CHANNEL

1. Need and Importance of Channel

1.1. Option 1 – Direct Marketing without middlemen 0 Level

1.2. Option 2 – Indirect Marketing Using Middlemen 1 to n Level Chapter 1

2. Why channels are needed?

2.1. Producer can concentrate on core activity

2.2. Bridging the gap between the customers, and producers

2.3. Reduce the number of transactions and thereby transaction cost

2.4. Brings buyers and sellers together

2.5. Make services/products available to customers at convenient time

2.6. Producers cannot deal directly with customers

2.7. Awareness creation

2.8. More profitable sales

3. Factors influencing the choiceof the Channel of Distribution

3.1. Nature o product

3.2. Nature of consumer

3.3. Middlemen considerations

3.4. Company considerations

3.5. Market considerations

3.6. Competitors’ channel

4. Definition

4.1. Any firms or individuals who participate in the flow of goods and services as they move from producer to an ultimate user

5. Functions of Marketing Channels

5.1. Facilitation

5.2. Information

5.3. Promotion

5.4. Negotiation

5.5. Transfer of the title and ownership

5.6. Holding inventory and sharing risk

5.7. Finance

5.8. Proving pre-sale and post –sales services

5.9. Change Agents

5.10. Warehousing and transportation

5.11. Market feed back and intelligence

6. Non-conventional Channels

6.1. Door-to-Door

6.2. Consumer Co-operatives

6.3. Automatic Vending Machines

6.4. Vending Kiosk

6.5. Catalogue Marketing

6.6. Company Sponsored Selling

7. Channel Structure

7.1. 1 to n level One Level Indirect Marketing

7.1.1. Manufacturer

7.1.1.1. Middlemen

7.1.1.1.1. Consumers

7.2. One Level

7.2.1. Manufacturer

7.2.1.1. Dealer

7.2.1.1.1. Consumers

7.3. Two Level

7.3.1. Manufacturer

7.3.1.1. Wholesaler

7.3.1.1.1. Retailer