Research Reports
Marketing Channels For Direct Sellers
Marketing channels are the logical extension of sales and distribution. A marketing channel actually consists of the companies, people, and activities needed to move the ownership of products from the initial point of manufacturing to the final point of sale. It’s the pathway by which goods get to their ultimate destination: the consumer.
In simple terms, marketing channels simplify the process of moving goods from manufacturer to retailer. For example, when clothing is manufactured, wholesalers act as the manufacturers and retailers act as the retailers. Retail salespeople work for the manufacturer, while online salespeople work for the wholesaler. If you go to a shoe store and buy a pair of running shoes, you are going to go to a wholesaler who has the manufacturer’s product and warehouse located there. Then you would drive or pick up the shoes at the manufacturer’s factory and then deliver the shoes directly to your local retailer.
The manufacturer’s sales staff works from beginning to end, including paying employees, stocking shelves, packaging products, shipping merchandise, and handling returns. In addition, they orchestrate the entire sales and distribution process. This includes all of the communication between manufacturer and retailer, including the design and development of marketing channels, as well as the actual manufacturing and packaging of the goods. All of these efforts are an essential part of the manufacturer-retailer relationship, which is what marketing channels are designed to support.
So where do manufacturers begin to think about expanding their marketing channels to consumers? Most companies have a long list of potential customers, but how can they reach everyone? Many of today’s consumers spend time on the internet, social media, and even on their mobile devices. These individuals may be interested in the same kinds of products that you do, but they do not live in the areas where your company has stores.
This is why marketers should consider tapping into these new markets. Retailers do not have to build out massive campaigns, spend hours of talking on the phone, or sending tons of coupons. All they have to do is find a way to bring the information they want to their consumers in front of them, whenever they are browsing the internet. This is why many marketers are using social media to leverage their marketing channels and bring in new consumers.
Social media allows you to target your audience, as well as let you connect with others in your market. You can also let others know about your products and services, so that you gain exposure as one of the top distributors in your industry. You can also use social media, like Facebook and Twitter, to build out your direct selling company. These platforms allow you to build relationships with others in your industry, while allowing you to share valuable information about your company and products with other marketers.
Direct marketers can use their marketing channels to help create relationships with producers. The producer is grateful for the fact that the distributor(s) have opened up their checkbook to them and may recommend the product(s) to others who might be interested in them. This is an excellent opportunity to gain additional contacts and expand your network, all while building your business.
In short, social media, like direct marketing channels, provide marketers with the tools to become more effective in their businesses. They allow you to take control over your message to consumers, gain relationships with producers, and share information with others in your industry. With all this going for you, it makes sense to put your time into using them. Marketing is not easy, but it is possible. With the right strategy, it can be highly effective.
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