Product Issues in Channel Management

Question 1

Product Life Cycle (Introduction)

Answer 1

Introduction:

1. Ensure sufficient number of channel members for adequate market coverage
2. Ensure adequate supply on channel member’s shelves

Question 2

Product Life Cycle (Growth)

Answer 2

Growth:
More competitors are trying to enter the market
Distribution: think about inventories and efficiency of logistics

1. Ensure sufficient number of channel member inventories for adequate market coverage
2. Monitor the effects of competitive product on channel member support

Question 3

Product Life Cycle (Maturity)

Answer 3

Maturity:

1. Extra emphasis on motivating channel members to mitigate competitive impact
2. Investigate possibility for changes in channel structure to extend maturity stage & possible foster new growth stage

Question 4

Product Life Cycle (Decline)

Answer 4

Decline:

1. Phase out marginal channel members
2. Investigate impact of product deletion on channel members