Different types of channel of distribution are as follows: Manufacturers and consumers are two major components of the market. Three Major Types of Distribution Strategies. Include your distribution channel partners in your company’s marketing strategy. When a company develops its marketing strategy, it determines which channels it wants to use. Different Approaches to Export Channel Strategy 5. They may sell through a specific retail location or own all elements in its distribution channel. Distribution Channel: A distribution channel is a chain of businesses or intermediaries through which a good or service passes until it reaches the end consumer. Alongside choosing the specific distribution channel, it is important to identify the specific method of distributing the product. You may see terms like dual distribution, reverse distribution, extensive distribution, three-level channels and so on. Types of Distribution Channels. It represents the level of international availability selected for a particular product by the marketer; the level of intensity chosen will depend upon factor such as the production capacity, the size of the target market, … Read our definition to learn more about why a channel strategy is important for product sellers. When you sell straight to the customer, you use a direct marketing channel. ADVERTISEMENTS: Some of the important types of distribution in international market are 1. A channel strategy considers factors such as customer habits, competitive environment and constraints such as costs and capabilities. In this article we will discuss about:- 1. Thus, there is a lot of importance given to making proper distribution strategies for a company. If you are currently using one or the other from of distribution strategy, consider whether you can incorporate the other into your marketing … Companies can choose to use a single channel or multiple channel strategy. These brands use multiple distribution channels that include various distributors and retailers to make their products available across the entire world. This is also the reason why Place (Which majorly consists of distribution) is one of the major 4P’s of the marketing mix.Place is considered in case of products as well as services.. Distribution strategy is mainly decided by keeping the top management in loop because it affects overall operations. B2B and B2C companies can sell through a single distribution channel or through multiple channels that may include: For some small businesses, this is a simple task, based on the fact that you might have only one channel, such as a restaurant business with only one location. The only exception is direct distribution. Distribution Channels
A set of interdependent organizations (intermediaries) involved in the process of making a product or service available for use or consumption.
Channel decisions
affect other marketing decisions
involve long-term commitments