The Marketing Strategy - Place

Question 1

Explain what is meant by place

Answer 1

methods by which the business delivers its goods or services to the right place at the right time

Question 2

What are distribution channels?

Answer 2

how the good travels from the producer to the consumer

Question 3

What are the 5 distribution channels?

Answer 3

1. wholesaler → retailer → consumer
2. retailer → consumer
3. straight to consumer
4. wholesaler → consumer
5. agent → consumer

Question 4

What is a pattern of distribution?

Answer 4

As the business changes and grows, they also have to develop how they distribute their products/services

Question 5

what is online and digital distribution?

Answer 5

online = tangible products that are purchased online and are sent to the consumer via post or courier service e.g. clothes

digital = intangible products that are available instantly e.g. movies, music

Question 6

what is physical distribution?

Answer 6

physical method of distribution a business uses e.g. road transport

Question 7

how does a business choose the means of physical distribution?

Answer 7

• fresh/perishable items
• price paid by consumer
• size of product
• nature of consumer
• method of production

Question 8

how does service marketing fit into place?

Answer 8

digital tech is increasingly being used to distribute services, but some businesses can’t fully operate online e.g. banks and travel agents so they still have physical shops

Question 9

distribution channels: what is an agent?

Answer 9

negotiate between buyers and sellers without having control over the product/service they’re selling

Question 10

distribution channels: what is a retailer?

Answer 10

selling the final product to the consumer e.g. Tesco

Question 11

distribution channels: what is a wholesaler?

Answer 11

buy from manufacturers in large volumes, and then break down what they buy into smaller units aka break bulk