ignoredmoodusDéveloppement de logiciels

21 févr. 2014 (il y a 4 années et 4 mois)

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Chapter 12

Distribution Channels and Logistics Management

Issues Concerning Distribution Channels

What is the Nature Of Distribution Channels?

How do Channel Firms Interact and Organize to do the Work of the Channel?

What Problems do Companies Face in De
signing and Managing Their Channels?

What Role Does Physical Distribution Play in Attracting and Satisfying Customers?

What is a Distribution Channel?

A set of interdependent organizations (intermediaries) involved in the process of making a product or
rvice available for use or consumption by the consumer or business user.

Marketing Channel decisions are among the most important decisions that management faces and will
directly affect every other marketing decision.

Why are Marketing Intermediaries Use

The use of intermediaries results from their greater efficiency in making goods available to target markets.

Offer the firm more than it can achieve on it’s own through the intermediaries:


CD example

How a Marketing Intermediary
Reduces the Number of Channel Transactions

Distribution Channel Functions

These Functions Should be Assigned to the Channel Member Who Can Perform Them Most Efficiently and Effectively to
Provide Satisfactory Assortments of Goods and Services to Targe
t Customers.

Number of Channel Levels
(Fig. 12.2)

Channel Level

Each Layer of Marketing Intermediaries that Perform Some Work in Bringing the Product and its
Ownership Closer to the Final Buyer.

Dual Distribution

Channel Behavior

& Conflict

The channel will be most effective when:

all members cooperate to attain overall channel goals and satisfy the target market.

When this doesn’t happen, conflict occurs:


occurs among firms at the same level of the channel,

i.e retailer to retailer.

occurs between different levels of the same channel, i.e. wholesaler to retailer.

Conventional Marketing Channel Vs. a Vertical Marketing System
(Fig. 12.3)

Types of Vertical Marketing Systems



Involves single ownership of two or more levels of a channel

Vertical integration


one channel member acquires control of one or more other members, usually by
purchasing them.

Total vertical integration


one organization controls all marketin
g channel functions.


Manufacturer purchases distributor or retailer


Wholesaler or retailer purchases channel members above them.

Contractual Systems

Involve independent p
roduction and distribution companies entering into formal contracts to perform designated
marketing functions.

Administered Systems

Characterized by a higher degree of interorganizational planning and management usually resulting from the
existence of a s
trong channel leader.

Innovations in Marketing Systems

Horizontal Marketing System

Two or More Companies at One Channel Level Join Together to Follow a New Marketing Opportunity.

Hybrid Marketing System

A Single Firm Sets Up Two or More Marketing Chan
nels to Reach One or More Customer Segments.

Changing Channel Organization

A Major Trend is Toward

Which Means that Product and Service Producers are Bypassing
Intermediaries and Going Directly to Final Buyers or That New Types of Cha
nnel Intermediaries are Emerging to
Displace Traditional Ones.

Impact of the Internet

Channel Design Decisions

Analyzing Consumer Service Needs

Setting Channel Objectives & Constraints

Identifying Major Alternatives

Evaluating the Major A

Designing International Distribution Channels

Channel Management Decisions

Selecting Channel Members

Motivating Channel Members

Evaluating Channel Members

Chapter 13

Retailing and Wholesaling

Top Retailers











What is Retailing?



Includes all the activities Involved in Selling Goods or Services Directly to Final Consumers for Their
Personal, Non
business Use.

Retailing can be done in stores (_________________) or out of a store
(_______________________) such as:

Classification of Retailing


Service, Limited
Service and Full
Service Retailer


Length and Breadth of the Product Assortment


Pricing Structure that is used by the Retailer


pendent, Corporate, or Contractual Ownership Organization

Classification of Retailing:
Amount of Service

Service Retailer

Service Retailers

Service Retailers

Classification of Retailing:
Product Line
(Tab. 13.1)


Department Stores


Convenience Stores

Classification of Retailing:
Product Line
(Tab. 13.1)


Discount Stores

Price Retailers

Warehouse Clubs

Classification of Re

Relative Prices

Higher Prices and Offer Higher
Quality Goods and Superior Customer Service

Regular Prices and Offer Normal
Quality Goods and Average Customer Service

Low Prices and Offer Lower
Quality Goods and Little Customer Service

sification of Retailing:

Retail Organization

Merchandising Conglomerates

Corporate Chain

Voluntary Chain

Retailer Cooperatives

Franchise Organizations

Retailer Marketing Decisions
(Fig. 13.1)

