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Distribution mix (mm)
The document discusses distribution channels and physical distribution. It describes distribution as making products available for consumers through direct or indirect means. Effective distribution relies on inventory, warehousing, communications, packaging, and transport. Distribution channels can be short, involving just manufacturer and consumer, or longer with intermediaries like wholesalers and retailers. Physical distribution involves planning and controlling the flow of goods from origin to consumption to meet customer needs.
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Distribution mix (mm)
- 2. DISTRIBUTION MIX DISTRIBUTION CHANNEL PHYSICAL DISTRIBUTION
- 3. Distribution is theprocess of making a product or service available for use or consumption by a consumer or business user, using direct or indirect means with intermediaries.
- 4. Combination offive major components of effective distribution of goods, namely (1) inventory, (2) warehousing, (3) communications, (4) packaging, and (5) transport.
- 5. ( A distribution channelcan be as short as a direct transaction from the vendor to the consumer, or may include several interconnected intermediaries
- 6. • Manufacturer • Wholesaler •Retailer • Consumer
- 8. Also knownas direct marketing channel Door-to- door, company outlets, catalogue, TV & internet Best deals Exclusive channel MANUFACTURER CONSUMER
- 9. One intermediaryin the form of RETAILER Used for products where value is high & volume is low Mostly exclusive Automobiles MANUFACTURER CONSUMER RETAILER
- 10. Two intermediariesin the form of RETAILER & WHOLESALER Each has a defined role Not exclusive Durables MANUFACTURER CONSUMER RETAILER WHOLESALER
- 11. Three intermediaries High volume, low value products High frequency of purchase Best Reach FMCG MANUFACTURER CONSUMER RETAILER WHOLESALER DISTRIBUTOR
- 12. The process of planning,implementing, and controlling the efficient, effective flow and storage of goods, services, and related information from point of origin to point of consumption for the purpose of conforming to customer's requirements.
- 13. It includesall those activities concerned with the efficient movement of goods from the place of production to the place of consumption It involves the handling of raw material fabricates parts, supplies & finished goods from producers to consumers via intermediaries
- 14. Attain customersatisfaction Profit maximization Getting the right product, at the right place, at the right time, in right quantity, at the right customer at the lower cost Proper co-ordination of distribution activities
- 15. 5. Touse powerful tool of competitive mktg. 6. To provide better service of lower prices 7. To increase profit margin
- 16. Supplier Manufacturer Intermediaries Wholesalers, Retailers Agents – Selling, Manufacturing, C & F etc.
- 17. Planning theoverall physical distribution system In bound transport Receiving – Raw material, orders In plant warehousing Inventory management
- 18. Order processing Packaging Dispatch of goods Field warehousing Customer service