TR Chapter 13 - Chapter 13 Marketing Marketing Channels and...

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Copyright © 2007 by Nelson, a division of Thomson Canada Limited Chapter 13 Chapter 13 Marketing Marketing Channels and Channels and Supply Chain Supply Chain Management Management
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13- Copyright © 2007 by Nelson, a division of Thomson Canada Limited Chapter Objectives Chapter Objectives 1. Describe the types of marketing channels and the roles they play in marketing strategy. 2. Outline the major channel strategy decisions. 3. Describe the concepts of channel management, conflict, and cooperation. 4. Identify and describe the different vertical marketing systems. 5. Explain the roles of logistics and supply-chain management in an overall distribution strategy. 6. Identify the major components of a physical distribution system. 7. Compare the major modes of transportation. 8. Discuss how transportation intermediaries and combined transportation modes can improve physical distribution. 9. Identify and briefly describe the different types of warehousing.
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13- Copyright © 2007 by Nelson, a division of Thomson Canada Limited The Role of Marketing Channels in The Role of Marketing Channels in Marketing Strategy Marketing Strategy Channels provide the means by which the firm moves the goods and services it produces to ultimate users Facilitate the exchange process by cutting the number of contacts necessary Adjust for discrepancies in the market’s assortment of goods and services via sorting Standardize exchange transactions Facilitate searches by both buyers and sellers
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13- Copyright © 2007 by Nelson, a division of Thomson Canada Limited Types of Marketing Channels Types of Marketing Channels Marketing channel Marketing channel : system of marketing institutions that promotes the physical flow of goods and services, along with ownership title, from producers to consumer or business user; also called a distribution channel Marketing intermediary Marketing intermediary : wholesaler or retailer that operates between producers and consumers or business users; also called a middleman Wholesaler Wholesaler : marketing intermediary that takes title to goods and then distributes these goods further; also called a jobber or distributor
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13- Copyright © 2007 by Nelson, a division of Thomson Canada Limited Direct Selling Direct Selling Direct channel Direct channel : marketing channel that moves goods directly from a producer to ultimate user Direct selling Direct selling : strategy designed to establish direct sales contact between producer and final user
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13- Copyright © 2007 by Nelson, a division of Thomson Canada Limited Channels Using Marketing Intermediaries Channels Using Marketing Intermediaries Producer to wholesaler to retailer to consumer Producer to wholesaler to business user Producer to agent to wholesaler to retailer to consumer Producer to agent to wholesaler to business user Producer to agent to business user
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13- Copyright © 2007 by Nelson, a division of Thomson Canada Limited Dual Distribution Dual Distribution : Network that moves
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