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S E G M E N T A T I O N & D I S T R I B U T I O N
W R I S T WA T C H
MARKETING CHANNELS
GROUP MEMBERS:
MBPE-F14-001 Mafia Noor
MBPE-F14-007 Hamid Raza
MBPE-F14-024 Soban Sheikh
MBPE-F14-028 Aizaz Shafiq
MBPE-F1...
WRIST WATCH MARKET SEGMENTATION
1. Only 20% of the Pakistanies own Wrist watch
2. 70% of the vast population fall in mass ...
Physical
Possession
Ownership
Promotion
Negotiation
Financing
Risking
Ordering
Payment
Physical
Possession
Ownership
Promo...
EXPECTED PROBLEMS IN DISTRIBUTION
CHANNEL
1. Product Quality
2. Customer Service
3. No proper Information
4. Less Waiting ...
SOD’S TO IMPROVE CHANNEL
EXPERIENCE
1. Bulk Breaking
2. Customer Service
3. Information Provision
4. Waiting Time Service
...
SOD’S TO IMPROVE CHANNEL
EXPERIENCE: TABLE
Channel
Members
Bulk
Breaking
Information
Provision
Customer
Service
Waiting
Ti...
CHANNEL ANALYSIS
• Channel members produce service outputs
• Channel flows are the activities that produce service
outputs...
CHANNEL FLOWS
• The Eight Generic Channel Flows
1. Physical possession
2. Ownership
3. Promotion
4. Negotiation
5. Financi...
EFFICIENCY TEMPLATE
• For analyzing existing channel or designing new channel
• Includes:
• Importance of each channel flo...
THE EFFICIENCY TEMPLATE
WEIGHTS FOR FLOWS: PROPORTIONAL FLOW PERFORMANCE OF
CHANNEL MEMBER:
COSTS
*
BENEFIT
POTENTIAL
(Hig...
TABLE 3. APP3A-1
COMPANY EFFICIENCY TEMPLATE FOR CHANNEL SERVING END-
USERS THROUGH RETAILERS: (UNDISGUISED DATA)
WEIGHTS ...
REFERENCES
www.slide share.net
www.scribd.com
www.google.com/wristwatch
www.facebook.com/mba professional sec(A)
Thank you
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Wrist Watch

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Wrist Watch

  1. 1. S E G M E N T A T I O N & D I S T R I B U T I O N W R I S T WA T C H MARKETING CHANNELS
  2. 2. GROUP MEMBERS: MBPE-F14-001 Mafia Noor MBPE-F14-007 Hamid Raza MBPE-F14-024 Soban Sheikh MBPE-F14-028 Aizaz Shafiq MBPE-F14-040 Rizwan Ayub MBPE-F14-044 Umair Maqbool
  3. 3. WRIST WATCH MARKET SEGMENTATION 1. Only 20% of the Pakistanies own Wrist watch 2. 70% of the vast population fall in mass market segment. 3. Market Split into following Categories: Low end market, Mass Market, Mid Market, Premium Brand 70% 20% 7%3% Segmentation Mass Market Low End Market Mid Market Premium Brand
  4. 4. Physical Possession Ownership Promotion Negotiation Financing Risking Ordering Payment Physical Possession Ownership Promotion Negotiation Financing Risking Ordering Payment Physical Possession Ownership Promotion Negotiation Financing Risking Ordering Payment MARKETING FLOWS IN CHANNELS Producers Official Distributors Retailers Consumers Industrial and Household Commercial Channel Subsystem The arrows above show flows of activity in the channel (e.g. physical possession flows from producers to wholesalers to retailers to consumers).
  5. 5. EXPECTED PROBLEMS IN DISTRIBUTION CHANNEL 1. Product Quality 2. Customer Service 3. No proper Information 4. Less Waiting Time 5. No Travelling
  6. 6. SOD’S TO IMPROVE CHANNEL EXPERIENCE 1. Bulk Breaking 2. Customer Service 3. Information Provision 4. Waiting Time Service 5. Product Variety 6. Spatial Convince
  7. 7. SOD’S TO IMPROVE CHANNEL EXPERIENCE: TABLE Channel Members Bulk Breaking Information Provision Customer Service Waiting Time Service Spatial Convince Product Variety Consumer H H H H H H Retailer H L L L L H Wholesaler L L L L L L
  8. 8. CHANNEL ANALYSIS • Channel members produce service outputs • Channel flows are the activities that produce service outputs • Need to know: • What flows are being performed • By which channel members • At what levels • Enables channel manager to: • Diagnose and remedy shortcomings • Design a new channel or revise an existing channel • Minimize costs • Allocate profits equitably • Avoid channel conflict
  9. 9. CHANNEL FLOWS • The Eight Generic Channel Flows 1. Physical possession 2. Ownership 3. Promotion 4. Negotiation 5. Financing 6. Risking 7. Ordering 8. Payment • Can remove channel members but not channel flows • Redundant flows
  10. 10. EFFICIENCY TEMPLATE • For analyzing existing channel or designing new channel • Includes: • Importance of each channel flow • Involvement of each channel member with each channel flow • Fair allocation of profits among channel members
  11. 11. THE EFFICIENCY TEMPLATE WEIGHTS FOR FLOWS: PROPORTIONAL FLOW PERFORMANCE OF CHANNEL MEMBER: COSTS * BENEFIT POTENTIAL (High, Medium, or Low)* FINAL WEIGHT* 1 2 3 4 (end-user) TOTAL PHYSICAL POSSESSION* * 100 OWNERSHIP 100 PROMOTION 100 NEGOTIATION 100 FINANCING 100 RISKING 100 ORDERING 100 PAYMENT 100 TOTAL 100 N/A 100 N/A N/A N/A N/A N/A NORMATIVE PROFIT SHARE*** N/A N/A N/A 100 * Entries in column must add up to 100 points. ** Entries across row (sum of proportional flow performance of channel members 1 through 4) for each channel member must add up to 100 points. *** Normative profit share of channel member i is calculated as: (final weight, physical possession)*(channel member i's proportional flow performance of physical possession) + … + (final weight, payment)*(channel member i's proportional flow performance of payment). Entries across row (sum of normative profit shares for channel members 1 through 4) must add up to 100 points.
  12. 12. TABLE 3. APP3A-1 COMPANY EFFICIENCY TEMPLATE FOR CHANNEL SERVING END- USERS THROUGH RETAILERS: (UNDISGUISED DATA) WEIGHTS FOR FLOWS: PROPORTIONAL FLOW PERFORMANCE OF CHANNEL MEMBER: COSTS BENEFIT POTENTIAL (High, Medium, or Low) FINAL WEIGHT Mfgr. Retailer End-user (Contractors) TOTAL PHYSICAL POSSESSION 30 High 35 30 30 40 100 OWNERSHIP 12 Medium 15 30 40 30 100 PROMOTION 10 Low 8 20 80 0 100 NEGOTIATION 5 Low/Medium 4 20 60 20 100 FINANCING 25 Medium 29 30 30 40 100 RISKING 5 Low 2 30 50 20 100 ORDERING 6 Low 3 20 60 20 100 PAYMENT 7 Low 4 20 60 20 100 TOTAL 100 N/A 100 N/A N/A N/A N/A NORMATIVE PROFIT SHARE N/A N/A N/A 28% 39% 33%* 100
  13. 13. REFERENCES www.slide share.net www.scribd.com www.google.com/wristwatch www.facebook.com/mba professional sec(A)
  14. 14. Thank you

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