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Sales Channel Of Baby Dining Chair
Nov 28, 2018

Sales channel of baby dining chair:

1.Traditional sales channels. This model is a distribution organization composed of a group of independent manufacturers, wholesalers and retailers. There is a loose cooperative relationship among the members of each channel. Each member is an independent stakeholder. They each pursue their own interests as the largest user. None of the members of the channel has sufficient control over other members. Finally, the whole distribution channel is inefficient. So it is also called loose distribution mode. The advantages of this model are strong independence of members, freedom of advance and retreat, incessant innovation of enterprises and rapid growth of SMEs when entering the market. The disadvantage is that each of them seeks to maximize their own interests, and the overall efficiency decreases; members lack trust and loyalty; temporary trading relationship, low security factor; various channel resources can not be effectively shared.

2.Vertical sales channels. The model is a unified consortium of manufacturers, wholesalers and retailers. Each member regards himself as a part of the distribution system and pays attention to the success of the whole vertical system. The advantages of this model are reasonable inventory management, reducing distribution costs; easy to grasp demand trends; strong channel control; conducive to organizing competitors to join; good quality of goods and high quality of services. The disadvantage is obvious, the cost of system maintenance is high, and distributors lack independent creativity.

3.Horizontal sales channels. This model refers to the joint development of new marketing opportunities by two or more companies to form a new channel system. For example, insurance companies cooperate with banks, use bank outlets to sell insurance policies, transport companies use convenience stores to sell tickets, etc. An example in the candy toy industry is that some manufacturers that produce toy packaging in candy toys cooperate with candy enterprises to make full use of their technical advantages and expand the market. It can also be subdivided into three types of distribution modes: corporate (ownership), managerial and contractual.

4.Multi channel sales. The above three types are the main industry sales modes, but when enterprises sell their own products, they will not only use a single sales mode, but also combine multiple sales modes to create a comprehensive sales network.