Marketing Skittles
Place Assignment: Skittles
MKTG 211
March 29, 2013
Marketing channels are very important to both the manufacturer and the consumer. These channels are the way the manufacture releases their product to the consumer for purchasing. Manufactures can choose either a direct channel which is the means of selling customers or accepting orders from them. A sales force calls on customers and prospects to present information on products and persuade them to place orders. Retailer channel is the channel that manufacturers sell their goods directly to large retailers such as Amazon which then sell onto the final consumers. wholesaler channel typically buys and stores large quantities of several producers’ goods and then breaks into bulk and deliveries to supply retailers with smaller quantities. Agents/Brokers sell the products and services of producers in return for a commission (a percentage of the sales revenues). Mars company uses both retailer and wholesale channel to deliver Skittles to the consumer. They manufacture the candy and sell them to either a wholesaler such as Sam 's club or they sell them directly to retailers. The marketing channel functions that each intermediary performs in the marketing channel is just as important as the manufacturer creating a desired product. The functions are: Transactional, Logistical and Facilitating functions. Transactional function purchases products for resale or as an agent for supply of a product, they contract potential customers, promoting products, and seeking orders, they assuming business risks in the ownership of inventory that can become obsolete or deteriorate. Logistical function creates products with an assortment from several sources to service their customers, they assemble and protect products at a convenient location to offer better customer service, they purchase in bulk and break it to desired amounts to fit their customers desires and they physically deliver the product to
MKTG 211
March 29, 2013
Marketing channels are very important to both the manufacturer and the consumer. These channels are the way the manufacture releases their product to the consumer for purchasing. Manufactures can choose either a direct channel which is the means of selling customers or accepting orders from them. A sales force calls on customers and prospects to present information on products and persuade them to place orders. Retailer channel is the channel that manufacturers sell their goods directly to large retailers such as Amazon which then sell onto the final consumers. wholesaler channel typically buys and stores large quantities of several producers’ goods and then breaks into bulk and deliveries to supply retailers with smaller quantities. Agents/Brokers sell the products and services of producers in return for a commission (a percentage of the sales revenues). Mars company uses both retailer and wholesale channel to deliver Skittles to the consumer. They manufacture the candy and sell them to either a wholesaler such as Sam 's club or they sell them directly to retailers. The marketing channel functions that each intermediary performs in the marketing channel is just as important as the manufacturer creating a desired product. The functions are: Transactional, Logistical and Facilitating functions. Transactional function purchases products for resale or as an agent for supply of a product, they contract potential customers, promoting products, and seeking orders, they assuming business risks in the ownership of inventory that can become obsolete or deteriorate. Logistical function creates products with an assortment from several sources to service their customers, they assemble and protect products at a convenient location to offer better customer service, they purchase in bulk and break it to desired amounts to fit their customers desires and they physically deliver the product to
References: Distribution Channels, Retrieved March 27, 2013 from http://answers.mheducation.com/marketing/marketing-strategy/distribution-channels Physical Distribution, Retrieved March 27, 2013 from http://www.enotes.com/physical-distribution-reference/physical-distribution ----------------------- Channel conflict refers to a situation in which business partners clash in some of their operations, such as distribution networks, in such a manner that it causes stress to the relationship, effectively turning them into both competitors and partners simultaneously. Read more: Channel Conflict/Harmony - Distribution, Business, Online, and Manufacturers http://ecommerce.hostip.info/pages/196/Channel-Conflict-Harmony.html#ixzz2PFHv3kzl Channel conflict refers to a situation in which business partners clash in some of their operations, such as distribution networks, in such a manner that it causes stress to the relationship, effectively turning them into both competitors and partners simultaneously. Read more: Channel Conflict/Harmony - Distribution, Business, Online, and Manufacturers http://ecommerce.hostip.info/pages/196/Channel-Conflict-Harmony.html#ixzz2PFHv3kzl Channel conflict refers to a situation in which business partners clash in some of their operations, such as distribution networks, in such a manner that it causes stress to the relationship, effectively turning them into both competitors and partners simultaneously. Read more: Channel Conflict/Harmony - Distribution, Business, Online, and Manufacturers http://ecommerce.hostip.info/pages/196/Channel-Conflict-Harmony.html#ixzz2PFHv3kzl