In this post
When promoting products there are many different methods that can be used. The methods of distribution are closely linked to the place that the product is sold (you should remember this from the 4P’s of marketing that we have already covered). The place that a product is sold and advertised will have a big impact on the volume of sales that are made.
Retailers
A retailer is someone who stocks an item in a shop. This will be a physical location such as a high-street store where people will go to buy items. This type of approach opens the door to different types of promotion such as merchandise and sales displays as well as making a sale more personal with the help of a shop assistant. This is often required when products are specialist or very personal to an individual.
E-tailers
An e-tailer is someone who stocks a product but sells this online. This method can save a huge amount of money on things like rent, staffing and running costs. This is due to the fact that all an e-tailer needs is storage space for products and a website or other method for online promotion. Advertising can be very targeted due to the use of search engine marketing and so a high return on advertising costs can be seen.
Wholesalers
Some producers of goods will use wholesalers in order to distribute goods. A wholesaler will buy direct from a manufacturer in large numbers and then store goods for sale at a later date. The goods are then sold on to smaller shops for further resale on to the end consumer. A wholesaler will stock goods from a number of manufacturers and is likely to buy in bulk so that they get a discount in order to make a profit when selling on to customers.
