What is Marketing Distribution?


Another way to locate the question is, what are the ways in which companies to transport their goods from producer to consumer? First and foremost, the role distribution of marketing is to establish a link between the production and consumption of a particular good or service. There are two general forms or distribution, directly or indirectly.

Direct Marketing

Examples of direct marketing distribution was factory outlet store or direct sales network marketing company. In both cases the product is distributed directly to consumers by the manufacturer. This mode of distribution has its benefits to consumers as it allows for a discounted price by eliminating the “middle-man”. This would include all of the multi-level company, the person who is selling a product or service directly from their homes to individuals or the Factory Outlet Mall. The amount of goods shipped through this means distribution is much smaller than the indirect method of distribution.

Indirect Distribution

This would account for all situations where a manufacturer sells goods to the retailer and the retailer again sells to customers. Other examples of indirect distribution includes an additional party. This is where the product goes from manufacturer to wholesalers, wholesalers to retailers, the retailer to the consumer. In an indirect distribution channel you can see that with the increased number of parties involved who will get their “cut” so the cost to consumers slightly higher. The trade off is often the products are able to be purchased by customers in a comfortable way. The consumer pays a little more to the products to be more easily accessible.