Channels of Distribution

Direct Distribution

Is when a company sells their products directly to consumers/ customers like you and me.

Examples: Gymshark & Apple

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Speciality

Specializing in one sort of product although carrying a wide variety of such product. This is seen as attractive to buyers as it shows all the companies efforts are concerted on one thing.

Examples: Canada goose and Timberland

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Indirect Distribution

Is when a company manufactures its own products but sends it through a distributor then to retailers to get their products sold to customers.

Examples: JanSport & Expo

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Wholesaler

Is a company that sells their product in bulk at low prices to retailers like grocery stores.

Examples: General Mills & Pom Wonderful

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Selective Distribution

Selective Distribution is something many brands deploy to uphold their brand image. It works by limiting where your products can be purchased. While limiting where your products can be purchased might seem backwards, For high end companies whom target audience is limited it makes sense.

Examples: Louis Vouition and Rolex

Exclusive Distribution

Is when a company exclusively distributes their product through a certain retailer, Typically these agreements are only for a certain area. This allows the distributor to form a better business relationship with a retailer and can help them get the best shelf space

Walmart and Costco

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Retailer

Is a business that sells products to the public for them to use and is usually not for resale.

Examples: Walmart & Best buy

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Intensive Distribution

Is when a company gets their product out to as many stores as possible, from small corner stores to large national chains. Making it more convenient for customers to find their product and increasing brand awareness

Examples: Pepsico and Excel gum

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Importer

Is when a person or business buys products from other countries to then sell in another place.

Examples: Home Depot & Ikea

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