Strategic Importance of Distribution in Marketing
Pages: 3 (595 words) /
Published: Nov 2nd, 2008
While some businesses can handle all factors and aspects of its own distribution, others require some level of distribution partnership. Choosing the right distribution channel to move products or services to the end user is a long-term strategic decision and varies according to the product, service and market. When choosing a distribution strategy, a marketer must determine what value a channel member adds to the firm’s products and/or service. A well-chosen channel is necessary because it constitutes a significant competitive advantage and is designed to save on cost, improve and increase efficiency, provide routinization of transactions, provide a larger customer base, and allows businesses to focus on other aspects of the organization. It is important that the channel also provide businesses with strategic promotion, brand strategy, and provide convenience for customers while bridging the gap between the assortment of goods and services generated by producers and those in demand from consumers. Poorly chosen channels can have long-term consequences and can ultimately lead to a superior product or services failure in the market.
Having access to good distribution is fundamental to good marketing. Within the distribution channel is the ability to use intermediaries to strategically market a product or service. Business operators need to be able to deliver their products and/or services to the