Ostroff, Fair and Company
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What does it mean in business when the term : distribution channels : are used?



I am about to launch my product line. But lately i have been hearing this term from several manufacturers. I planned on shopping my product line around myself. Can anyone shed some light or where should I go to get help getting my products to the most cosmectic retailers. Thanks in Advance.

A simple response is this: how do you get your product "out there"? The method of getting it "out there" is the distribution channel.
In video, there are several distribution channels to consider, for example. You can get it on a Broadcast or Cable network. Or you can convince a VOD provider to run it on their VOD. Or you can go straight to DVD and get it into stores. Or you can develop a website and show it there. Each one is a different channel.

A product for purchase, similarly, has different distribution channels. Retail - Walmart/Target, etc., Wholesale (not sure who that would represent, but I think BJ's or Costco represent wholesale outlets), Direct to consumer (using website or 800 numbers) and MLM (sign up with an MLM distributor who will use their sales force to sell it.

I don't know the cosmetic industry, so which method is best or easiest to get into is very hard for me to answer. I would suggest contacting the buyers of major retail outlets that do cosmetics (Macy's, JC Penney, major hair salons, etc.) and ask them whether they are interested or what the best method of distribution is based on what you have to offer.
Frequently there may be a chain of intermediaries, each passing the product down the chain to the next organization, before it finally reaches the consumer or end-user. This process is known as the 'distribution chain' or the 'channel.' Each of the elements in these chains will have their own specific needs, which the producer must take into account, along with those of the all-important end-user.

So they are telling you that you need to go through the proper 'channel' or person.
http://en.wikipedia.org/wiki/distributio...
Hey dear,

ur answer involves two major terms which i'm sure u'll be familiar about..
one market segment
two the mode of communications

ur distribution channels are your dealors or vendors only as per your data............ur way to go is to find out in which market segment to launch your product ..........u've top decide the citiesin a state and if if it is nationally then statewise as well wherein you need to recignise your retailers/dealors etc..those who will market your products to the end users .

for cosmetics your segment is quite large so you need to market these products among females on a lrge scale ina a city but go for dealors who have major distribution and decide on your communication strategies like promotion through media(TV/Radio) , newspaper etc.

all the best sweety:)
my views
Channels are the way used to communicate or distribute. If you have a supervisor and communicate upward, that's a channel. If they communicate downward to you and everyone else - that's a channel. If you communicate with others at your level - that's a channel.

Direct to market - direct to consumer - direct to distributer - distributer to market- etc. All channels.

Hope this helps.

Jim
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