Retailer Strategy

t Market

Retail Store Positioning

Retailer Marketing Mix

Product and service assortment



Place (location)

Product Assortment and Services Decisions

Product Assortment




Services Mix

Key tool of non
price competition for setting
one store apart from another

Store’s Atmosphere



Retailer’s Price, Promotion, & Place Decisions

Prices Decisions

Promotion Decisions

Place Decisions

The Future of Retailing

New Retail Forms and Shortening Retail Lifecycle

of Non
store Retailing

Increasing Intertype Competition

Rise of the Megaretailer

Growing Importance of Retail Technology

Global Expansion of Major Retailers

Retail Stores as “communities” or “hangouts”



hange of information, goods, service, and payments by electronic means.

History of E

commerce actually began in the 1970s when larger corporations started creating private networks to share
information with business partners and suppliers. This

process is called Electronic Data Interchange (EDI).

Prodigy was running text ads and selling flowers in the early '80s. The first documented Online sale in
1994 was what?

Commerce Today

Some major product categories have paved the way:

travel servic
es ($5.95 B in 1999 sales),

computer hardware and software ($5.8 B),

books ($1.7 B),

gifts and flowers ($730 M),

music ($540 M), and

apparel and footwear ($460 M),

Commerce Services Today

In 1999, the online market size for business services was
estimated at $22 billion.

Primary service categories include


financial ($7.3 billion, 1999),


professional ($4.4 billion),


administrative support ($3.9 billion),


corporate travel ($5 billion), and


telecommunications ($1.5 billion).

By 2003, Forrest
er Research predicts that online services will represent nearly 8 percent of the overall
sector hardly a drop in the bucket.

Future of E

eMarketer, an Internet technology (IT) research and reporting firm, estimates that the dollar figure for e
mmerce will rise from approximately

In Europe, consumers' internet purchases will jump from:

Online business
business e
commerce is projected to speed past $1 trillion in annual revenue by 2003

Future Trends to Watch in E

Women take con
. Women make or influence 80 percent of household sales in the United States,
according to WomanTrend, despite the fact that they make up 51 percent of the population.

The untapped get tapped
. Two highly touted markets $509 million health and beauty,

and $513 million
grocery still lag behind expectations.

More "click and mortar
." Traditional retailers Circuit City, Crate and Barrel, Sears, Toys R Us, Wal
and Federated Department Stores missed the boat in 1995 and 1996, but rest assured they "g
et it" now, and
are attempting re
entry, this time around with more money and smarts. Watch out.

Still a Long Way To Go

Andersen Consulting and Forrester Research both show shopping cart abandonment rates of 25%.

commerce still accounts for less than 1
% of total retail sales

Pure plays are struggling to maintain cash flow and are either:

Security Issues are Important

What is Wholesaling?

All the activities involved in selling goods and services to those buying for resale or business use.



those firms engaged

in wholesaling activity.

Wholesalers buy mostly from producers and sell mostly to:




Why are Wholesalers Used?

Wholesalers are Often Better at Performing One or More of the Following Channel Functions:

Types of Wholesalers


independently owned business that takes title to the merchandise it handles.


they don’t take title to the goods, and they perform only a few functions.


wholesaling by sellers or buyers themselves rather than through independent wholesalers.

Retailer Marketing Decisions
(Fig. 13.1)

Wholesaler Strategy

Target Market

Service Positioning

Wholesaler Marketing Mix

t and service assortment



Place (location)

Trends in Wholesaling

Consolidation within the industry is reducing # of wholesalers

Distinction between large retailers and wholesalers blurs

Wholesalers will continue to increase the servic
es provided

Wholesalers are beginning to go global

Chapter 14

Integrated Marketing Communications Strategy

Marketing Communication Mix or Promotion Mix


Personal Selling

Sales Promotion

Public Relations

Direct Marketing

The Changing

Communications Environment

Two Factors are Changing the Face of Today’s Marketing Communications:

The Need for Integrated Marketing Communications

Integrated Marketing Communications

(IMC), the Company Carefully Integrates and Coordinates
Many Communications Channels to Deliver a Clear, Consistent, and Compelling Message About the
Organization and Its Product or Service.

Elements in the Communication Process
(Fig. 14.2)

Key Factors in Good Communication

Sellers need to know w
hat audiences they wish to reach and response desired.

