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The Marketing Mix: Distribution (Place) Strategies


Assume that you are the newly hired distribution manager for Burberry and that the VP of Marketing wants you to prepare a report on how the designer's/bran's product/good is currently marketed and to begin to think about what changes, if any, you might want to see made in the distribution of that designer's/brand's products/goods.

Does the distribution of the designer's/brand's products/goods make the designer's/brand's products different from its competitors?
Defend your position.

In terms of product/good marketing, how would you change the distribution of the product? Would you keep the level of distribution the same, make it more intense, or make it less intense?
Defend your position.

The Situation

You have to learn the distribution channels your designer/brand currently uses and recommend changes in that mix.

You also have to decide if you offer your designer's/brand's products/goods in additional outlets if you want to have those outlets carry the current brand or a new brand by that designer. For example, consider the stores selling Ralph Lauren versus Champs, Liz Clairborne versus Liz, Dolce & Gabbana versus D&G, Calvin Klein versus CK, Carolina Herrera versus CH, Donna Karan versus DKNY, Vera Wang (different lines sold in different stores), Massimo (different lines sold in different stores) and Martha Stewart (different lines sold in different stores e.g Kmar versus Macy's). Does the name of the brand vary between types of stores or does the same brand appear in different types of stores: eg. designer/brand owned stores, high-end department stores, discount department stores, versus mass merchandisers? Are JC Penny's customers different from Neiman Marcus' customers?

In preparing your CASE3, ensure that you demonstrate your learning of the marketing concepts and frameworks for analysis outlined in the modular learning objectives by using and referencing the background and case material.

1. Define marketing channels and channels of distribution.

2. Explain how the channels of distribution integrate with the firm's marketing strategy.

3. Evaluate an organization's channels of distribution in terms of competitive advantage and an organization's marketing strategy.

Note that this assignment does NOT require you to prepare a detailed essay. Instead use section headings for each of the topics you address in your paper followed by a discussion of that topic.

You will find instructions on how to get into databases that will help you find information on companies and products at the following url

Solution Preview

Marketing Mix Distribution Strategies

In current scenario, distribution strategies play an important role in order to provide products to international customers in an easy way. Burberry is a world's leading luxury fashion brand that has a well define distribution channel (Burberry 2011). This paper discusses about Burberry's distribution channel with the help of competitors distribution channels. This paper also discusses about some changes in distribution channel in order to make effective distribution channel.
Distribution Channel
Most of the owners of luxury and premium brands use channels to market that reflect the uniqueness, exquisiteness and rarity of their brands. In order to distribution of product, Burberry's distribution strategy uses different forms of distribution channel such as retail distribution, wholesale distribution, licenses distribution and own retail sites are as follows:
Retail Distribution: Retail distribution is very important distribution channel of Burberry. Retail distribution includes flagship stores that have full range of products. Retail distribution of Burberry also includes regular price retail stores that have a fix price for products and designer's collections. Burberry also creates contract with other retail distributors to sale products, designer's collection and good. Burberry's retail distribution also includes designer's outlets and factory stores that help Burberry to reach its product collection to more people (Hines and Bruce 2007).
Wholesale Distribution: Wholesale distribution is also an important distribution channel of Burberry. Wholesale distribution targets specific departmental stores and boutiques with a market profile that matches the brand. With the help of wholesale distribution, Burberry's ...

Solution Summary

The solution discusses distribution strategies for the marketing mix.