Business in Action 6e Bovée/Thill Distribution and Marketing Logistics Chapter 15.

Slides:



Advertisements
Similar presentations
Retailing and Wholesaling
Advertisements

Chapter Eleven Marketing Channels
Managing Retailing, Wholesaling, and Logistics Marketing Management, 13 th ed 16.
Chapter 13 Product and Distribution Strategies Learning Goals Explain marketing’s definition of a product and list the components of the product strategy.
Chapter 15 THE FUTURE OF BUSINESS Gitman & McDaniel 5 th Edition THE FUTURE OF BUSINESS Gitman & McDaniel 5 th Edition Chapter Distributing Products in.
Marketing Channels.
Retailing and Wholesaling
16 Managing Retailing, Wholesaling, and Logistics
MARKETING CHANNELS AND WHOLESALING. Definition of Marketing Channel A Marketing Channel... consists of individuals and firms involved in the process of.
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin MANAGING MARKETING CHANNELS AND WHOLESALING.
Part Six Distribution Decisions
Learning Goals Understand the roles of retailers and wholesalers in the marketing channel. Know the major types of retailers and marketing decisions they.
12-1 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Chapter 12 Pricing, Distributing, and Promoting Products.
Chapter 12 Global Marketing Channels and Physical Distribution
McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All Rights Reserved.
Marketing Channels.
Copyright © 2005 Pearson Education Inc. Retailing and Wholesaling Chapter 14 PowerPoint slides Express version Instructor name Course name School name.
Retailing and Wholesaling Chapter Definitions Retailing Retailing  All activities involved in selling goods or services directly to final.
McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All Rights Reserved.
© Prentice Hall, 2007 Excellence in Business, 3eChapter Distribution Strategies.
Retailing and Wholesaling
Distribution and Marketing Logistics
Distribution Strategies Retailing and Wholesaling
1 13. Product and Distribution Strategies. 2 Topics Channels of distribution Roles of marketing intermediaries in distribution channel Channel & intermediary.
Marketing: Real People, Real Decisions Channel Management, Wholesaling, and Physical Distribution Chapter 14 Lecture Slides Solomon, Stuart, Carson, &
©2007 Prentice Hall 11-1 Distribution and Customer Communication Chapter 11.
Chapter 8 Marketing channels and logistics decisions
McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All Rights Reserved.
MT 219 Marketing Unit Six Marketing Channels Retailing and Wholesaling Note: This seminar will be recorded by the instructor.
Managing Retailing, Wholesaling, and Logistics Marketing Management, 13 th ed 16.
© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin MANAGING MARKETING CHANNELS AND WHOLESALING 15 C HAPTER.
Copyright © 2007 Pearson Education Canada 11-1 Chapter Eleven Marketing Channels and Supply Chain Management with Duane Weaver.
13- 1 Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall i t ’s good and good for you Chapter 7 Retailing and Wholesaling.
Chapter 14 © 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole.
Retailing and Wholesaling Chapter Objectives Understand the roles of retailers and wholesalers in the marketing channel. Understand the roles.
Supply chain management 15 Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall.
15-1 Ch 15 - Place: The Final Frontier  Supply chain: –All of the activities necessary to turn raw materials into a good or service and put it in the.
1 Copyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved Chapter 12 Prepared by Deborah Baker Texas Christian University.
Chapter 10 Marketing Channels and Supply Chain Management.
Principles of Marketing
Marketing Channels and Supply-Chain Management
Chapter 13 Marketing Channels
MGT-519 STRATEGIC MARKETING AAMER SIDDIQI 1. LECTURE 22 2.
Copyright © 2005 Pearson Education Inc. Marketing Channels and Supply Chain Management Chapter 13 PowerPoint slides Express version Instructor name Course.
© Prentice Hall, 2005Excellence in Business, Revised Edition Chapter Distribution Strategies.
Business in Action 6e Bovée/Thill Distribution and Marketing Logistics Chapter 15.
Chapter 14: Supply Systems. Wholesaling  wholesaling involves any sale that is not a retail sale; to other businesses for resale, for use in other products,
Chapter 12 Marketing Channels and Supply Chain Management.
Chapter 13: Marketing Channels Prepared by Amit Shah, Frostburg State University Designed by Eric Brengle, B-books, Ltd. Copyright 2010 by Cengage Learning.
Marketing Channels and Supply Chain Management Chapter 12.
Chapter 13: Marketing Channels 1 Copyright Cengage Learning 2013 All Rights Reserved.
Principles of Marketing
Chapter 12 Distribution and Supply Chain Management Copyright © 2013 Pearson Canada Inc.
Marketing Channel A set of interdependent organizations that eases the transfer of ownership as products move from producer to business user or consumer.
Framework for Marketing Management International Edition 14 Managing Retailing, Wholesaling, and Logistics 1.
© 2016 Cengage Learning. All Rights Reserved. MKTG9 Lamb, Hair, and McDaniel Chapter 14 Marketing Channels.
Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall i t ’s good and good for you Chapter Twelve Marketing Channels: Delivering.
MGT211 Introduction to Business Lecture 30. Agent A person who brings buyers and sellers together. People who are technically sound. Work for both parties.
MT 219 Marketing Unit Six Marketing Channels Retailing and Wholesaling Note: This seminar will be recorded by the instructor.
Chapter Eleven Marketing Channels
INTRODUCTION There are basically four types of marketing channels:
McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All Rights Reserved.
Copyright © 2007 McGraw-Hill Ryerson Limited
Marketing Channels Delivering Customer Value
Delivering Value: Distribution Strategies
Distribution and Marketing Channel
Distribution Strategy
16 Managing Retailing, Wholesaling, and Logistics
Marketing Channels Delivering Customer Value
Marketing Channels Delivering Customer Value
Presentation transcript:

