15-1 Chapter Questions What is a marketing channel system and value network? What work do marketing channels perform? What decisions do companies face in managing their channels? How should companies integrate channels and manage channel conflict? What is the future for e-commerce?

15-2 Marketing Channels Sets of interdependent organizations involved in the process of making a product or service available for use or consumption.

15-3 Examples of Channels Dell (DTC) Avon Canada Post Grainger (auto parts network) Coca-cola (bottlers) McDonald’s restaurants (franchisee)

15-4 Increasing Efficiency

15-5 Consumer Marketing Channels

15-6 Channel Service Outputs Lot size Waiting/delivery time Spatial convenience Product variety Service backup

15-7 Identifying Channel Alternatives Types of intermediaries Number of intermediaries Terms and responsibilities

15-8 Number of Intermediaries Exclusive Selective Intensive

15-9 The Value Versus Costs of Channels

15-10 Channel-Management Decisions Selecting channel members Training channel members Motivating channel members Evaluating channel members Modifying channel members

15-11 The Hybrid Grid

15-12 Managing Channel Conflict Superordinate goals Cooptation Diplomacy Mediation Arbitration

15-13 e-Commerce Marketing Practices Pure-click Brick-and- click Brick-and- mortar

15-14 Buyer Expectations for e-commerce Ability to order a product online and pick it up at a convenient retail location Ability to return an online-ordered product to a nearby store Right to receive discounts based on total online and offline purchases