Thursday, December 23, 2010

Types of the Channels of Distribution


      I.            Various Channels of Distribution of Consumer Products
For the distribution of the consumer goods, ordinarily the following means of distribution are used:
(1)   Manufacturer --> Representative -->Wholeseller --> Retailer  --> Consumer. On this system, the wholesellers purchase from the representatives of the manufacturers. After it, the retailers from the wholesellers, and ultimately; in the end, it reaches the consumer.
(2)   Manufacturer --> Representative --> Retailer --> Consumer. In this system, there is no wholeseller.
(3)   Manufacturer --> Representative --> Consumer. In this system, there is only one link between the producer and the consumer, and it is the representatives of the manufacturer.
(4)   Manufacturer --> Wholeseller --> retailer --> Consumer. In this system, the product reaches the consumer through wholeseller and the retailer.
(5)   Manufacturer --> Retailer --> Consumer. In this system from the manufacturer the product first of all reaches the retail seller, and then from the retail seller to the consumer.
(6)   Manufacturer -->Consumer. In this system, the manufacturer directly distributes the product to the consumers; there is no chain of the agents in between. In it, the manufacturer takes up the distribution of the products through the chainshops, by mail-order or through their sales representatives
II.            Various Channels of Distribution of the Industrial Products
(1)   Manufacturer --> Representative --> Wholeseller --> Industrial Consumer. In it the product reaches the industrial consumer through the medium of representative and wholesale seller.
(2)   Manufacturer --> Wholeseller --> Industrial Consumer. In this method, through the medium of the seller, the product reaches the industrial consumer.
(3)   Manufacturer --> Industrial Purchaser. In it the manufacturer directly sells the products to the industrial buyer.

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