The Advantages of Selling Goods Through a Retail Distribution Channel

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Selling goods through a retail distribution channel has a number of clear benefits over other avenues. Learn about the benefits of selling goods through a retail distribution channel with help from a director of online marketing in this free video clip.

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Video Transcript

Hi I'm Angela with Let's find out the advantages of selling goods through a retailer distribution channel. A distribution channel or a marketing channel is the movement of products and services from the manufacturer to the end user or the consumer. In a three tiered distribution channel, retailers purchase products from a wholesaler and then sell those products directly to the consumer. The advantages of a retailer in the distribution channel is that a retailer offers an assortment of products but at the same time trends the consumer's needs so those products that they are offering are then categorized based on the consumer's needs. What this does is give the buyer a wider selection within the category that they're looking for. Retailers also help to reduce the cost of distribution with a routine or familiar transactions. This leads to an overall cost reduction for the manufacturer, the retailer and of course the end user, the consumer. In comparison to a transaction that's brand new which requires negotiation and other technicalities, usually resulting in higher costs for the consumer. These are some of the advantages of selling goods through a retail distribution channel. Again this is Angela Kelly. Thanks for watching.


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