PowerPoint Presentation by Sixit Bhatta Marketing Channels Session-8

Just Have a Look

Why Channel Producer Consumer Advertisements, commissions, Bonuses, Channel Discounts etc. account for distribution channel costs, which is passed on to consumers.

Channel Development

Role of Marketing Channels  Producers Lack Financial Resources and Expertise to deal with Consumers.  Direct Marketing would not be possible  More prudent to focus on one’s core business rather than distribution.

Consumer and Industrial Channel

Case Discussion- Distribution of Telecom Services

Channel Design Decisions Analyzing Customer Needs –Lot size, –service level output, –product variety. Establishing Channel Objectives and Constraints. –Objectives may vary with conditions. –Different products require different distribution channels.

Channel Design Decision. Identifying Major Channel Alternatives. –Type of Intermediaries –Number of Intermediaries. Exclusive distribution. Selective distribution Intensive distribution –Terms and Responsibilities of Channel Members Price policy, sales conditions, territorial rights, Service Responsibilities –Evaluating Alternatives Economic Criteria, Control

Channel Management  Selecting Channel Members –Experience. –Growth. –Profitability. –Management. –Resources –Operation Area

Channel Management Training and Motivation –Skill Development. –Commission –Bonuses –Shared Advertisement Expenses. Negative Sanctions –Penalty. –Termination Evaluating Channels –Evaluate against performance standards, Modifying Distribution Channel –eTicketing etc.

Channel Conflict  Types of Conflict Vertical channel conflict Horizontal channel conflict Multichannel conflict  Causes of Channel Conflict Goal incompatibility Unclear roles and rights –Differences in perception

Reducing Inefficiencies of Distribution Channel  How do you think we can reduce the distribution channel leakage?  Technological Intervention?  Educating the Consumers?  Direct Marketing?  Any other Innovation?

Excersice  Nepali Masuara and Gundruk in Kathmandu.  Solar Power Table Lamps.  Non Stick Kitchenware.  Fresh Farm Milk.