some of the important types of distribution in international market are 1. intensive 2. selective and 3. exclusive distribution. intensive distribution aims to provide saturation coverage of the market by using all available outlets. intensive distribution is usually required where customers have a range of acceptable brands to choose from. this alternative involves all the possible outlets that can be used to distribute the product. here, soft drink firms distribute their brands through multiple outlets to ensure their easy availability to the customer. selective distribution involves a producer using a limited number of outlets in a geographical area to sell products.
an advantage of this approach is that the producer can choose the most appropriate or best-performing outlets and focus effort (e.g., training) on them. this alternative is the middle path approach to distribution. this alternative helps focus the selling effort of manufacturing firms on a few outlets rather than dissipating it over countless marginal ones. selective distribution can help the manufacturer gain optimum market coverage and more control but at a lesser cost than intensive distribution. when the firm distributes its brand through just one or two major outlets in the market, who exclusively deal in it and not all competing brands, it is said that the firm is using an exclusive distribution strategy. this is a common form of distribution in products and brands that seek a high prestigious image. the firm also hopes to get the benefit of aggressive selling by such outlets.
there are different types of distribution that can be used by supplier to get their products closer to consumers. exclusive distribution is an agreement between a distributor and a manufacturer, whereby the manufacturer or supplier authorizes only one distributor to carry out distribution of goods and services within a definite region. also the agreement may be such that the distributor will exclusively sell the manufacturerâs products and not those of competitors. in this kind of distribution arrangement, the work of the distributor is to engage wholesalers and retailers in order to sell the products to end users. they usually enter into agreement with a handful of distributors in a given region as a way of reaching customers and dealing with their complaints and other queries effectively as they arise.
intensive distribution is whereby the manufacturers make use of more than one channel to distribute their products and reach the target audience or customers. the intension of this method is usually to make the manufacturerâs product brand available in abundance and distributed over a large geographical area and that end-users (customers) are not faced with any kind of shortage. the product brand is usually marketed in such way that consumers are likely to encounter the brand at every possible place of their shopping. selective distribution is a distribution approach where selective and few outlets are chosen through which the product is made available to the customers on the basis of a company specific set of rules. selective distribution can to some extend limit the competition in a market especially where there is an agreement between the producer and retailer. on the part of the supplier, he or she might insist on certain criteria to be met before one is appointed as a distributor.
exclusive distribution is an extreme form of selective distribution in which only one wholesaler, retailer or distributor the supplier is able to main the brand image of the product through imposition of requirements to the distributors. exclusive distribution is an intense form of selective distribution in which only one distributor is appointed, selective distribution, selective distribution, intensive distribution, selective distribution example, exclusive distribution pros and cons. an intensive distribution strategy involves selling a product in as many outlets as possible. selective distribution involves selling a product at select outlets in specific locations. exclusive distribution involves selling a product through one or very few outlets.
manager should know; intensive distribution, exclusive distribution, and selective distribution. view notes – marketing from accounting 515 at st. john’s university. types of distribution: intensive, selective and firms can opt for intensive, selective, and exclusive strategies. intensive distribution focuses on delivering a firm’s goods, disadvantages of selective distribution, exclusive distribution example, intensive distribution example, selective distribution network, extensive distribution, intensive market coverage, gucci exclusive distribution, apple selective distribution strategy, inclusive distribution, a feature of selective distribution is that it, levels of distribution intensity, types of distribution in marketing
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