• Direct distribution – from a producer directly to customers
• Indirect distribution - distributing by the use of an intermediary (wholesalers, retailers)
DIFFERENCE BETWEEN WHOLESALE AND RETAIL
• Retail: A retail store sells individual items to the public (consumers).
• Wholesale: Wholesaler sells pallets of items to the retailer (other companies).
• Transportation - transports products from the manufacturer to retailers and customers.
• Information - collects and analyzes informations about current and potential customers, competitors, suppliers.
• Contact – finds and establishes contact with prospective buyers.
• Matching - involves tailoring the product to fit customer needs.
• Financing - a distribution channel partner finances his costs, including buying and storing .
• Risk - a distribution channel shares some of the business risks.
• Department store – a collection of smaller retail stores, offers a wide range of products, is managed by one company.
Example: Former department store Kotva or
• Shopping centers - a large sales area, offering a full range of goods (food, fashion, electronic, household good) and services
(hairdresser, cinema, fast food), prices of products can be various (expensive, cheap), each part is owned by different owners
Example: OC Futurum Kolín, OC Chodov
• Speciality retailers – specialising in specific products, this type of retailer is able to offer the customer expert knowledge and a high level of service.
Example: florist, butcher, fashion, stationery
• Supermarket – focused on large range of food and beverage products. Sometimes you can buy there electrical products, fashion and household goods.
Example: Kaufland, Tesco, Billa
• Grocery stores – a relatively small shops offering a narrow range of FMCG goods at higher prices
Example: small shops in villages, shops with extended shopping hours („Večerka“)
• Discount retailer – offers a variety of discounted products, they offer low prices on less fashionable branded products or returned goods at discounted prices.
Example: Outlet shops