Distribution Strategies. Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-1

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1 Distribution Strategies Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-1

2 Marketing Intermediaries Retailers Wholesalers Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-2

3 Wholesalers and Retailers Utility Value Place Time Possession Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-3

4 Seven Roles of Marketing Intermediaries Match Buyers and Sellers Provide Market Information Provide Promotion and Sales Support Gather Assortment of Goods Transport and Store Products Assume Risks Provide Financing Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-4

5 How Intermediaries Simplify Commerce Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-5

6 Types of Wholesalers Merchants Agents or Brokers Full-Service Real Estate Agents Rack Jobbers Securities Brokers Limited-Service Insurance Brokers Drop Shippers Manufacturer s Reps Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-6

7 Types of Wholesalers Full-service merchant wholesalers (Tam Hizmet Toptancıları) provide a wide variety of services, such as storage, selling, order processing, delivery, and promotional support. Rack jobbers (Raf toptancıları): full-service merchant wholesalers that set up displays in retail outlets, stock inventory, and mark prices on merchandise displayed in a particular section of a store. Limited-service merchant wholesalers (Sınırlı-Kısıtlı Hizmet Toptancıları) provide fewer services. Natural resources such as grain, and coal are usually marketed through a class of limitedservice wholesalers. Drop shippers (Deposuz Masabaşı Toptancılar), which take ownership but not physical possession of the goods they handle. Prentice Hall, 2005 Excellence in Business, Revised Edition Chapter 14-7

8 Benefits of Retailers Save Time Save Money Build Traffic Add Convenience Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-8

9 Types of Retail Stores Specialty Store Department Store Category Killer Discount Store Limited Products Customer Services Category Dominance Lower Prices Extensive Selection Wide Variety Wide Variety Wide Variety Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-9

10 When you shop in a pet store, a shoe store, or a stationery store, you are in a specialty store (İhtisas-Özellikli Mağazalar) a store that carries only particular types of goods. The basic merchandising strategy of a specialty shop is to offer a limited number of product lines but an extensive selection of brands, styles, sizes, models, colors, materials, and prices within each line. Specialty shops are particularly strong in certain product categories: books, children s clothing, and sporting goods, for example. Birbirine çok yakın birkaç dizi veya çok dar bir dizi bulundururlar. Örneğin çocuk elbiseleri, mobilya, çiçekçi, spor mağazaları vb. At the other end of the retail spectrum are the category killers (Kategori Öldüren Mağazalar) superstores that dominate a particular product category by stocking every conceivable variety of merchandise in that category. Home Depot, Toys R Us, Office Depot, and Barnes and Noble are category killers lerde gelişmiş, dar fakat derin çeşitli, düşük fiyatlı orta düzeyde servisi olan mağazalar. Yaklaşık 2-3 futbol sahası büyüklüğünde mağazalar. Örn. IKEA Prentice Hall, 2005 Excellence in Business, Revised Edition Chapter 14-10

11 In contrast to category killers, discount stores offer a wider variety of merchandise, lower prices, and fewer services. One of the newest categories of discounters is supercenters, large discount stores that offer a broad selection of groceries, toys, household items, and other products at discount prices. Since the early 1990s, Wal-Mart has opened over 1,140 U.S. supercenters with an average size of 190,000 square feet and is now one of the nation s largest food retailers Prentice Hall, 2005 Excellence in Business, Revised Edition Chapter 14-11

12 Retail Industry Challenges Oversupply of Store Space Weakened Economy Consumer Demographics Nonstore Retailing and E-Commerce Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-12

13 E-Commerce and Non-Store Formats Clicks-Only Internet Clicks-and-Bricks Mail-Order Firms Automatic Vending Interactive Kiosks Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-13

14 Retailing Innovations Multichannel Retailing Hybrid Formats Retail Theater Pop-Up Stores Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-14

15 Setting Distribution Strategies Distribution Mix Type of Product Marketing Practices Customer Needs and Expectations Product Support Requirements Segmentation, Targeting, Positioning Competitor s Distribution Channels Established Industry Patterns Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-15

16 Distribution Channel Length Producer Consumer Goods and Services Consumer Producer Retailer Consumer Producer Wholesaler Retailer Consumer Producer Agent/Broker Wholesaler Retailer Consumer Producer Producer Wholesaler Business Goods and Services Business User Business User Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-16

17 Channel Selection Market Coverage Control Cost Channel Conflict Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-17

18 Market Coverage Distribution Intensive Selective Exclusive Convenience Goods and Organizational Supplies Expensive Technical or Specialty Products Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-18

19 Cost Factors Selling Storage Distribution Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-19

20 Control Issues Shorter Channel Length Longer How Goods Are Sold in the Marketplace More Overall Control Less Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-20

21 Channel Conflict Inadequate Product Support Too Many Intermediaries Multiple Sales Channels Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-21

22 Managing Physical Distribution In-House Operations Outbound Transportation Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-22

23 In-House Operations Forecasting Order processing Inventory control Warehousing Materials handling Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-23

24 Outbound Transportation Mode Cost Flexibility Capacity Reliability Speed Rail Average Lower Higher Higher Average Truck Average Average Lower Higher Average Water Lower Average Higher Average Lower Air Higher Higher Lower Average Higher Pipeline Average Lower Average Higher Lower Prentice Hall, 2007 Excellence in Business, 3e Chapter 14-24