Chapter 13: Distributing and Promoting Products

Advertising

Paid, nonpersonal communication by which an identified sponsor informs an audience about a product

Advertising media

variety of communication devices for carrying a seller’s message to potential customers

Bargain Retailer

retailer carrying a wide range of products at bargain prices

Broker

independent intermediary who matches numerous sellers and buyers as needed, often without knowing in advance who they will be

Catalog Showroom

bargain retailer in which customers place orders for catalog items to be picked up at on-premises warehouses

Channel captain

channel member who is most powerful in determining the roles and rewards of other members

Channel conflict

When members of the distribution channel disagree over roles or rewards.

Closing

step in the personal selling process in which salespeople ask prospective customers to buy products

Convenience Store

retail store offering easy accessibility, extended hours, and fast service

Coupon

sales-promotion technique in which a certificate is issued entitling the buyer to a reduced price

Creative selling

personal-selling task in which salespeople try to persuade buyers to purchase products by providing information about their benefits

Cybermalls

collection of virtual storefronts (business websites) representing a variety of products and product lines on the Internet

Department Store

large product-line retailer characterized by organization into specialized departments

Direct (or Interactive) Marketing

one-on-one nonpersonal selling by nonstore retailers and B2B sellers using direct contact with prospective customers, especially via the internet, trying to get them to purchase from home, at work, or by using a mobile device

Direct Channel

distribution channel in which a product travels from producer to consumer without intermediaries

Direct Selling

form of nonstore retailing typified by door-to-door sales

Direct-Response Retailing

form of nonstore retailing in which firms directly interact with customers to inform them of products and to receive sales orders

Discount House

bargain retailer that generates large sales volume by offering goods at substantial price reductions

Distribution Channel

network of interdependent companies through which as product passes from producer to end user

Distribution Mix

combination of distribution channels by which a firm get its products to end users

Drop Shippers

limited-function merchant wholesaler that receives customer orders, negotiates with products, takes title to goods, and arranged for shipment to customers

*Don’t actually carry inventory or handle goods

E-catalog

• Nonstore retailing in which the internet is used to display products

• Provides instant access to product information

Exclusive Distribution

strategy by which a manufacturer grants exclusive rights to distribute or sell a product to a limited number of wholesalers or retailers in a given geographic area

Industrial selling

selling products to other business, either for the purpose of manufacturing or for resale

Media Mix

combination of advertising media chosen to carry a message about a product

Merchant Wholesalers

independent wholesaler who takes legal possession of goods produced by a variety of manufactures and then resells them to other organizations/business

Personal Selling

promotional tool in which a salesperson communicates one-on-one with potential customers

Private Warehouse

warehouse owned by and providing storage for a single company

Warehousing

physical distribution operation concerned with the storage of goods

Wholesalers

• wholesalers relieve the retail space problem by storing merchandise and restocking store displays frequently

• independent operations that buy products from manufacturers and sell them to various consumers or other businesses