2. PLACE  It is the final component of the 4 P´s of the marketing mix.  Place refers to the distribution of a product, for example: how to get to the consumer  A common definition of distribution is getting the right products to the right customers at the right price in the right place and at the right time

3. TRADITIONAL CHANNELS OF DISTRIBUTION  Intermediation: Intermediaries are agents or firms that act as a middle person in the chain of distribution between the manufactures and consumers of a product  The traditional chain of distribution consists of manufacturers, wholesalers and retailers  A long chain of distribution will tend to raise prices for the consumer since each intermediary adds a profit margin to their price

4. A zero level channel  It does not have intermediaries  The producer sells directly to the consumer  Examples: e-commerce, telesales and mail order, and the service industry consumer

5. A one level channel  It has one intermediary, such as retailers or distributors being used to sell products to consumers producer distributors consumer agents producer consumer agents producer

6. A two-level channel  It has 2 intermediaries, such as the use of wholesalers and retailers to get products to consumers producer wholesalers retailers consumers

7. WHOLESALERS  Wholesalers are businesses that purchase large quantities of products from manufacturer and then separate or break the bulk purchases into smaller units for resale to retailers

8. DISTRIBUTORS AND AGENTS  Distributors are independent and specialist businesses that trade in the products of only a few manufacturers. For example: car distributors will typically sell the products of one manufacturer, such as Honda or ford to consumer  Agents or brokers are negotiators who act on behalf of buyer and vendors (sellers) of a product. They are not usually employed by the producer but are used as an intermediary to help sell the vendor´s products

9. RETAILERS  Retailers are the sellers of products to the final consumer. They are often referred to as shops in everyday language  Hypermarkets  Supermarkets  Department stores  Chain stoires: Mc Donalds  Independent retailers: local vendors

10. DIRECT MARKETING AS A CHANNEL OF DISTRIBUTION  Direct marketing refers to the direct selling of products to the consumer, for example: marketing without the use of any intermediaries. Telesales, ecommerce, vending machines and direct mail

11. Telesales  Telemarketing refers to the use of telephone systems to sell products directly to potencial customers

12. Vending machines  They are specialist machines that stock products such as cigarrettes, drinks and snacks

13. CHOOSING AN APPROPRIATE DISTRIBUTION STRATEGY  Cost and benefits  Product  Market  Time  Legal constraints

14. Supply chain management  It is also known as logistics, is the art of managing and controlling the sequence of activities from the production of a good or service to it being delivered to the end customer