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Place (Distribution) WEEK 9 (MARKETING CHANNEL (most channels have…
Place (Distribution)
WEEK 9
MARKETING CHANNEL
part of
SUPPLY CHAIN
supply chain
-
all activities associated
with the flow and transformation of products
from raw materials through delivery to end customer
PRODUCTION
is
'place'
in marketing mix
marketing channel
-
aggregate of all individuals and organisations that direct the flow of products from producers to customers
operations management
-
total set of managerial activities used by organisation to distribute products in the right quantities to right locations at right time
most channels have
marketing intermediaries
intermediaries
-
the middlemen between producers and customers in a marketing channel linking producers to consumers via contractual arrangements or through purchase or resale of products
activities performed
by intermediaries
marketing information
marketing managment
facilitating exchanges
promotion
price
physical distribution
retailers
purchase products and resell them to the end consumers
wholesalers
buy and resell products to other wholesalers, retailers and to industrial customers
create utility
time
having products available when the customer wants them
place
making products available in locations where customers wish to purchase them
possession
ownership that give customers the right to use the product
form
assembling, preparing or refining product to suit individual customer needs
facilitate exchange efficiencies
TYPES OF MARKETING CHANNELS
direct marketing channels
indirect marketing channel
multiple marketing channel
hybrid marketing channel
PHYSICAL DISTRIBUTION
IN SUPPLY-CHAIN
MANAGEMENT AND
MARKETING STRATEGIES
order
processing
receipt and transmission of sales order order info
inventory
management
developing and maintaining adequate assortments of products to meet customer needs
materials handling
physical handling of tangible goods, supplies and resources
warehousing
design and operation of facilities for storing and moving goods
transportation
movement of products from where they are made to intermediaries and end users
outsourcing
contracting physical distribution tasks to third parties who do not have managerial authority in channel
DIRECT
MARKETING
catalogue marketing
direct response marketing
telemarketing
television home shopping
online shopping
direct selling
physical
distribution
activities used to move products from producers to consumers and end users
TYPES OF
RETAIL STORES
general
merchandise
retailer
warehouse club
hypermarket
convenience store
department store
discount store
supermarket
warehouse showroom
specialty retailer
category killer
off-price retailer
STRATEGIC ISSUES
IN MARKETING CHANNELS
SELECTING MARKETING
CHANNELS
customer characteristics
product attributes
type of organisation
competition
environmental forces
characteristics of intermediates
CHANNEL LEADERSHIP,
COOPERATION AND
CONFLICT
channel leadership
channel cooperation
channel conflict
channel integration
vertical channel integration
horizontal channel integration
DISTRIBUTION
decisions and activities that make products available to customers when and where they want to purchase or access them
TYPES OF
WHOLESALERS
merchant wholesalers
full-service wholesalers
limited-service wholesalers
agents and brokers
(functional middlemen)
agents
brokers
manufacturer's sales
branches and offices
sales branches
sales offices
STRATEGIC
ISSUES
IN RETAILING
location
store image
category
management