The top 5 criteria are Product Management Ability Take a look at the reputation of the wholesaler. What policies and procedures do they have in place to manage products? Will they cooperate in implementing management suggestions? Facilities and Resources Are the facilities maintained and up to date? What is their training like? These questions can […]
The intermediaries, or distribution partners are also known collectively as resellers. Generally, there are 2 types. Wholesalers (4 categories) Merchant Wholesalers These are independent companies who buy products from factories and sell them to other wholesalers, manufacturers or retailers. Full-Service Merchant Wholesalers provide additional services, such as packaging, advertising and warehousing. Limited-Service Merchant Wholesalers provide […]
A solid distribution strategy can improve service, enhance a company’s reputation, and increase their market share. To this end, a good distribution strategy tries to do 3 things Meet Customer demands Building a quality product with lots of cool features that is sold at a low price means nothing if that item is unavailable when […]
The effectiveness of any marketing/distribution channel depends on the success of the intermediaries. Selecting these intermediaries is often the result of a 4-step process. Create Partner Criteria An intermediary must compliment a manufacturer’s goals, objectives, and strategies. For example, to maintain their prestige status, Ferrari may demand that potential dealerships meet eligibility requirements including minimum […]
Manufacturers typically follow a 5-step process in the creation and management of distribution strategies. Develop the Strategy As with any strategic decision, the company’s goals and mission statement have to be taken into account. Then go back to the target market and think about how to effectively reach that market. Select Distribution Partners Create specific […]
Marketing Channels or Distribution Channels include everyone who has a part in getting finished goods to the consumer. They are comprised of Intermediaries or Distribution Partners who work in concert to get the right amount of product to the right place for consumers to buy it. A given distribution channel may include a Manufacturer, a […]
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