Marketing Mix - Place

Key Words
1. Distribution Channel
  1. Describes how the ownership of a product moves from the producer to customer
2. Distribution Outlet
  1. Where the product is sold
3. Industrial Goods
  1. Sold from one business to another, used in the final product
Distribution
1. Zero Level Channel
  1. Producer -> Consumer
2. 1 Level Channel
  1. Manufacturer -> retailer -> consumer
3. 2 Level Channel
  1. Manufacturer -> Wholesaler -> Retailer -> Consumer
Choosing A Distribution Channel
1. Access to markets
  1. Could distribute directly
  2. Heinz have to use wholesalers and retailers
2. Desired Degree of Control
  1. Different businesses can change the prices
  2. Directly = full control
3. Costs
  1. Cheaper to sell directly
  2. Intermediaries like to add profit
Getting the right outlet
1. Layout
2. Decor
3. Staff
4. Changing rooms
5. Displays
6. For speciality items
7. Ikea
  1. Out of town
  2. Lots of parking
8. Supermarkets
  1. Width of ailses
  2. Aroma
  3. Fresh veg
  4. Basic = back
Distribution Targets
1. May be sales they hope to achieve
2. Convince intermediaries
  1. Job of sales force

Resource summary

	Created by xoliviamae over 10 years ago