The Distribution Channel

The Distribution Channel

  • Submitted By: dhezz1014
  • Date Submitted: 10/22/2009 9:14 PM
  • Category: English
  • Words: 2284
  • Page: 10
  • Views: 1396


Objectives of the presentation:
1. Understand the roles of retailers in the marketing channel
2. Describe the major types and marketing decisions of retailers

The Distribution Channel.

Following is a simplified model of the flow of products from manufacturer to ultimate or end-user.


In reality, however, the flow of goods can be rather complex. There can be some looping or backtracking, with goods flowing from one wholesaler to another, before reaching the retail level. The two major intermediary channels are wholesaling and retailing

- Retailing is includes all activities involved in selling goods or services directly to final consumers for their personal, non-business use. Many institutions – manufacturers, wholesalers, and retailers – do retailing. But most retailing is done by retailers.

- Retailers refer to business whose sales come primary from retailing.

The main role of retailing is to bring the product or service to the ultimate consumer. The manner of selling and the place where the selling takes place do not matter. Retailing can also be classified into Store Retailing and Non-store Retailing. As the name implies, store retailing is the type of retail business that has a store while non-store retailing conducts transaction without a store. Although most retailing is done in retail stores, in recent years non-store retailing has been growing much faster than has store retailing.

Major types of Store Retailers:

1. Specialty store
Specialty stores carry a narrow product line with a deep assortment within that line: apparel stores, sporting-goods stores, furniture stores, florist, and book stores. Specialty stores ca be subclassified by the degree of narrowness in their product line. A clothing store would be a single-line store; a men’s clothing store would be a limited-line store; and a men’s custom-shirt store would be a superspecialty stores. (ex. Healthy Options, The...

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