Business in Action 6e Bovée/Thill Distribution and Marketing Logistics Chapter 15

Learning Objectives 1. Explain the role of marketing intermediaries in contemporary business and list the eight primary functions that intermediaries can perform 2. Identify the major types of wholesalers and summarize four trends shaping the future of wholesaling 3. Identify the major retailing formats and summarize six trends shaping the future of retailing Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-2

Learning Objectives (cont.) 4. Explain the strategic decisions that manufacturers must make when choosing distribution channels 5. Identify five key attributes of distribution channel design and management 6. Highlight the major components of physical distribution and logistics Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-3

The Role of Marketing Intermediaries  Distribution Strategy  A firm’s overall plan for moving products through intermediaries and on to final customers  Marketing Intermediaries  Businesspeople and organizations that assist in moving and marketing goods and services between producers and consumers Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-4

Wholesaling versus Retailing  Wholesalers  Intermediaries that sell products to other intermediaries for resale or to organizations for internal use  Retailers  Intermediaries that sell goods and services to individuals for their own personal use Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-5

Contributions of Marketing Intermediaries  Matching buyers and sellers  Providing market information  Providing promotional and sales support  Gathering assortments of goods  Transporting and storing products Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-6

Contributions of Marketing Intermediaries (cont.)  Assuming risks  Providing financing  Completing product solutions  Facilitating transactions and supporting customers Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-7

Wholesaling and Industrial Distribution  Merchant Wholesalers  Independent wholesalers that take legal title to goods they distribute  Distributors  Merchant wholesalers that sell products to organizational customers for internal operations or the production of other goods, rather than to retailers for resale Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-8

Wholesaling and Industrial Distribution (cont.)  Agents and Brokers  Independent wholesalers that do not take title to the goods they distribute but may or may not take possession of those goods Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-9

The Outlook for Wholesaling Integrated logistics management Threat of disintermediation Unbundling of services Industry consolidation Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-10

The Outlook for Wholesaling  Disintermediation  The replacement of intermediaries by producers, customers, or other intermediaries when those other parties can perform channel functions more effectively or efficiently Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-11

Retailing Formats  Wheel of Retailing  An evolutionary process by which stores that feature low prices gradually upgrade until they no longer appeal to price-sensitive shoppers and are replaced by a new generation of leaner, low-price competitors Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-12

Retailing Formats  Department Stores  Large stores that carry a variety of products in multiple categories, such as clothing, house wares, gifts, bedding, and furniture  Specialty Stores  Stores that carry only a particular type of goods, often with deep selection in those specific categories Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-13

Retailing Formats (cont.)  Discount Stores  Retailers that sell a variety of everyday goods below the market price by keeping their overhead low  Off-price Retailers  Stores that sell designer labels and other fashionable products at steep discounts Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-14

Retailing Formats (cont.)  Online Retailers  Companies that use e-commerce technologies to sell over the Internet; includes Internet-only retailers and the online arm of store-based retailers  E-commerce  The application of Internet technologies to wholesaling and retailing Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-15

The Outlook for Retailing  Overcapacity  Continued growth in online retailing  Growth of multichannel retailing  Format innovations  Retail theater  Threat of disintermediation Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-16

The Outlook for Retailing  Multichannel Retailing  Coordinated efforts to reach consumers through more than one retail channel  Retail Theater  The addition of entertainment or education aspects to the retail experience Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-17

Distribution Strategies  Distribution Mix  A combination of intermediaries and channels a producer uses to reach target customers Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-18

Distribution Strategies  Customer needs and expectations  Product support requirements  Segmentation, targeting, and positioning  Competitors’ distribution channels  Established industry patterns and requirements Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-19

Common Distribution Channel Models Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-20

Common Distribution Channel Models (cont.) Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-21

Market Coverage  Intensive Distribution  A market coverage strategy that tries to place a product in as many outlets as possible  Selective Distribution  A market coverage strategy that uses a limited number of carefully chosen outlets to distribute products Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-22

Market Coverage (cont.)  Exclusive Distribution  A market coverage strategy that gives intermediaries exclusive rights to sell a product in a specific geographic area Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-23

Channel Conflict  Channel Conflict  Disagreement or tension between two or more members in a distribution channel, such as competition between channel partners trying to reach the same group of customers Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-24

Channel Organization and Control  Marketing Systems  Arrangements by which channel partners coordinate their activities under the leadership of one of the partners Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-25

Factors That Influence Distribution Channel Choices Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-26

Factors That Influence Distribution Channel Choices (cont.) Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-27

Physical Distribution and Logistics  Physical Distribution  All the activities required to move finished products from the producer to the consumer  Logistics  The planning, movement, and flow of goods and related information throughout the supply chain Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-28

Steps in the Physical Distribution Process Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-29

Physical Distribution and Logistics  Order Processing  Functions involved in receiving and filling customer orders  Distribution Centers  Advanced warehouse facilities that specialize in collecting and shipping merchandise Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-30

Physical Distribution and Logistics (cont.)  Intermodal Transportation  The coordinated use of multiple modes of transportation, particularly with containers that can be shipped by truck, rail, and sea Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-31

Applying What You’ve Learned 1. Explain the role of marketing intermediaries in contemporary business and list the eight primary functions that intermediaries can perform 2. Identify the major types of wholesalers and summarize four trends shaping the future of wholesaling 3. Identify the major retailing formats and summarize six trends shaping the future of retailing Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-32

Applying What You’ve Learned (cont.) 4. Explain the strategic decisions that manufacturers must make when choosing distribution channels 5. Identify five key attributes of distribution channel design and management 6. Highlight the major components of physical distribution and logistics Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-33

Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall