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The place & distribution
Systemof multi-circuit distribution
A company createstwo circuitsofdistributionor more to obtainone or several segments.
Disintermediation
Replacementoftraditional resellersby newmiddle-mantypesorby directsales.
2
The place & distribution> Hybrids
3
ChoiceMarket Company
Product
The place & distribution> Context
Intensive distribution
The goalis to maximize productcoverage which,therefore,increasessales.The accessibilityofthe
product stimulatessales.Thisstrategy appliesto lowvalue productsthat require no researchand
price comparison.E.g. bubble gum at the convenience store
Selective distribution
Whenthe manufacturerislookingfora dealerina specificterritory.The choice ofthe distributor
and hiscommitmentto respectthe brand image and itsvaluesbecome a selective process.E.g.
Diesel
Exclusive distribution
The high value orindustrial productthat needsresearchanda thoughtfulpurchase decisionfrom
the customer requiresanexclusive dealer,especiallywhenthe dealerinveststime andmoney.But
this model isalso implementedasa franchise.
4
The price & distribution> Types of distribution
5
Thank you
Richard Saad
rsaad@become-remarkable.com
514-690-7178

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Distribution

  • 1. 1 The place & distribution
  • 2. Systemof multi-circuit distribution A company createstwo circuitsofdistributionor more to obtainone or several segments. Disintermediation Replacementoftraditional resellersby newmiddle-mantypesorby directsales. 2 The place & distribution> Hybrids
  • 4. Intensive distribution The goalis to maximize productcoverage which,therefore,increasessales.The accessibilityofthe product stimulatessales.Thisstrategy appliesto lowvalue productsthat require no researchand price comparison.E.g. bubble gum at the convenience store Selective distribution Whenthe manufacturerislookingfora dealerina specificterritory.The choice ofthe distributor and hiscommitmentto respectthe brand image and itsvaluesbecome a selective process.E.g. Diesel Exclusive distribution The high value orindustrial productthat needsresearchanda thoughtfulpurchase decisionfrom the customer requiresanexclusive dealer,especiallywhenthe dealerinveststime andmoney.But this model isalso implementedasa franchise. 4 The price & distribution> Types of distribution