MARKETING CHANNELS
MARKETING CHANNELS
According to Kotler, P. "Marketing Channel is a set of interdependent organizations that help make a product or service available for use or consumption by the consumer or business user" (p.341). The Marketing Channels are called 'Distributors' as well. There are two forms of doing business through channels: direct and indirectly.
When the channels are in a direct form, the products go from a producer directly to the consumers.
When the channels are in an indirect form, there are more organizations (intermediaries) between the producer and the final consumer.
The following graph shows the two kind of channels:
According to Kotler, P. "Marketing Channel is a set of interdependent organizations that help make a product or service available for use or consumption by the consumer or business user" (p.341). The Marketing Channels are called 'Distributors' as well. There are two forms of doing business through channels: direct and indirectly.
When the channels are in a direct form, the products go from a producer directly to the consumers.
When the channels are in an indirect form, there are more organizations (intermediaries) between the producer and the final consumer.
The following graph shows the two kind of channels:
Something that helped me to understand about Marketing channels was the Gaviña Gourmet Coffee's video. During a lecture, our class review and discuss about Gaviña Gourmet Coffee. Gaviña is a coffee producer. Its main customer is McDonald's, who plays the role of an intermediary between the producer (Gaviña Gourmet Coffee) and the final consumer (the McDonald's clientele). Gaviña uses the direct marketing channel (see next video, which we saw at the classroom about Gaviña Coffee and McDonald's).
References
Kotler, P., & Armstrong, G. (2014). Principles of Marketing. Upper Saddle River, NJ; Pearson.
MacDonald's. (2009, December 02). The Making of McCafé.CNN. (2013, June 12). Retrieved from https://www.youtube.com/watch?
v=UN05M2TDQ70