Chapter 38: Place (Version) Flashcards
What is ‘Place’ in the marketing mix?
Place refers to the location where people can buy products.
What are retailers?
Businesses that buy goods from manufacturers & wholesalers and sell them in smaller quantities to consumers
Why is getting products in the right place at the right time important?
If businesses cannot do this, they are unlikely to be successful.
What is a distribution channel?
The route taken by a product from the producer to the customer.
What is an intermediary?
Person or organisation that helps to arrange agreements or business deals between other people or organisations.
What is bulk breaking?
Dividing a large quantity of goods received from a supplier into smaller quantities before selling them on to customers.
What services can retailers add to products?
Packing, delivery, repair services, product information, guarantees, gift wrapping.
What are independents in retailing?
Small outlets often owned by sole traders.
What are supermarkets?
Large stores selling up to 20,000 product lines, often located on town outskirts with free parking.
What are department stores?
Large stores split into departments, often found in city centers.
What are multiples or chain stores?
Chains of stores with standardized products, pricing, layout, and staff training.
What are superstores or hypermarkets?
Very large stores selling a wide range of goods under one roof, often with minimal services.
What are kiosks and street vendors?
Small outlets selling limited goods, often in high-footfall areas.
What are market traders?
Small businesses selling from market stalls with low overheads and moving between markets.
What are online retailers?
Businesses (like Amazon) that sell goods online directly to consumers.
What are benefits of online distribution for consumers?
Lower costs, 24/7 shopping, large selection, and convenience.
What are benefits of online distribution for businesses?
Lower costs, global reach, automated processes, and 24/7 operations.
What are disadvantages of online distribution?
More competition, lack of human contact, delivery dependence, security risks.
What is B2C?
Selling of goods by businesses to consumers.
What is B2B e-commerce?
Business-to-business sales online, often using software to find suppliers and automate transactions.
What is direct selling?
Where businesses sell their products directly to consumers.
What are wholesalers?
Persons or businesses that buy goods from manufacturers and sell them in smaller quantities to retailers.
Agent or broker
Intermediary that brings together buyers & sellers.
How does the nature of a product affect its distribution channel?
Different products need different channels; for example, services are sold directly to consumers.
