Place Flashcards
what is place
place is how a consumer accesses a product
what is channel of distribution
Manufacturer- who makes it
Wholesaler-buys from manufacturers and sells to retail
Retailer- to the public
Consumer-buys product
what is direct channel of distribution
manufacturer to consumer
what is a short channel of distribution
manufacturer to retailer to consumer
what is traditional channel of distribution
manufacturer to wholesaler to retailer to consumer
what is the positive impacts of manufacturers to wholesaler
- bulk buys so saves manufacturers making small delieveries
- costs are reduced as bigger orders
what are the negative impacts of wholesaler to retailer
- loss of control over how product is presented in the warehouse
- less profits as both manufacturers and wholesaler must make a profit
what are the positive impact of wholesaler to retailer
- wholesaler break product down into smaller sizes so retailer can buy the amount they need
- wholesalers provide market research data to retailer about items
what are different retailers
high street outlet mobile temp e-commerce mail order personal selling direct mail
what is high street outlet
independent store, chain store, discount store, pop up shop
what are the benefits of high street outlets
- often have consumer loyalty so regular sales garunteed
- trained staff know products better
- customers can see and touch before buying
what are the disadvantages of high street outlets
- cost of running branch network
- rent in city is higher than those out with the city
- inconvenience of getting deliveries go the city
what is a mobile retailer
things like the tech in livingston, farmer market, fish man
what are the positives of mobile retailers
- increase brand awareness
- less expensive as lower running than a branch
- flexible as can target big events like TRNSMT
what are the negatives of mobile retailers
- only available to stock limited range of items
- narrow target market
- rivals set up in the same location
what are temp retailers
pop up shops that are there for a limited time
what are the positives of a temp retailer
- consumer interest is increased as outlet is time limited
- good for seasonal times
- no long term commitment
what are the negatives of a temp retailer
- consumers may return and the shop be gone
- hard to recruit staff as jobs are temp
- hard to contact if no permanent address or number
what is e/s/m-commerce
a range of goods and services available on a website
what are the advantages of e/s/m-commerce
- popular as it saves time and hassle
- zoom, tilt and rotate function
- a regular shopping basket can be made
what are the disadvantages of e/s/m-commerce
- more sales returns as you can’t try the product
- consumers could be worried about buying on a website incase of scams etc
what is mail order
selling to consumers through a catalogue or by filling in a form in a magazine or paper
what are the advantages of mail order
- possible to target market
- good customer service provided by experts with helpline
- home shopping allows time to make more informed purchases
what are the disadvantages of mail order
- can put people off as they prefer to try on product
- ads must be very detailed
- publication costs can be high if ads need to be large
