Distribution Strategy

Running Head: Distribution Strategy 1
Distribution Strategy
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Distribution Strategy 2
The various steps between producers and consumers that the goods or services go
through can be defined as a Distribution Channel. Direct distribution channel in type where the
producer sells directly to the consumers foregoing the assistance of intermediaries such as the
wholesaler or retailer. This strategy does prove advantageous for the consumers in certain cases,
when compared to the straightforward distribution process. Firstly, Consumers can avail better
value of the product if there are lesser steps in the distribution channel; this is because the
additional price markup at each step can be eliminated. Secondly, reduction of steps in the
distribution channel would also mean reduction in logistics required for movement of goods
from the manufacturers to the consumer through the distribution chain which will improve
efficiency and provide quicker shipment of the products to the consumer, thereby enhancing
customer satisfaction.
Retailer Channel Distribution would be the best method for a product like The Baby Cry
Translator (TBCT). The reasons behind choosing the retailer channel are-
 Product factors- TBCT has a high manufacturing price and might require customization
according to the needs of the customers, hence a short distribution channel like that of a
retailer channel would be ideal.
 Market factors- Firstly, the market includes a large number of buyers. Secondly, general
buyers are more in number in comparison to industrial buyers. Thirdly, the product is not
bought by consumers in large quantities. Fourthly, the market area for this product is
fairly scattered. These market factors suggest retail channeling as the best distribution
strategy.