Channel Management

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What is a Distribution Channel? Meaning.

A distribution channel is comprised of an array or set of businesses which collectively perform all of the activities needed to move a product and its title from production to consumption.

Typical parties in a distribution channel are:

  • Manufacturer/Producer
  • Agents
  • Wholesalers
  • Retailers
  • Industrial Distributors
  • (Industrial Users)

What is Physical Distribution? Meaning.

Physical distribution, also known as logistics, is the total of activities aimed at organizing and moving products through the channels: ordering, transporting, storing, handling and inventory control.


Channel members add value to the distribution channel by:

  • Place Utility: Ensuring that the right amount of products is available at the right place.
  • Time Utility: Ensuring that the right amount of products is available at the right time.
  • Providing various value added services, such as:
    • Marketing/Promoting/Informing
    • Financing/Risk Taking
    • Storing
    • Packaging
    • Transporting
    • Merchandising
    • Selling/Contacting/Negotiating
    • Ordering/Matching

What is Channel Management? Meaning.

Channel Management is an organizational concept that involves the selection, measurement and management of distribution channel parties. Alternatively it can be described as the development of policies and procedures to gain and maintain the cooperation of various parties within a sell-side distribution channel.

There are 4 major activities in channel management:

  • Selecting the (type of) partners as well as the number of them (channel length)
  • Managing the channel partners
  • Motivating the channel partners
  • Evaluating the channel partners

Channel Management Special Interest Group


Special Interest Group (142 members)


Forum about Channel Management  

Discussions about Channel Management.


Qualification of Sales Networks
Does anyone has a good example of qualifying a sales network level? Like gold / bronze and silver. And what does it cont (...)
 
 
 
 
🔥 NEW Newsletter for Multiple Product Lines
I have a communication dilemma. We communicate to our distri network via a monthly newsletter. Our distribution network (...)
 
 
 
 
Channel Management in case of a Relaunch
How to manage channel when some dead product is relaunched in the market? (...)
 
 
 
 

Best Practices about Channel Management

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Introduction Into Channel Management and Distribution

Channel Management, Distribution (...)
 

Compare also: Affiliate Marketing  |  Microfinance Channel  |  Co-Creation  |  Multi Channel Marketing 

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