Chapter 16 - Grewal & Levy 5th edition
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This document discusses supply chain and channel management. It covers the importance of marketing channels and supply chain management. Specifically, it describes how marketing channels add value, how channel management affects other marketing aspects, how to design marketing channels, types of vertical marketing systems, managing channels through strategic relationships, making information and merchandise flow through channels, and inventory management through just-in-time systems.
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Selling to other businesses is more involved than ever of recent. In fact, studies show that many buying decisions in the B2B space involve several people. This article explains why that happens. We call these groups of people the Decision-Making Unit or DMU. When you truly understand what a DMU is and how it works, you can improve your sales approach and build stronger, lasting commercial relationships.
Chapter 16 - Grewal & Levy 5th edition
- 2. 16-2 L E A R N I N G O B J E C T I V E S Understand the importance of marketing channels and supply chain management. Understand the difference between direct and indirect marketing channels. Describe how marketing channels are managed. Describe the flow of information and merchandise in the marketing channel. Supply Chain and Channel Management LO1 LO2 LO3 LO4
- 4. 16-4 Marketing Channels Add Value Reduce number of transactions Increase value for consumers More efficient and effective http://www.youtube.com/watch?v=NeK5ZjtpO-M
- 5. 16-5 Marketing Channel Management Affects Other Aspects of Marketing Fulfilling delivery promises Meeting customer expectations Reliant on an efficient supply chain Courtesy Zara International, Inc. Courtesy Zara International, Inc.
- 6. 16-6 Designing Marketing Channels Manufacturer Customer Direct Channel Manufacturer Customer Retailer Direct Channel One Intermediary Manufacturer Customer Retailer Wholesaler Direct Channel Two Intermediaries
- 7. 16-7 Types of Vertical Marketing Systems Administered vertical marketing system Corporate vertical marketing system Contractual vertical marketing system
- 8. 16-8 Power Power Reward Coercive Referent Expertise Information Legitimate
- 9. 16-9 Managing Marketing Channels and Supply Chains Through Strategic Relationships Strategic Relationships Mutual Trust Open Communications Common Goals Interdependence Credible Commitments
- 10. 16-10 CHECK YOURSELF 1. What is the difference between an indirect and a direct marketing channel? 2. What are the differences among the three types of vertical marketing systems? 3. How do firms develop strong strategic partnerships with their marketing channel partners?
- 11. 16-11 Making Information Flow through Marketing Channels
- 12. 16-12 Data Warehouse Electronic Data Interchange Cycle time Quality of communications Easily analyzed and used PhotobyCabelas
- 13. 16-13 Vendor-Managed Inventory DH Kong/Plush Studios/Getty Images
- 14. 16-14 CHECK YOURSELF 1. What are the marketing channel links associated with each information flow? 2. How do marketing channel members use data warehouses to make decisions? 3. What is EDI and how is it used? 4. Why do some marketing channels use VMI, while others do not?
- 15. 16-15 Making Merchandise Flow Through Marketing Channels
- 16. 16-16 The Distribution Center Shipping to store Preparing to ship Getting Merchandise Floor Ready Storing and Cross-Docking Receiving and checking using UPC and RFID Management of inbound transportation ABC News Segment on a Walgreens Warehouse
- 17. 16-17 Inventory Management Through Just-In-Time Systems Just-in-time (JIT) Quick response (QR) Zappos CourtesyTubularSteel,Inc.
- 18. 16-18 CHECK YOURSELF 1. How does merchandise flow through a typical marketing channel? 2. Why have just-in-time supply chain systems become so popular?