4P Strategy and Distribution Channels Essay

In marketing, distribution channels are one of the classics '4P's" (product, promotion, price and placement). These are the keys to have success to the whole marketing strategy where they help to expand, reach and grow revenue. The fourth "P", placement is also known as distribution, or distribution channels.
Distribution channels have 2 ways, direct and indirect. It can be short whereby a direct transaction is formed between vendor to customer or by having several intermediaries along the process, whereby wholesalers, distributors, agents and retailers are involved. Therefore, it is important to choose the right distribution channels. There are 5 distribution channel selection factors, reach, skills, customers, control and advantage.
The channel we are going to use is direct via Internet. We wanted Mozzer to be easily accessible to our customers, especially Malaysians. Since technology is getting better, we would like Mozzer to be advertise and let more people know our product in a more efficient and faster way. Considering the second factor, skills, we wanted our customers to receive the best possible service. The question is, why not we go with a direct marketing channel? A direct sales force may be the right solution but it is not easy to deal with customers through a third-party distribution channel. We as technopreneur, would like to contact with our customer face to face so that we can know wjat are their requirement and we can fix their problem in a faster pace. We can build and increase our product knowledge and the ability to create better relationships with our customers.
Direct channel via Internet might be challenging as we need to deal with our customer base as business period getting longer. Distribution channels does not focus on delivering products to customers but it also deals with communication between customers. If we choose distributors or retailer, the pros will be we can tap into their customer base but the cons are we will need to give sales incentives to them while we have limited capital.
Next, in order to compete with other competitors, we need to ensure our product is always reaching the standards of our customers' service. We have 11 member in our group so it will be easier if one member will in charge to monitor and manage the performance of the distribution channel. The right choice of distribution channel is critical because it might affect the relationship between customer and us.
Besides, as for the factor advantage, we would want the public to look for a faster, cheaper and easier ways of buying products. According to Mulitimedia Marketing, channel innovation brings a strong competitive advantage. We hope that our product might be the first choice for consumers and our innovation will help them to have a more secure living place.
In short, distribution channel is important as we wanted to ensure optimal efficiency that will be involved in the process. With these, our business will have a more sequenced way to serve our customer no matter wherever they are.