Wednesday, March 27, 2013

Channels of Distribution

In chapter 13 this week, it focuses on the discussion of marketing channels; who is involved in them, the different types of channels, why a channel of distribution is important, and alternatives channels of distribution.

The chapter focuses on the four main different channels of distribution: the direct channel, the retailer channel, the wholesaler channel, and the agent/broker channel. Each of these channels of distribution work the following ways.


Direct Channel

Producer-------------------------------------------------------------------------------------------Consumer

Retailer Channel

Producer----------------------------------------------------------------------Retailers--------Consumer

Wholesaler Channel

Producer---------------------------------------Wholesalers-------------Retailers-------Consumers

Agent/Broker Channel

Producer----------Agents/Brokers--------Wholesalers------------Retailers-------Consumers



Each of these channels of distribution are clearly different, and cary depending on what product or service, or rather what company, they are working with or a part of. However, do you feel one channel of distribution could be more beneficial to a company, or do you feel it will always vary depending on the company, product, or service?

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