Throughout this paper terms like indirect and direct distribution channel levels will be discussed and defined as well as horizontal, vertical, multichannel, and conventional marketing systems. Then the market needs to market One-A-Day multivitamin will be broken down to help understand what needs to take place to sell this product. In the end the type of channel used and an explanation will follow to show how and why this route was chosen.
Deciding on how to market a product is much harder than one thinks. Normally people think it is easy and all there is to it is to just advertise the product and make sales. There is way more to it than just that and most of which will be discussed throughout this paper. Hopefully after reading this someone can understand more about what it takes to actually market a product and have success in doing so.
Overview of Distribution Channels
There are two main types of channel levels of distribution and they are direct and indirect. Direct distribution is when products are being sold straight to consumers and eliminate the middle man. (Spencer and Schendel, 1964) One of the great advantages of this is that it cuts out any extra charges that may apply when intermediaries are used. Also, with direct distribution one is able to stay in c