Kelley Fall 2001 Marketing Management1 Distribution Objectives and Related Marketing Strategies Account Development Distributor Support Increase availability.

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Presentation transcript:

Kelley Fall 2001 Marketing Management1 Distribution Objectives and Related Marketing Strategies Account Development Distributor Support Increase availability relative to competitors Gain access to new segments Increase ability to buy Increase inventory Increase consumption rate Reduce competitive opportunities Increase promotional support

Kelley Fall 2001 Marketing Management2 Distribution Objectives and Related Marketing Strategies Account maintenance Account penetration Assure user satisfaction Reduce competitive opportunities Simplification Increase consumption rate and purchase volume Head-to-head competition Complementary product sales

Kelley Fall 2001 Marketing Management3 Power Bases in Distribution Reward Coercive Expert Ability to offer product with low prices, quantity discounts Ability to withdraw product Ability to offer superior or needed technical assistance

Kelley Fall 2001 Marketing Management4 Power Bases in Distribution Referent Legitimate Ability to offer prestige brand name Contractual provision that requires distributor to carry full line

Kelley Fall 2001 Marketing Management5 Results-Oriented Measures of Evaluating Distributors Sales volume Sales volume as a percentage of quota Sales profitability Number of new accounts Number of stockouts Percentage volume increase in key accounts Number of customer complaints Number of lost accounts

Kelley Fall 2001 Marketing Management6 Effort-Oriented Measures of Evaluating Distributors Number of sales calls made Number of checks on reseller stocks Number of inquires followed up Number of demonstrations completed