Alternate Distribution Channel Templates
Distribution Channel Types
In selecting a distribution mix, a firm may use any or all of eight distribution channels. The first four are aimed at getting products to consumers, the fifth is for consumers or business customers, and the last three are aimed at getting products to business customers.
- Channel 1 involves direct sales to consumers.
- Channel 2 includes a retailer.
- Channel 3 involves both a retailer and a wholesaler.
- Channel 4 includes an agent or broker who enters the system before the wholesaler and retailer.
- Channel 5 includes only an agent between the producer and the customer.
- Channel 6 which is used extensively for e-commerce, involves a direct sale to an industrial user.
- Channel 7 which is used infrequently, entails selling to business users through wholesalers.
- Channel 8 includes retail superstores that get products from producers or wholesalers (or both) for reselling to business customers.
Distribution strategies include intensive, exclusive, and selective distribution, which differ in the number of products and channel members involved and in the amount of dedicated service performed in or by the channel.
Distribution Channel Management
Distribution channel management is the collective set of activities and operations Business-to-Business firms employ to get their product to market via channel partners as efficiently and effectively as possible. These include but are not limited to the following business impact areas:
- Sales Forecasting
- Channel Marketing Management
- Inventory Management
- Incentive Program Management
- Revenue Recognition
- Financial Compliance and Risk Management
- Data Integrity
Success of the channel depends on how well the above factors are planned, implemented, tracked, and improved.
Sales & Marketing Templates
The collection of sales and marketing templates can also be accessed below:
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