Place - EduqasSelecting the most appropriate marketplace and distribution channel
Customers are less likely to buy products that are difficult to find or frequently unavailable. Therefore, getting products to the right place is an important part of the marketing mix.
Selecting the most appropriate marketplace and distribution channel
The most appropriate marketplace and distribution channel often depends on the type and size of business. Businesses must select the marketplace and distribution channels based on what will allow them to be most successful, or in most cases keep costs low and make the largest amount of profit. For many smaller business, this means operating online and supplying products directly to customers.
Businesses must also ensure that they are able to get the right goods and services, to the right customer at the right time, with a reliable level of service that will give them a good reputation. This is very important for businesses when considering their market place and distribution methods.
A business selling flights or holidays may be better operating online, where they are accessible for many customers and there is no need for customers to see the product before purchasing. However, a business selling washing machines or sofas may be better having a physical retail store so that customers can see and test items before purchasing.
Selecting the right marketplace and distribution channels ultimately could save the business a lot of money, for some business this means using more traditional methods, whereas other businesses benefit from using more modern approaches.