MARKETING MIX

The Marketing Mix: Distribution Channels

The Marketing Mix: Distribution Channels

INTRODUCTION

Along with product, price and promotion, distribution (place) is a major component in the Marketing Mix. Tourism product has certain distinctive characteristics, and because of its nature, it requires channels to reach the customer. Distribution system provides the channel or means by which tourism supplier gains access to the potential customers of the product. In assignment, we have discussed the importance of the distribution strategy and developed a distribution strategy for our tourism business. We will decide a distribution strategy and distribution channels and the importance of intermediaries in marketing tourism products.

DISTRIBUTION STRATEGY

Our marketing manager has two options for distribution of the services that we offer to our customers. Directly reaching customer and reaching customer through the middlemen (Christ, 2011). Hence the decision relating to distribution mix is to decide whether to go for Direct Marketing or for Indirect Marketing or both. Indirect Marketing will be a good strategy as the following conditions exist:

1.Number of buyers is large

2.Frequency of purchase is high

3.Volume per purchase is small

On the other hand, other variation of distribution is the indirect marketing strategy, which involves the use of intermediaries (Freeman, 2008). They help in making the product amiable to consumer through the process of sharing risk and providing financial and information support. The case for using middlemen would rest on our supplier efficiency in the performance of basic marketing tasks and functions. Marketing intermediaries, through their experience, specialization, contacts and scale offer the producing organization more than it can routinely achieve on its own. Distribution channels are of different types and an organization may adopt anyone type of, a combination of or all types of the distribution channels (Tanner and Raymond, 2010). All this depends on the type of service being provided by the ...