Share
Explore BrainMass

Snickers Candy Bar - Distribution

My product is Snickers candy bar

1. An overview of distribution channel
Channel levels-direct versus indirect distribution
Channel organization-conventional, vertical, horizontal, and multichannel marketing system.

2. Analyze your target markets need. Explain what you know about your target market and what they want from channel of distribution.

3. Determine which channel member you will use and explain why
-indirect-retailer, wholesaler, dealer manufacturer's

4. Discuss how many channel members you will use and explain why (intensive distribution)

5. Recommend a channel organization and explain why (Conventional, vertical, horizontal or multichannel marketing systems)

Solution Preview

Reference:

Retailing by Patrick Dunne

My product is Snickers candy bar

1. An overview of distribution channel (Channel levels-direct versus indirect distribution)
Channel organization-conventional, vertical, horizontal, and multi channel marketing system.

Distribution Channel:

In indirect distribution an intermediary is involved between the manufacturer and the buyer. That intermediary is responsible solely for the distribution of goods on the behalf of the company.

Secondly, indirect selling is simple and cheap while direct distribution channels require more budget.

An indirect strategy is recommended:

Reasons:
? The product is a low involvement product and a low value/ low margin product.
? This is an impulse product and needs extensive distribution. Consumer needs to see this product at all Point of Sale to buy the same.
? Thus costs of direct marketing are very high.

Channel organization:

Multi Channel - It is preferred to have a Multi channel organization of distribution, since each geographic location will have its own dynamics for distribution.

Primarily, the ...

Solution Summary

Snickers candy bar
1. An overview of distribution channel
2. Analyze target need.
3. Determine channel member - Indirect-retailer, wholesaler,dealer manufacturer
4. Discuss how many channel members (intensive distribution)
5. Recommend a channel organization and explain why (Conventional, vertical, horizontal or multichannel marketing systems)

$2.19