Marketing and Product
REVIEW
1. Service marketing
2. Product
3. Price
4. Place (distribution)
5. Promotion
1 = mixture of general knowledge
2 = all about product
3 = also a mixture but there is a requirement to give examples
4 = services
5 = all about communication. (see and know: communication model and discuss how the model works.)
Distribution intensity:
INTENSIVE:
Coca-Cola, milk, bread. Distribution through every reasonable outlet in a market. Where the product is available in every possible outlet. Where do you buy coke? Everywhere. Intensive distribution.
SELECTIVE:
Distribution through multiple but not all outlets in a market.
Take the CBD as an example. The CBD is a massive area. Selective is usually positioned to cover the geographic. So they position themselves in various locations in the geographic. People will come there and not be bothered about it. The power of a Westfield mall: Selectively, they need to be in westfield because that is where the action is.
- covering the geographic comfortably for the market at hand.
EXCLUSIVE:
- A single wholesaling middleman and/or retailer in a market.
- Exclusive is not always about one outlet.
- Not only is the price exclusive, but the location.
- The amount of time and effort you expend in this is irrelevant.
Working with channel members:
It’s about a relationship. The better the relationship, the better the end product.
What are some considerations when looking for the right type of middlemen:
- you have a agreement in place.
- PLA – performance level agreement. o Where you both agree when and how the distribution is going to happen. o Time limits, protection, pricing, safety.
- SLA – Service level agreement.
- Support and motivate channel partners.
- It’s all part about securing the relationship and letting them know they’re important to you and vice versa.
- Performance evaluation.
- Deal with channel conflict.
- Horizontal conflict: o There can often be some conflict between a
1. Service marketing
2. Product
3. Price
4. Place (distribution)
5. Promotion
1 = mixture of general knowledge
2 = all about product
3 = also a mixture but there is a requirement to give examples
4 = services
5 = all about communication. (see and know: communication model and discuss how the model works.)
Distribution intensity:
INTENSIVE:
Coca-Cola, milk, bread. Distribution through every reasonable outlet in a market. Where the product is available in every possible outlet. Where do you buy coke? Everywhere. Intensive distribution.
SELECTIVE:
Distribution through multiple but not all outlets in a market.
Take the CBD as an example. The CBD is a massive area. Selective is usually positioned to cover the geographic. So they position themselves in various locations in the geographic. People will come there and not be bothered about it. The power of a Westfield mall: Selectively, they need to be in westfield because that is where the action is.
- covering the geographic comfortably for the market at hand.
EXCLUSIVE:
- A single wholesaling middleman and/or retailer in a market.
- Exclusive is not always about one outlet.
- Not only is the price exclusive, but the location.
- The amount of time and effort you expend in this is irrelevant.
Working with channel members:
It’s about a relationship. The better the relationship, the better the end product.
What are some considerations when looking for the right type of middlemen:
- you have a agreement in place.
- PLA – performance level agreement. o Where you both agree when and how the distribution is going to happen. o Time limits, protection, pricing, safety.
- SLA – Service level agreement.
- Support and motivate channel partners.
- It’s all part about securing the relationship and letting them know they’re important to you and vice versa.
- Performance evaluation.
- Deal with channel conflict.
- Horizontal conflict: o There can often be some conflict between a