Distribution Types of Distribution Distribution Strategies

3.  Define and explain Distribution Strategy and
Distribution Channel.
 State the different types of distribution strategies
used by companies.
 Types of distributions employed by companies.
 List and explain the critical factors that marketers
should take into account when selecting channels
for new products.

4.  A distribution strategy is a plan created by
the manufacturing department of a
company that outlines how the company
aims to make its products available to
retailers, intermediaries and
consumers. The strategy focuses on the
location of the target market, transportation
and the storage of the stock.

6.  A distribution channel is a chain of businesses or
intermediaries through which a good or service
passes until it reaches the end consumer.
 This may include wholesalers, retailers,
distributors and even the internet itself.
 NB: Channels are broken into direct and indirect
forms, with a "direct" channel allowing the
consumer to buy the good from the manufacturer,
and an "indirect" channel allowing the consumer
to buy the good from a wholesaler or retailer.

7.  Direct distribution – is when the company
either directly sends the product to end
customer or when the channel length is very
less.
 NB: A company selling on an e commerce
portal or selling through modern retail is the
form of Direct distribution.

8.  Indirect distribution – is when the product
reaches the end customer through numerous
channels in between.
 For example – The product goes from
manufacturer to C&F, then to the distributor,
then to the retailer and finally to the
customer. Thus the chain is long.