1. Providing Contact Efficiency
Chapter 12 Marketing Channels and Supply Chain Management
Providing Contact Efficiency
LOI
Notes:
Exhibit 12.1 demonstrates the purchase of a television set by four consumers. Without a retail intermediary like Circuit City, the individual television manufacturers would have to make four contacts to reach the four buyers. With Circuit City as an intermediary, each producer only has to make one contact, and the consumer buys from one retailer instead of five producers.