Podcast
Questions and Answers
What does disintermediation refer to?
What does disintermediation refer to?
The consumer markets in North America are rapidly diminishing.
The consumer markets in North America are rapidly diminishing.
False
What is one challenge faced by businesses in third-world countries regarding marketing channels?
What is one challenge faced by businesses in third-world countries regarding marketing channels?
Lack of good intermediary systems
A ____ strategy involves creating demand among consumers so that businesses agree to sell a product.
A ____ strategy involves creating demand among consumers so that businesses agree to sell a product.
Signup and view all the answers
Which of the following is NOT a type of consumer sales promotion?
Which of the following is NOT a type of consumer sales promotion?
Signup and view all the answers
Match the following channel functions with their corresponding descriptions:
Match the following channel functions with their corresponding descriptions:
Signup and view all the answers
Premiums offered as part of sales promotions are usually available to consumers at no cost.
Premiums offered as part of sales promotions are usually available to consumers at no cost.
Signup and view all the answers
Which of the following is NOT a function of wholesalers and distributors?
Which of the following is NOT a function of wholesalers and distributors?
Signup and view all the answers
What is a rebate?
What is a rebate?
Signup and view all the answers
Inventory storage is free for all channel members.
Inventory storage is free for all channel members.
Signup and view all the answers
Trade shows are typically events where firms display and demonstrate their ________ to other organizations.
Trade shows are typically events where firms display and demonstrate their ________ to other organizations.
Signup and view all the answers
What is the significance of the free-on-board (FOB) provision in shipping?
What is the significance of the free-on-board (FOB) provision in shipping?
Signup and view all the answers
Match the following sales promotion types with their descriptions:
Match the following sales promotion types with their descriptions:
Signup and view all the answers
Which sales promotion method involves providing incentives to salespeople to boost sales?
Which sales promotion method involves providing incentives to salespeople to boost sales?
Signup and view all the answers
Event marketing is a type of trade promotion.
Event marketing is a type of trade promotion.
Signup and view all the answers
What is the primary goal of trade promotions?
What is the primary goal of trade promotions?
Signup and view all the answers
What is the primary focus of a nondisclosure agreement (NDA)?
What is the primary focus of a nondisclosure agreement (NDA)?
Signup and view all the answers
Intensive distribution is used primarily for high-end luxury products.
Intensive distribution is used primarily for high-end luxury products.
Signup and view all the answers
Name one example of a product that often uses intensive distribution.
Name one example of a product that often uses intensive distribution.
Signup and view all the answers
In selective distribution, products are sold at __________ outlets.
In selective distribution, products are sold at __________ outlets.
Signup and view all the answers
Which of the following distribution types would likely limit sales to only one outlet in a specific area?
Which of the following distribution types would likely limit sales to only one outlet in a specific area?
Signup and view all the answers
Match the following types of distribution with their characteristics:
Match the following types of distribution with their characteristics:
Signup and view all the answers
Perishable products can be sold through longer marketing channels.
Perishable products can be sold through longer marketing channels.
Signup and view all the answers
What is channel power?
What is channel power?
Signup and view all the answers
What pricing strategy involves setting a high initial price to attract early buyers?
What pricing strategy involves setting a high initial price to attract early buyers?
Signup and view all the answers
Penetration pricing aims to maintain the status quo by matching competitors' prices.
Penetration pricing aims to maintain the status quo by matching competitors' prices.
Signup and view all the answers
What is the objective of everyday low pricing?
What is the objective of everyday low pricing?
Signup and view all the answers
In status quo pricing, companies aim to match their prices to their _______ prices.
In status quo pricing, companies aim to match their prices to their _______ prices.
Signup and view all the answers
Match the following pricing approaches to their descriptions:
Match the following pricing approaches to their descriptions:
Signup and view all the answers
Which pricing adjustment strategy means buyers pay the same shipping costs regardless of location?
Which pricing adjustment strategy means buyers pay the same shipping costs regardless of location?
Signup and view all the answers
Trade allowances are a form of discount provided to consumers for purchasing products in bulk.
Trade allowances are a form of discount provided to consumers for purchasing products in bulk.
Signup and view all the answers
What is the key feature of captive pricing?
What is the key feature of captive pricing?
Signup and view all the answers
Which promotional method involves using a percentage of last year's sales?
Which promotional method involves using a percentage of last year's sales?
Signup and view all the answers
Older consumers prefer mobile marketing and social media more than college-aged students.
Older consumers prefer mobile marketing and social media more than college-aged students.
Signup and view all the answers
What does the AIDA model stand for?
What does the AIDA model stand for?
Signup and view all the answers
The specific benefit consumers will remember about a product is known as its ______.
The specific benefit consumers will remember about a product is known as its ______.
Signup and view all the answers
Match the advertising appeal with its description:
Match the advertising appeal with its description:
Signup and view all the answers
What is a characteristic of horizontal conflict?
