Marketing Distribution Channels Quiz

Place in Marketing

• Place refers to the Channel of Distribution, how products move from producers to consumers.
• This often involves Marketing Intermediaries.

Marketing Intermediaries

• Facilitate product distribution.
• Act as middlemen, helping products reach consumers.
• Include wholesalers, retailers, distributors, agents, and brokers.
• Perform various functions like promoting products, storing inventory, and customer service.

Channel of Distribution

• Pathway products/services take from producer to consumer.

• Includes all steps and entities involved.

• Can be direct (producer to consumer) or indirect (involving intermediaries).

• Classified by distribution intensity:

  • Intensive: Many intermediaries (e.g., Coca-Cola).
  • Selective: Few intermediaries (e.g., Samsung electronics).
  • Exclusive: Only one intermediary (e.g., Tiffany & Co. jewelry).

Marketing Intermediaries: Specific Types

• Manufacturers: Product creators.
• Distributorship: Selected by manufacturers to buy for resale.
• Wholesaling: Selling products for business use.
• Retailers: Individuals engaged in retailing.

Retailers

• Final link in the supply chain.

• Purchase products from wholesalers or manufacturers.

• Sell in smaller quantities to consumers.

• Examples of types of retail:

  • Sari-Sari Stores: Small neighborhood shops.
  • Supermarkets: High efficiency, wide product range.
  • Drugstores: Pharmacies often located in malls or standalone.
  • Department Stores: Large stores with various organized products.
  • Convenience Stores: Carry a limited number of goods.
  • Hypermarkets: Large superstores exceeding supermarkets in size.
  • Non-store Retailing: Goods sold outside physical stores (e.g., ecommerce).

Wholesaling

• Selling products to merchants/producers for business use.

• Merchant Wholesalers: Buy goods in bulk, resell with markup.

• Full-service Wholesalers: Provide comprehensive services (e.g., recruitment, inventory, delivery).

• Other types of wholesalers:

  • General merchandise wholesalers: Wide variety of goods
  • Limited line wholesalers: Specific product lines
  • Specialty line wholesalers: Single product line, extensive service.
  • Rack jobbers: Maintain displays and stock of goods.
  • Brokers/agents: Third-party business transactions (facilitate purchase between buyers & sellers).
  • Agents: Act on behalf of seller.

Test your knowledge on marketing distribution channels and the roles of intermediaries in the supply chain. This quiz covers various types of wholesalers, retailers, and marketing strategies. Challenge yourself to identify key characteristics and functions related to distribution.