Marketing - Place or Distribution

Place, or distribution channel, is the method for making your product available to the consumer. 

Functions 

There are eight main functions for distribution channels: 

Information: gathering and distributing marketing research 

Promotion: developing and communicating offers 

Contact: communicating with prospective buyers 

Matching: fitting the offer to the buyer's needs 

Negotiation: reaching agreement on price and terms 

Physical distribution: transporting and storing the goods 

Financing: getting and using funds to cover the costs of channel work 

Risk taking: assuming the risks the channel work. 

Example - Selling a CD 

Place is simply where your fans buy your CD.  You can also call it distribution. 

There are many ways to distribute your CD. 

Retail 
Probably the most difficult is retail (selling your CD in music stores).  This is difficult for independent musicians or bands because you usually need to have a relationship with a distributor. 

Online 
Isn't the Web wonderful?  You can easily and cheaply set up a web page with your information, sample audio files, show dates, and how to order your CD. 

In Person 
Whenever you perform, you should sell your CDs.  You can mention that you are selling CDs and where to buy them while you are performing.  It is easier if you have a friend to help you.  This person can collect the money, hand out the CDs, etc. so you don't have to worry about it during a show. 

In Home 
There is nothing wrong with telephone orders! 

 
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