Channel Concepts: Distributing the Product
Read this chapter. Note that the push and pull strategies are based on how the customer perceives a product. For example, if the company really wants to sell a product, it may aggressively push it through the distribution channel and into stores with pricing incentives. This is often seen with products the customer does not have a perceived need or desire for yet. A pull strategy is based on satisfying a customer's want or need. It is almost as if the customer is pulling the product through the distribution channel. Channel membership is a distribution strategy based on the type of product in question. If quality and reliability is important, marketers will use exclusive distributions, also called "authorized resellers". An intensive distribution is the opposite; a marketer will allow just about anyone to carry a product. Convenience foods are a good example. Just about every check-out line in a store now carries snacks and sodas.