1. Marketing Channels Fall 2006

2. You gotta love trees…

3. Value Delivery Network  Company, suppliers, distributors and customers who partner to improve system performance  A demand chain orientation: start with the needs of customers

4. Marketing Channel  Interdependent organizations involved in the process of making a product available for use

5. Think Efficiency and Effectiveness

6. Add a Distributor

7. And What Needs to be Done?  Information –Research –Promotion  Matching and Assorting  Physical Distribution and Storage  Financing  Risk Taking

8. It is Not Always Easy: Channel Conflict  Vertical Conflict  Horizontal Conflict

9. Vertical Marketing Systems  Corporate Channel –Vertical Integration: wholly owned and tapered  Contractual: Coordinated  Administered

10. Channel Considerations  Types of Intermediaries –Company Sales Force, Manufacturer’s Agents, and Industrial Distributors  Number of Intermediaries –Intensive distribution: Snickers –Exclusive distribution: Rolls –Selective distribution: Acura

11. Video