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Designing and Managing Integrated Marketing Channels

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1 Designing and Managing Integrated Marketing Channels
15 Designing and Managing Integrated Marketing Channels Marketing Management, 13th ed

2 What is a Marketing Channel?
A marketing channel system is the particular set of interdependent organizations involved in the process of making a product or service available for use or consumption. Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

3 Figure 15.1 Increasing Efficiency
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

4 Channel Member Functions
Gather information Develop and disseminate persuasive communications Reach agreements on price and terms Acquire funds to finance inventories Assume risks Provide for storage Provide for buyers’ payment of their bills Oversee actual transfer of ownership Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

5 Figure 15.2 Marketing Channel Flows
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

6 Figure 15.3 Consumer Marketing Channels
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

7 Figure 15.3 Industrial Marketing Channels
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

8 Number of Intermediaries
Exclusive Selective Intensive Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

9 Terms and Responsibilities of Channel Members
Price policy Condition of sale Distributors’ territorial rights Mutual services and responsibilities Video icon links to snippet on Hasbro’s product bundling for different channel members. Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

10 Causes of Channel Conflict
Goal incompatibility Unclear roles and rights Differences in perception Intermediaries’ dependence on the manufacturer Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall


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