Functions of Marketing Channel

The role of the marketing channel is to interpret the demand of the customers, stocks the goods and the customers want, when they want them, and in the way they want them. This includes having the right assortments at the time customers are ready to buy.

Marketing channel has following functions:

  1. Offering manpower and physical facilities that enable producers/manufacturers to have many points of contact with consumers close to their places of residence;
  2. Providing personal selling, advertising, and display to aid in selling suppliers’ products;
  3. Interpreting consumer demand and relying this information back through the channel;
  4. Dividing large quantities into consumer-sized lots, thereby providing economies of scale to the supplier and convenience to the customer;
  5. Offering storage so that suppliers can have widely dispersed inventories of their products at low cost and customers are enabled to have access to the products of producers;
  6. Removing substantial risk from the manufacturer by ordering and accepting delivery in advance of the season.

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