Sellers must be good at encoding messages that target audience can decode.

Sellers must send messages through media that reach target audiences

Sellers must develop feedback channels to assess audience
’s response to messages.

Steps in Developing Effective Communication

Step 1. Identifying the Target Audience

Step 2. Determining the Communication Objectives Buyer Readiness Stages

Step 3. Designing a Message





Message Content

Message Structure

Message Format

Step 4. Choosing Media

Personal Communication Channels

personal Communication Channels

Step 5. Selecting the Message Source

Step 6. Collecting Feedback

Setting the Total Promot
ion Budget

One of the Hardest Marketing Decisions Facing a Company is How Much to Spend on Promotion.


Based on What the Company Can Afford


Based on a Certain
Percentage of Current or Forecasted Sales


Based on Determining Objectives & Tasks, Then Estimating Costs


Based on the Competitor’s Promotion Budget

the Promotion Mix


Personal Selling

Sales Promotion

Public Relations

Direct Marketing

Product Placement

Product Placement is the use or display of a product or service in an entertainment program.

The placement involves a payment to th
e entertainment vehicle, but does not involve payment for “airtime”

Famous examples include:

Promotion Mix Strategies


Strategy that Calls for Spending A Lot on Advertising and Consumer Promotion to Build Up (Pull)



Strategy that Calls for Using the Salesforce and Trade Promotion to Push the Product Through the

Strategy Selected Depends on:




Socially Responsible Marketing Communication

Advertising and Sales Promotion

Personal Selling

Chapter 15

Advertising, Promotions, and Publicity

Advertising History

U.S. advertisers spend in excess of $212 billion each year;

Worldwide spending exceeds $414 billion.

Advertising is used by:

What is Advertising?

Advertising is Any Paid Form of Non
personal Presentation and Promotion of Ideas, Goods, or Services by an
Identified Sponsor.

Setting Advertising Objectives

Advertising Objective

specific communication

accomplished w
ith a specific

audience during a specific
period of


inform consumers or build primary demand


build selective demand


compares one brand to another


keeps consumers thinking about a product

Setting the Promotion Budget

After determining its advertising objectives, the marketer must set the advertising budget for each product and
market. (From Chapter 14)


based on what the

company can afford


based on a certain percentage of current or forecasted sales


based on determining objectives & tasks, then estimating costs


based on the competitor’s promotion b

Setting the Advertising Budget

Factors to be considered when setting the advertising budget:

Developing Advertising Strategy

Advertising Strategy Consists of Two Major Elements and Companies are realizing the Benefits of Planning These

Elements Jointly.

Developing Advertising Strategy: Creating Ad Messages

Plan a Message Strategy

Develop a Message

Creative Concept “Big Idea”

Advertising Appeals




Developing Advertising Strategy: Message Execution

Turning the
“Big Idea” Into an Actual Ad to Capture the Target Market’s Attention and Interest.

Typical message execution styles:

Testimonial Evidence

Slice of Life

Scientific Evidence


Technical Expertise


Personality Symbol

Mood or Image


Advertising Strategy: Selecting Advertising Media

Step 1. Decide on Reach, Frequency, and Impact

Step 2. Choosing Among Major Media Types

Step 3. Selecting Specific Media Vehicles

Step 4. Deciding on Media Timing

Major Media



Direct mail





Evaluating Advertising

Communication Effects

Sales Effects

International Advertising Decisions

Adaptation of global advertising

Advertising media dif
fer considerably in availability & cost

Regulation in advertising practices

Comparison ads not acceptable in all countries

Programs must be matched to local cultures and customs

What is Sales Promotion ?

Sales promotion is a mass communication techniqu
e that offers short
term incentives to encourage purchase or
sales of a product or service.

Rapid Growth of Sales Promotion

Sales promotion can take the form of . . .





Rapid growth in the industry has been achieved because:

Product managers ar
e facing more pressure to increase their current sales,

Companies face more competition,

Advertising efficiency has declined,

Consumers have become more deal oriented.

