Channels of Distribution

Question 1

E-commerce

Answer 1

When a business sells their product through the internet- sales can be made 24/7, a massive range of products can be displayed, but customers need access to the internet and delivery times may be long

Question 2

Mail order

Answer 2

Business sells via a catalogue, customers can browse products while being at home at a time that suits them, glossy catalogs can be expensive to produce

Question 3

Direct mail

Answer 3

When a business posts leaflets and letters to the customer- a wide geographical area can be targeted by putting them in newspapers and magazines, most people find it to be junk mail and throw it out

Question 4

Personal selling

Answer 4

Salesman sells directly to the customer often by doorstep to doorstep, this allows for a demonstration of the product but customers can find this type of selling annoying and not listen and kick them out

Question 5

Shopping channels

Answer 5

Customers can see products being modelled and demonstrated, customers can be encouraged to buy on impulse due to short-term bargain prices.

Customers need to switch on to the channel before they can before they can be targeted.
Customers need to wait for products to arrive and may have to pay delivery cost

Question 6

Factors affecting the channels of distribution-finance available

Answer 6

Manufacturers may not have the finance available to set up E-commerce or print catalogues, so using wholesalers and retailers may be their only choice

Question 7

Factors affecting the channels of distribution-desired image of the product

Answer 7

Certain products have images that dictate where they can be sold, like a Hugo boss onyl allowing places with a good reputation to sell their product

Question 8

Factors affecting the channels of distribution-shelf life of the product

Answer 8

Some products need to be shipped out quickly to retailers and sold quickly

Question 9

Factors affecting the channels of distribution-legal restrictions

Answer 9

Some products can’t be sold through certain channels like prescribed medicines

Question 10

Factors affecting the channels of distribution-stage of the products life cycle

Answer 10

In the start if the life cycle the product it may be only sold in specific outlets but closer to the end of the life cycle it may be sold everywhere to sell of any remaining units

Question 11

Factors affecting the channels of distribution-technical qualities of the product

Answer 11

Highly technical products may need to be demonstrated and shown the full potential off which means it needs special staff