Professional Documents
Culture Documents
Channel Design
1. Channel Design and Selection 2. Determining Channel Objectives 3. Assessing Channel Length, Width 4. Factors that Offset Channel Length 5. Allocating Channel Tasks 6. Selection of Resellers 7. Revising Channel Arrangements
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2. Channel Objectives
integrate effects
mergers and acquisitions wider distribution gray market new markets
specific objectives
service output requirements
lot size market decentralization waiting time product variety service backups
3. Intermediary Requirements
Channel length
short - direct long - indirect
channel width
determinants - investments, buyer behavior, volume degrees - exclusive, intensive, selective
types
horizontal forward vertical backward vertical intertype - multiple, dual
4. Channel Length
Aspinwall Theory
characteristics of goods and parallel systems replacement rate, gross margin, adjustment, consumption time, searching time goods - reed, orange, yellow
Product factors
customer base, geographic dispersion, customer density, sales gestation period, level of customer, average order size
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Manufacturer Factors
size, financial capability, desire for control, managerial expertise, customer knowledge
Intermediary Factors
availability, cost, service quality
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Contact Bases
selling intermediaries stocking intermediaries stocking / servicing intermediaries hybrid arrangements
6. Selection of resellers
availability, preliminary evaluation, comprehensive analysis evaluations
screenings, interviews, checklists, analyses, final process
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Adaptability
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