Types Of Channels
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TYPES OF CHANNELS AJIT THATTE
MANUFACTURER BASED CHANNELS •
These are channels where manufacturer sells directly or through their owned channels. Eureka Forbes( door to door) Tupperware ( home parties) Otto Burlington (mail order) Bata India, Indian Oil, BPCL Maruti , Raymonds, Titan,
RETAILER BASED CHANNELS •
These are channels owned or franchised by retailers Pizza Hut Star Bucks Trent Big Bazar Spencer Circuit City
SERVICE PROVIDER BASED CHANNELS •
These channels do not provide products but only services( support, pure service, training, consulting, testing/analysis) Auto Mobile Health care Education Diagnostics Broadband, Internet last mile connection
OTHER TYPES OF CHANNELS • •
Global channels Electronic channels
VERTICAL MARKETING STSTEM •
Conventional marketing channel comprises an independent producer, wholesalers, retailers. Each on its own seeks to maximise its profits. • Vertical marketing system (VMS) comprises of the producer, wholesalers, retailers acting as a unified system. One channel member ,the channel captain owns the others or franchises them or has so much power that all cooperate with him. • Channel captains are Coca-Cola with soft drinks, Gillette with shaving products • Gives them advantage of economies thru size, bargaining power, and elimination of duplication of services
TYPES OF VMS • • •
CORPORATE VMS ADMINSTERED VMS CONTRACTUAL VMS – WHOLESALER SPONSORED VOLUNTARY CHAINS, RETAILER COOPERATIVES, FRANCHISE ORGANISATIONS
HORIZONTAL MARKETING SYSTEMS •
Two or more unrelated companies put their resources or programs together to exploit an emerging marketing opportunity • Post offices selling insurance/mutual funds, ATM’s shared by banks, HLL tie-up with Pepsi for bottling and distribution of Lipton’s ready to drink beverages
MULTI-CHANNEL MARKETING SYSTEM
MANUFACTURER BASED CHANNELS •
These are channels where manufacturer sells directly or through their owned channels. Eureka Forbes( door to door) Tupperware ( home parties) Otto Burlington (mail order) Bata India, Indian Oil, BPCL Maruti , Raymonds, Titan,
RETAILER BASED CHANNELS •
These are channels owned or franchised by retailers Pizza Hut Star Bucks Trent Big Bazar Spencer Circuit City
SERVICE PROVIDER BASED CHANNELS •
These channels do not provide products but only services( support, pure service, training, consulting, testing/analysis) Auto Mobile Health care Education Diagnostics Broadband, Internet last mile connection
OTHER TYPES OF CHANNELS • •
Global channels Electronic channels
VERTICAL MARKETING STSTEM •
Conventional marketing channel comprises an independent producer, wholesalers, retailers. Each on its own seeks to maximise its profits. • Vertical marketing system (VMS) comprises of the producer, wholesalers, retailers acting as a unified system. One channel member ,the channel captain owns the others or franchises them or has so much power that all cooperate with him. • Channel captains are Coca-Cola with soft drinks, Gillette with shaving products • Gives them advantage of economies thru size, bargaining power, and elimination of duplication of services
TYPES OF VMS • • •
CORPORATE VMS ADMINSTERED VMS CONTRACTUAL VMS – WHOLESALER SPONSORED VOLUNTARY CHAINS, RETAILER COOPERATIVES, FRANCHISE ORGANISATIONS
HORIZONTAL MARKETING SYSTEMS •
Two or more unrelated companies put their resources or programs together to exploit an emerging marketing opportunity • Post offices selling insurance/mutual funds, ATM’s shared by banks, HLL tie-up with Pepsi for bottling and distribution of Lipton’s ready to drink beverages
MULTI-CHANNEL MARKETING SYSTEM
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