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Distribution Channels, Mía Mongilardi. - Coggle Diagram
Distribution Channels
Direct distribution
Advantages
Low price → less competition.
Receive direct feedback.
Increase costumer’s loyalty.
Disadvantages
Outlet may not be close to potential consumers.
Difficult to send over the internet by post.
Cost of distribution is higher.
Wholesale distribution
Advantages
Accessible for small and large retailers.
Reduce cost.
Disadvantages
Make the product uncompetitive.
Time a product is sold increases.
Increase product damage.
Loses control.
Distribution through agents
Advantages
Agents know the best method of distribution.
Agents know the local market.
Agents know the laws and regulations.
Disadvantages
Can damage brand image.
Price increases.
Retail distribution
Advantages
Wilde distribution.
Customers receive product advice.
Help products brand image.
Disadvantages
Expose the product to competition.
Products are more expensive.
Loses control.
Mía Mongilardi.