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Tactical Decisions: Distribution

This marketing tactics section lays out the distribution plan for the product or service. Distribution is a broad concept that includes all activities and entities (e.g., value chain partners) responsible for getting the product or service to the customer. Distribution costs can represent a high portion of the overall cost of the product so an efficient distribution system may be critical for marketing success. (Length: 1-3 pages)

  • Brief summary of current distribution network/value chain decisions:
    • Types of channels used
      • direct - e.g., direct via sales force, Internet, etc.
      • indirect - e.g., retailers, wholesalers, agents
      • combination
    • Level of market coverage
      • intensive - e.g., mass availability
      • selective - e.g., wide availability
      • exclusive - e.g., restricted availability
    • Outlets handling product
      • types
      • number/level of penetration
      • geographic location
    • Perceived product positioning
      • in relation to competitors
    • Distribution costs
  • Identify planned changes:
    • Summarize changes
    • Justify changes:
      • Due to results
      • Due to research
      • Due to competition
      • Others
  • Describe planned changes:
    • Objectives
      • e.g., account development, gain distributor support, account maintenance, account penetration
    • Types of channels employed
    • Level of market coverage
    • Outlets handling product
    • Product positioning
    • Distribution costs
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