Unit 5: Place - Flashcards

Vocabulary flashcards for the key terms related to 'Place' in marketing, covering distribution channels, intermediaries, and physical distribution.

Place (in marketing)

Marketing activities involved in making products available to customers; includes distribution and the Internet.

Channel of Distribution

The route a good takes from its original source to the final customer. Commonly includes a producer, wholesaler, and retailer.

Intermediaries (Resellers)

Businesses between the original source and the customer that resell products; also called resellers.

Wholesaler (Distributor)

A B2B business that buys products from a producer and sells them to another business.

Retailer

A B2C business that buys products from a producer or wholesaler and sells them to the final customer.

Nonstore Retailer

Sells directly to consumers through methods other than a retail store (e.g., catalogs, TV shopping, websites).

Supply Chain

Another term for a distribution channel, linking a raw material to the final customer; each step is a segment.

Agent (Broker)

An intermediary who brings buyers and sellers together but never buys or handles the product.

Direct Distribution

A channel of distribution with no intermediaries, where the product is purchased directly from the producer (e.g., services).

Indirect Distribution

A channel of distribution that uses one or more intermediaries.

Physical Distribution (Logistics)

The physical movement of goods in the distribution channel; also called logistics.

Freight/Cargo/Goods/Merchandise/Shipment

Common terms used to refer to products in physical distribution.

Vendors

Businesses that need to distribute their products; also known as channel members.

Carriers

Transportation companies (trucks, trains, planes, ships) that own the vehicles used for shipping.

Inventory

The products stored in warehouses.