The three retail distribution strategies are intensive distribution, selective distribution, and exclusive distribution that specify how manufacturers want their products distributed in the market.
What is a distribution strategy?
- A distribution strategy is a method of getting goods or services from manufacturers to end users. It involves a variety of parties depending on the type of retail distribution and other business elements such as business sizes and types.
- Distribution decisions must be made in accordance with a company's overall strategic vision and mission. Creating a consistent distribution strategy is a critical component of strategic planning. At the strategic level, there are three broad distribution approaches: mass, selective, and exclusive distribution.
- The number and type of intermediaries chosen are heavily influenced by the strategic approach. The distribution channel as a whole should add value to the consumer.
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