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MindMap Gallery Distribution strategy knowledge summary

Distribution strategy knowledge summary

Summary of marketing knowledge points for the junior college-to-undergraduate examination. The content of distribution strategy includes: distribution channel model, distribution channel decision-making, middlemen, and product entity allocation.

Edited at 2020-11-14 10:14:59

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Distribution strategy knowledge summary

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Outline

11Distribution Strategy

distribution channel model

Or all commercial organizations and individuals that acquire ownership during the user transfer process. The starting point of the distribution channel is the producer, the end point is the consumer and user, and the middle: wholesalers, retailers, and business service institutions.

distribution channel model

Direct channels, first-tier, second-tier, and third-tier channels.

The more intermediate links a product circulates through, the longer the channel will be, and vice versa. The number of distribution points at the same level is a matter of width. The more distribution points, the wider, and vice versa.

Distribution channel decisions

Factors affecting distribution channels

product factors

Unit value, size and weight, style, perishability and perishability, technology and sales services, standard products and special products, new products developed

market factors

The quantity of goods, the number of customers, market regionality, consumer purchasing habits, seasonality of goods, competitive goods

Enterprise's own factors

Goodwill and funds, management capabilities and experience, possible services provided, other marketing strategies

Distribution channel design

Determine channel design

Determine the number of middlemen and determine the width of channels

Depends on product characteristics, market capacity, market demand

Alternative forms

intensive distribution

exclusive distribution

selective distribution

Compound distribution

Define the rights and responsibilities of channel members

Evaluation of channel design options

The economic benefits of the channel, the company’s control over the channel, and the adaptability of the channel

Branch branch channel management

Select channel members, criteria include

The strength of the intermediary, business goals and scope, attitude and quality of business personnel, future sales potential, market coverage, customer types, etc.

Motivating channel personnel

Coordinate production and marketing relations

There are three types of relationships between manufacturers and distributors (cooperation, partnership, and distribution planning)

Evaluate

distribution channel organization

Tradition: It is composed of loosely organized manufacturers, wholesalers, and retailers, each working independently and often having conflicts.

Vertical marketing system: a whole composed of manufacturers, wholesalers, and retailers. A leader (depending on who has the most ability)

There are three main types of vertical marketing

All aspects of manufacturing and distribution are owned by one party

Contract Vertical Marketing System

Manage vertical marketing system

middleman

The nature and difference between wholesale and retail

Retail: Economic activity in which goods or services are sold to final consumers for daily consumption

Wholesale: The economic activity of buying and selling goods or services for the purpose of further processing. Those who engage in wholesale transactions are wholesalers.

The difference between the two

Different service objects, different statuses in the circulation process, different transaction quantities and frequencies, and different business outlets settings

Types of wholesalers

Merchant wholesalers, brokers and agents, manufacturers' distribution departments and offices, other wholesalers

Type of retailer

Product line length and depth

Specialty stores, department stores, supermarkets, convenience stores, mixed stores, service industries

relative importance of price

Discount stores, warehouse stores, catalog showrooms

Divided according to different levels of services provided

Self-service, limited service, full service retail

division of ownership relationships

In terms of ownership relationships, 80% of retail stores are independently operated, accounting for 3/2 of all retail sales.

chain store

Voluntary interlocking and cooperative organizations

consumer cooperative

franchise organization

business group

No store retail format

mail marketing

Visit Sales

Telephone letters

automatic machine

Purchase service

Product entity allocation

Meaning of Product Entity Assignment

Physical distribution refers to how to store and transport goods so that they can be delivered according to the buyer's requirements.

Product entity assigned target

Use the lowest cost to transport the goods and deliver them to the location as promised

Planning and management of product entity distribution

The main issues are: ordering process, storage locations, inventory levels, transportation methods