Motivating the channel members Week 7 Instructor : Jungwan Lee

What is channel management?..the administration of existing channels to serve the cooperation of channel members in achieving the firm ’ s distribution objectives. Motivation..refers to the actions taken by the manufacturer to foster strong channel member cooperation in implementing the manufacturer ’ s distribution objectives.

Motivation management in the distribution channel Finding out the needs and problems of channel members Offering support to the channel members that is consistent with their needs and problems Providing leadership through the effective use of power

Learning approaches of the needs and problems of channel members Research studies of channel members Research studies by outside parties Marketing channel audits Distributor advisory councils

Support programs to channel members Cooperative Provide incentives for getting extra effort from channel members in the promotion of the products Partnership or strategic alliance A continuing and mutually supportive relationship. Ex) EDI Distribution programming A comprehensive set of policies for the promotion of a product through the channel. The development of a planned, professionally managed channel.

Challenges to the channel manager The looseness of the organization of many channel systems A proclivity by channel members to avoid central direction Lack of single ownership No clear demarcation of a superior- subordinate relationship