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Distribution Management in 21st Century

This document discusses distribution management and logistics management. Distribution management refers to arranging the transfer of ownership of products from where they are produced to where they are consumed. It involves managing the movement of goods through supply chains and marketing channels. Logistics management focuses on ensuring product availability at the right times and locations. Effective distribution and logistics management are important for businesses to remain organized, competitive and satisfy customers. Technology has modernized distribution channels and allows data-driven decision making.

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jeon jungkook
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2K views17 pages

Distribution Management in 21st Century

This document discusses distribution management and logistics management. Distribution management refers to arranging the transfer of ownership of products from where they are produced to where they are consumed. It involves managing the movement of goods through supply chains and marketing channels. Logistics management focuses on ensuring product availability at the right times and locations. Effective distribution and logistics management are important for businesses to remain organized, competitive and satisfy customers. Technology has modernized distribution channels and allows data-driven decision making.

Uploaded by

jeon jungkook
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

DISTRIBUTION

SPOT MANAGEMENT
for the21st Century
KEY DIFFERENTIATORS
customers now have access to products worldwide and
expect specialized products to fit their specific needs

better able to react with changes efficient and cost-


quickly identify in operational tactics conscious
trends
DISTRIBUTION: MEANING
AND CONCEPT

MAIN CONCEPT
Distribution – Refers to the
development of arrangements
necessary to transfer ownership
of a product and its
transportation from where it is
finally consumed.
WHAT IS DISTRIBUTION
MANAGEMENT?
Distribution management is part of the
supply chain process that ultimately
delivers goods to end-users or
consumers.

Managing distribution is essentially


managing the movement of goods,
whether it be from a wholesaler to a
retailer or from a retailer to a consumer.
VIRTUAL STORES
Marketing channel
management is concerned
with the entire process of

USER BENEFIT
setting up and operating
the contractual organization
that is responsible for
meeting the distribution
objectives of firms.

THERE ARE BASICALLY FOUR TYPES


OF MARKETING CHANNELS:
1. direct selling- directly to consumers away from
a fixed retail location
2. Selling through intermediaries - wholesalers and
retailers are utilized to make a product available
to the customer
3. Dual distribution - They may sell directly to the
end users as well as sell to other companies for
resale.
4. Reverse channels - from consumer to
intermediary to beneficiary.
Technology, however, has made another flow possible. This one goes in the
reverse direction and may go -- from consumer to intermediary to the
beneficiary. Think of making money from the resale of a product or recycling.
LOGISTICS
MANAGEMENT – is focused more on
providing product availability
at appropriate times and on
places in the marketing
channel.
LOGISTICS MANAGEMENT INVOLVES
NUMEROUS ELEMENTS, INCLUDING:
Selecting appropriate vendors with the ability
to provide transportation facilities

Choosing the most effective routes for


transportation

Discovering the most competent delivery


City 1 City 1
method
City 2 City 2
Using software and IT resources to proficiently
handle related processes
DISTRIBUTION
MANAGEMENT
• is an important part of the business cycle for distributors
and wholesalers.

•The profit margins of businesses depend on how quickly


they can turn over their goods.

•The more they sell, the more they earn, which means a
better future for the business.

•Having a successful distribution management system is


also important for businesses to remain competitive and
to keep customers happy.
•Distribution management helps keep things organized
and keeps customers satisfied.
Item 5 Item 1
20% 20%
•The larger a corporation, or the greater the number of
supply points a company has, the more it will need to rely
on automation to effectively manage the distribution
process.

•Most progressive companies now use their distribution


forces to obtain market intelligence which is vital in
Item 4 Item 2
assessing their competitiveness. 20% 20%

•First, it keeps things organized. If there was no proper


management system in place, retailers would be forced
to hold stock in their own locations—a bad idea, Item 3
especially if the seller lacks proper storage space. 20%
BUSINESS GOAL

•Distribution channels help in the


‘place 'aspect of the marketing Customer
Market & Performance
Insight
mix
STRATEGY

•Distribution provides place, time


Market Mix
and possession utility to the Competitor
Modeling

consumer

MARKETING PLAN
SCENE: Consumer wants to buy a tube of toothpaste

•Made available at a retail outlet close to her residence – PLACE

•Made available at 8 pm on a Tuesday evening when she wants it – TIME

•She can pay for the toothpaste and take it away – POSSESSION

THANK YOU!

imAWESOME!

SPOT DISTRIBUTION MANAGEMENT for the21st Century
KEY DIFFERENTIATORS customers now have access to products worldwide and expect specialized products to fit their specific nee
MAIN CONCEPT DISTRIBUTION: MEANING AND CONCEPT Distribution – Refers to the development of arrangements necessary to transfe
WHAT IS DISTRIBUTION MANAGEMENT? Distribution management is part of the supply chain process that ultimately delivers goods
VIRTUAL STORES
USER BENEFIT Marketing channel management is concerned with the entire process of setting up and operating the contractual o
THERE ARE BASICALLY FOUR TYPES OF MARKETING CHANNELS: direct selling- directly to consumers away from a fixed retail locati
Technology, however, has made another flow possible. This one goes in the reverse direction and may go -- from consumer to in
LOGISTICS MANAGEMENT – is focused more on providing product availability at appropriate times and on places in the marketing

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