Friday, December 26, 2008

Marketing Mix ( Place )

Marketing Mix
PLACE

Another element of Marketing Mix is Place.
What is The concept of PLACE ?
Place represents the location where a product can be purchased. It is often referred to as the distribution channel. It can include any physical store as well as virtual stores on the Internet .

Distribution Channel comprises a set of institutions which perform all of the activities utilised to move a product and its title from production to consumption.
There are six basic channel decisions:

  1. Do we use direct or indirect channels? (e.g. 'direct' to a consumer, 'indirect' via a wholesaler).

  2. Cumulative length of the multiple channels.

  3. Types of intermediary .

  4. Single or multiple channels.

  5. Which companies as intermediaries to avoid 'intrachannel conflict' (i.e. infighting between local distributors).

  6. Number of intermediaries at each level (e.g. how many retailers in Southern Spain).

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