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Channel Design Decisions

This document outlines a 5-step process for channel design decisions: 1) Analyze consumers' desired service levels, 2) Establish objectives and constraints, 3) Identify major channel alternatives like exclusive, selective, or intensive distribution, 4) Evaluate alternatives based on economic and control criteria, 5) Choose channel members. It also discusses ongoing channel management decisions like selecting, training, motivating, and evaluating channel members.

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Balachandar Kaliappan
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4K views5 pages

Channel Design Decisions

This document outlines a 5-step process for channel design decisions: 1) Analyze consumers' desired service levels, 2) Establish objectives and constraints, 3) Identify major channel alternatives like exclusive, selective, or intensive distribution, 4) Evaluate alternatives based on economic and control criteria, 5) Choose channel members. It also discusses ongoing channel management decisions like selecting, training, motivating, and evaluating channel members.

Uploaded by

Balachandar Kaliappan
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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Channel Design Decision

By Balachandar K

Step 1:- Analyzing Consumers Desired Service Output Levels


1) 2) 3) 4) 5) Lot size No of units a customer can buy. Waiting and delivery time Spatial Convenience Ease of access. Product variety Service backup add on services

Step 2: - Establishing Objectives and Constrains Step 3:- Identifying Major Channel Alternatives
Check for types of Intermediaries Number of Intermediaries
Exclusive distribution Selective distribution Intensive distribution

Terms and responsibilities of channel members

Step 4:- Evaluating the Major Alternatives


Economic criteria
Whether to use our sales force or the distributor sales force? Which one will be economical!!

Control and adaptive criteria


Channel member should have targets.

Step 5:- Choosing the Channel Member

Channel Management Decisions


Selecting Channel Members. Training Channel Members. Motivating Channel Members. Evaluating Channel Members. Modifying Channel Arrangements.

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