Sales Promotion Objectives

Increase short
term sales or help build long
term market sh

Get retailers to:

Major Consumer Sales Promotion Tools



Cash Refunds

Price Packs

Major Consumer Sales Promotion Tools



Advertising Specialties

Patronage Rewards





Major Trade Sales Promotion Tools

Trade Promotion Objectives

Persuade Retailers or Wholesalers to Carry a Brand

Give a Brand Shelf Space

Promote a Brand in Advertising

Push a Brand to Consumers

Promotion Tools



Major Business Sales Promotion Tools
Promotion Tools


Trade Shows

Sales Contests

Promotion Objectives

Generate Business Leads

Stimulate Purchases

Reward Customers

Motivate Salespeople

Developing the Sales Promotion Progra

Decide on the Size of the Incentive

Set Conditions for Participation

Determine How to Promote and Distribute the Promotion Program

Determine the Length of the Program

Evaluate the Program

What is Public Relations?

Public relations involves building good

relations with the company’s various publics by obtaining favorable
publicity, building up a good corporate image, and handling or heading off unfavorable rumors, stories, and events.

Major Public Relations Functions

Public Relations Departments May Per
form Any of All of the Following Functions:

Press Relations or Agentry


Product Publicity


Public Affairs



Investor Relations




Major Public Relations Tools



Special Events

Written Materials

dio/Visual Materials

Corporate Identity Materials

Public Service Activities

Web Site

Major Public Relations Decisions

Setting Public Relations Objectives

Choosing the Public Relations Messages and Vehicles

Implementing the Public Relations Plan


Public Relations Results

Chapter 16

Personal Selling and Sales Management

Nature of Personal Selling

Most salespeople are well
educated, well
trained professionals who work to build and maintain long
relationships with customers.

The term salesper
son covers a wide spectrum of positions from:

What is Personal Selling?

Involves two
way, personal communication between salespeople and individual customers. Communication can be:

The Role of the Sales Force

Personal selling is effective becau
se salespeople can:

probe customers to learn more about their problems,

adjust the marketing offer to fit the special needs of each customer,

negotiate terms of sale, and

build long
term personal relationships with key decision makers.

The Role of the Sal
es Force

Sales Force

Serves as a Critical Link

Between a Company and its Customers Since They:

Major Steps in Sales Force Management
(Fig. 16.1)

Designing Sales Force Strategy and Structure


exclusive territory to

sell the company’s full product line


sales force sells only a portion of the company’s products or lines


sales force sells only to certain customers or industries

Some Traits of Good Salespeo

Recommendations for
Recruiting Salespeople

Current Salespeople, Employment Agencies, Classified Ads, College Students, Internet

Training Salespeople

The Average Sales Training Program lasts for Four Months and Has the Following Goals:

Help sales
people know & identify with the company

Learn about the products

Learn about competitors’ and customers’ characteristics

Learn how to make effective presentations

Understand field procedures and responsibilities

Compensating Salespeople

To Attract Salespeo
ple, a Company Must Have an Attractive Plan Made Up of Several Elements

Supervising Salespeople

Directing Salespeople

Annual Call Plan

Duty Analysis

Sales Force Automation

Motivating Salespeople

Organizational Climate

Sales Quo

Positive Incentives

Evaluating Salespeople

Management gets information about its salespeople in several ways:

Formal evaluation of performance can be done qualitatively or quantitatively.

Evaluation methods of performance includ

Chapter 17

Direct and Online Marketing: The New Marketing Model

Mass Marketing and Direct Marketing

Mass Marketing

Direct Marketing

What is Direct Marketing?

Direct marketing

consists of direct connections with carefully targeted individu
al consumers to both obtain an
immediate response and cultivate lasting customer relationships.

Forms of Direct Marketing

Face Selling


Direct Mail


Direct Response TV

Kiosk Marketing

Online Marketing

Benefits and Gr
owth of Direct Marketing

Buyers Benefits

Sellers Benefits

Customer Databases

Customer Databases are an Organized Collection of Comprehensive Data About Individual Customers or
Prospects Including:





e Marketing

is the process of building, maintaining, and using customer databases and other databases for the purposes of
contacting and transacting with customers.

How companies use their databases:





Online Marketing

Online Marketing is c
onducted through interactive online computer systems, which link consumers with
sellers electronically.

Who is the Online Customer?

They tend to be younger, more affluent, better educated, and more male than the general population; female
usage almost e
quals males.

Other characteristic of net users:

Promise and Challenge of Online Marketing

Limited Consumer Exposure and Buying

Skewed User Demographics and Psychographics

Chaos and Clutter


Ethical Concerns

Public Policy and Ethical Is
sues in Direct Marketing

Irritation to Consumers

Unfairness, Deception, or Fraud

Invasion of Privacy