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The Marketing Mix - distribution channels - Coggle Diagram
The Marketing Mix - distribution channels
Distribution channels - enable organisation to offer its products to customers as a 'value delivery network'
other functions chanel members may perform
infomation
promotion
contact
matching
negotiation
financing
risk taking
traditional distribution channels - manufacturer to seller - some getting longer and some shorter
can cause conflict between actors - could damage effectiveness of the channel
vertical marketing system - channel members act as a unified system under leadership of one channel member
owns other memebrs - corporate
contractual arrangements -- contractual vms
exercising control over them - administered VMS
collaborative distribution
channels can place horizontally - orgs at same level collaborate to pursue a marketing opportunity
several types
backhaul - sharing opposite route
co-loading - sharing capacity in the same direction
continuous move routing - replacing separate shipments with multistep trips
physical internet - shared network based on interconnected logistic system of share facilities for transporting
multiple distribution channels
serve different channels or to offer multiple channel options or offer multiple channel options through to buy
orgs channel choices and objectives influenced by
level of service they wish to provide
size of company
type of product
competitors
environmental factors
need to manage conflict between each other and maintain good relationsips
conflicts arrise when - expectations are breached - when one individuals interests breaches another
or miscommunication
can improve performance of channel by - placing policies to agree roles and responsibilities
exclusive distribution - manafacturer only permits its distributors to sell its product - sales territory arrangements and tying arrangments
omni - channel
have to be ready to create all channels - lines between channels are burring