Marketing department
Subject: logistics management
Course code: 403
Assignment on
“Nine distribution channel members”
Submitted by
Md. Atikul Islam
ID: 16304128
Submitted to
Course instructor : Saikat das
The Nine members in Distribution Channels :1. Retailers: Retailers are intermediaries used frequently by companies.
Examples include supermarkets, pharmacies, restaurants, and bars. Each of these
types of businesses has full sales rights.Generally, product prices are higher in retailers
2. Wholesalers: Wholesalers are intermediaries that buy and resell products to
retailers. Wholesalers sell to those who are going to put products in their own stores.
These intermediaries generally don’t sell small quantities to final consumers, though
there are exceptions, like supermarkets that sell in the wholesale model.
Prices are lower because sales involve large quantities.
3. Distributors: Distributors sell, store, and offer technical support to retailers and
wholesalers. Their operations are focused on specific regions.
4. Agents: Agents are legal entities hired to sell a company’s goods to final
consumers and are paid a commission for their sales.
In this case, the relationships between intermediaries and companies are for the long
term.
5. Brokers: Brokers are also hired to sell and receive a commission.
The difference between agents and brokers is that brokers have short term relationships
with the company.
That’s the case with real estate agents and insurance brokers, for example.
6. The Internet: To those who sell tech and software, the internet itself works as the
intermediary of the distribution channel.
The consumer only has to download the material to have access to it.
7. Sales Teams: A company can also have its own sales team who are responsible
for selling goods or services.There is also the possibility of creating more than one team
to sell various segments & audience if the company has a wide range of products.
8. Resellers: Resellers are companies or people who buy from manufacturers or
retailers to later sell to consumers in retail.
9. Catalog: Catalog sales, as the name indicates, is when a salesperson is
connected to a company and sells its products using a magazine. Salespeople in this
model also usually earn a commission for their sales.
This type of sales is common in the beauty segment, with brands like Avon and the
Brazilian Natura.