiveness. When a product/service is purchased by a consumer, it may have been bought directly from the business, or it may have been through a number of intermediaries (wholesaler, retailer, etc): these are known as distribution channels. Distribution channels are influenced largely by the type and size of the business. Channel decisions are among the most important decisions that management faces and will directly affect every other marketing decision. Introduction Definitions Distribution Physically moving products and establishing intermediary relationships to support such movement. Channel of Distribution The system of relationships established to guide the movement of a product. Types of Distribution Channels Direct channel A distribution system without intermediaries Indirect channel A distribution system with one or more intermediaries. Dual distribution A distribution system with more than one channel. Introduction Functions of a Distribution Channel Distribution Channel Functions A “Systems View” of Marketing Channels Alternative Channels of Distribution Alternative Channels of Distribution In the figure above, the first column is called a direct-marketing channel, since it has no intermediary levels. In this case the manufacturer sells directly to customers. An example of a direct marketing channel would be a factory outlet store. Many holiday companies also market direct to consumers, bypassing a traditional retail intermediary - the travel agent. Alternative Channels of Distribution The remaining channels are indirect-marketing channels. The second column contains one intermediary. In consumer markets, this is typ