What is a characteristic of horizontal conflict?
Signup and view all the answers
What is a drawback of the affordable method for determining a promotion budget?
What is a drawback of the affordable method for determining a promotion budget?
Signup and view all the answers
Channel leaders have little influence on how channel conflicts are resolved.
Channel leaders have little influence on how channel conflicts are resolved.
Signup and view all the answers
Regulations can have an impact on the type of promotion used by organizations.
Regulations can have an impact on the type of promotion used by organizations.
Signup and view all the answers
Name one component of Integrated Marketing Communications (IMC).
Name one component of Integrated Marketing Communications (IMC).
Signup and view all the answers
What is one method companies use to keep promotional spending comparable to competitors?
What is one method companies use to keep promotional spending comparable to competitors?
Signup and view all the answers
The stage in the product life cycle influences the type and amount of __________ used.
The stage in the product life cycle influences the type and amount of __________ used.
Signup and view all the answers
Match the following promotional strategies with their definitions:
Match the following promotional strategies with their definitions:
Signup and view all the answers
Which of the following is a factor that influences the promotion mix?
Which of the following is a factor that influences the promotion mix?
Signup and view all the answers
Consumers are typically not receptive to promotions delivered directly to them.
Consumers are typically not receptive to promotions delivered directly to them.
Signup and view all the answers
What is one type of promotion that often requires professional selling?
What is one type of promotion that often requires professional selling?
Signup and view all the answers
Study Notes
Distribution Strategies
- Channel members are firms that partner with a company to promote and sell products through the marketing channel
- Intermediaries are organizations that facilitate product delivery to consumers
- Supply chains are all organizations involved in the process of producing, promoting, and delivering a product or service
- Supply chain management involves constantly monitoring and improving the efficiency of supply chains
- Wholesalers obtain large quantities of products from producers, store them, and break them down into smaller units for retailers
- Wholesalers perform various services such as stocking inventories, operating warehouses, supplying credit, employing salespeople and delivering goods
- Limited-service wholesalers provide fewer services but lower prices
- Drop shippers earn a commission by finding sellers and passing orders to them for shipping
- Mail-order wholesalers use catalogues and ship products to buyers
Types of Channel Partners
- Wholesalers
- Merchant wholesalers (distributors, dealers, jobbers) take title to goods
- Full-service wholesalers provide extensive services
- Limited-service wholesalers offer fewer services at lower prices
- Drop shippers find sellers and ship orders
- Mail-order wholesalers use catalogues for sales and shipping
- Retailers buy from wholesalers, agents, or distributors and sell to consumers
- Agents/Brokers negotiate sales contracts without taking title to the product
Other Distribution Concepts
- Truck jobbers specialize in perishable goods like fish, and specialty goods like books, hosiery, and magazines
- Supermarkets provide a full range of food and some household products
- Convenience stores offer miniature supermarket services
- Drugstores concentrate on over-the-counter and prescription medicines, and health and beauty items
- Category killers dominate specific product categories and specialize in selling high volumes of a particular product type
- Department stores offer a broad range of merchandise including clothing and jewelry
- Superstores combine larger department stores with groceries
- Warehouse clubs sell products at discounted prices
- Online retailing utilizes electronic channels for sales
- Outlet stores sell products that couldn't be sold through normal retail channels, often due to manufacturing defects
- Used retailers sell used products
Brokers
- Brokers don't purchase products but negotiate sales contracts
- They work with producers and are geographically assigned for sales by producers
- They specialize in commodities like clothing, furniture, food and lumber
Direct and Indirect Channels
- Direct channel involves a producer and consumer with no intermediaries
- Indirect channels utilize intermediaries such as wholesalers or agents
Cutting Out the Middleman
- Large retailers like Target and Walmart sometimes bypass intermediaries by purchasing directly from manufacturers
International Marketing Channels
- Consumer and business markets in North America are well-developed and growing slowly
- Growth opportunities exist in other countries
- Some markets may lack good intermediary systems
Marketing Communications and Promotion
- Disseminating marketing communications and promoting brands is vital for informing stakeholders
- Push strategies convince distributors and retailers to sell products, whereas pull strategies focus on creating consumer demand
- Sorting and regrouping products is important for efficient distribution, breaking down large quantities into smaller units for easier handling
- Storing and managing inventory ensures availability when needed
- Moving products physically necessitates reliable distribution and shipping arrangements
- Ownership risk and credit implications are central to the distribution considerations
- A free-on-board (FOB) provision designates when responsibility for shipping costs transfers from seller to buyer
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Related Documents
Description
Explore the intricate world of distribution strategies and the various types of channel partners involved in delivering products to consumers. This quiz covers roles of intermediaries, wholesaler functions, and the dynamics of supply chains and supply chain management.
