What is distribution channel marketing?

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An important part of many businesses is maintaining good relationships within the distribution channel. A distribution channel consists of all the parties involved in getting a product from the original seller or producer to the final consumer. Sometimes sales can be made directly from the product manufacturer to a customer, but in most cases there are intermediaries involved. These intermediaries are resellers, usually wholesale distributors or retailers, and are the backbone of distribution channel marketing. This type of marketing aims to research and meet the needs of resellers so that the merchandise between them reaches the consumer more effectively.

Along with channel sales directors, distribution channel marketing managers work to build and maintain strong distribution channels. While there is often some overlap between these two roles, channel sales directors tend to focus more on selling products in the distribution channel, while distribution channel marketing managers are primarily concerned with direct selling. The sales director is responsible for initiatives to encourage dealers to buy the company’s products first. Distribution channel marketing managers, on the other hand, aim to ensure that resellers are successful in promoting these products and are able to sell them to the end consumer.

Distribution channel marketing managers can promote sales through distributors in many ways. They are responsible for tracking the success of a product in the distribution channel and for recommending promotions and campaigns to help spread the word about the product. They also often provide training or even scripts to help dealers succeed in making their final sales.

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As product marketing reflects consumer demands, distribution channel marketing responds to resellers’ needs. As much as possible, managers try to adapt packaging and other presentation materials to the dealers’ business needs. A large neon sign, for example, can work to promote the product in one store while clashing with the earth-toned color scheme of another.

Distribution channel marketing seeks to maintain strong communication with resellers to meet their needs. Frequent phone calls and ongoing web-based support for resellers are common means to this end. When a conflict arises within the distribution channel, such as between different resellers competing to sell the company’s products or between a reseller and the company’s own direct sales campaigns, the challenge of negotiating a resolution often falls on the channel’s marketing manager. of distribution .

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