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chapter 9 place

p art three: the marketing mix . chapter 9 place. an opening challenge. You are working for a French wine company. You know that Australian and American wine producers are seen as more technologically advanced and better value. How can you compete?. agenda. distribution supply chains

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chapter 9 place

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  1. part three: the marketing mix chapter 9place

  2. an opening challenge You are working for a French wine company. You know that Australian and American wine producers are seen as more technologically advanced and better value. How can you compete?

  3. agenda • distribution • supply chains • intermediaries • channel design • length • breadth • overseas operations • marketing through the supply chain • e-channels

  4. get the right products to the right place at the right time the secrets of place (distribution)

  5. a supply chainAQ – re-set figure type

  6. supply chain members • sellers • manufacturers • resellers • wholesalers • retailers • facilitators • agents and distributors • logistics services • buyers • customers • consumers • business users

  7. key aspects of logistics management • suitable storage facilities • the right amount of stock • good communications throughout the distribution channel • suitable transport • packaging that will protect the product in transit and storage (and be easy to lift and move) (Fernie and Sparks, 2004)

  8. choosing a retail location • is the right type of customer there? • transport and car parking? • costs? • competitive outlets? • complementary businesses? • a suitable building? • planning permission? Other legal restrictions? • has there been a similar business in the area? • (for chains) impact of new outlet on existing ones? • does the location have the right image?

  9. channel design: length PYO farm 0 consumer 0 level channel (photo courtesy of Dave Pickton)

  10. channel design: length farm fruit market 1 restaurant 2 consumer 2-level channel

  11. channel design: breadth exclusive selective mass

  12. multichannel distributionAQ – text missing

  13. buyer-seller relationshipAQ – text missing

  14. selling overseas: two options make the products at home and export them or make the products abroad

  15. selling overseas home country indirect export direct export overseas facilities level of involvement and risk target country

  16. marketing functions along the supply chain • stock holding • ensuring sufficient supply • transportation • information gathering • communications • promotion

  17. e-channels • electronic distribution • b2b • order management • instant communication • supplier search • b2c • e-tailing, bricks and clicks • c2c • a different form of competition, e.g. eBay

  18. summary • right products, right place, right time • place is concerned with the whole of the distribution function • from order to delivery • channel design • levels • exclusive, selective, mass • different types of intermediaries • with different roles • additional complexities of overseas distribution

  19. reference Fernie, J. and Sparks, L. (2004) ‘Retail logistics: changes and challenges’, in J. Fernieand L. Sparks (eds) Logistics and Retail Management: Insights into Current Practice and Trends from Leading Experts, 2nd edn. London: Kogan Page.

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