Wednesday, December 7, 2011

Distribution

There are three types of distribution: exclusive, selective and intensive.

"Exclusive distribution is often found in the distribution of luxury brands and brands."

"Selective distribution is the use of more than one, but fewer than all, of the intermediaries who are willing to carry the company’s products."


"Intensive distribution is stocking the product in as many outlets as possible." 

( Marketing: An Introduction pg. 324).


“Three strategies are available: intensive distribution, exclusive distribution, and selective distribution. Producers of convenience products and common raw materials typically seek intensive distribution—a strategy in which they stock their products in as many outlets as possible. These products must be available where and when consumers want them.” (Marketing: An Introduction pg. 323)


Fizz vodka aims to be the preferred choice for vodka drinkers in America. However, this product is not exactly a convenience item or a common raw material. There is no need for intensive distribution and it would probably only end up costing us more money. Selective distribution would only limit our sales since we are not exactly a high end product. We want to be the competitors to Smirnoff, the most common vodka found in stores today and currently the most preferred in America. Therefore, given the three main types of distribution, we will take the middle road and only selectively distribute our product. This means that you will not be able to find it everywhere you look, but most grocery stores will carry Fizz vodka and all liquor stores will also carry it.


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