Distribution and Marketing Terms

Wholesalers

• Intermediaries that help move goods between producers and retailers by buying goods from producers and selling them to retailers.

• Retailers that sell directly to consumers without any intermediaries.

• Producers that manufacture goods for sale to wholesalers.

• Distributors that only handle the logistics of transporting goods.

Consumer goods

• Tangible items produced for personal use.

• Services provided for consumers.

• Intangible assets owned by a company.

• Raw materials used in manufacturing.

Direct channel of distribution

• A channel of distribution where goods move from producer to consumer directly; also known as direct distribution.

• A method where goods are sold through intermediaries before reaching the consumer.

• A distribution strategy that involves multiple levels of distribution channels.

• A channel that only involves online sales without any physical stores.

Channels of Distribution

• Paths, or routes, that goods or services take from the producer to the ultimate consumer or industrial user.

• Methods of advertising products to consumers.

• Types of retail stores that sell directly to customers.

• Logistical strategies for managing inventory.

Indirect channel of distribution

• A channel of distribution where goods move directly from producer to consumer.

• A channel of distribution in which goods and services move from the producer to intermediaries and then to consumers or industrial users.

• A method of distribution that eliminates intermediaries entirely.

• A distribution channel that only involves wholesalers.

Agents

• Intermediaries that assist in the sale and/or promotion of goods and services but do not take title to them.

• Individuals who own the goods and services they sell.

• Companies that manufacture products for retail sale.

• Retailers who sell directly to consumers.

Ultimate consumers

• People who buy goods for resale

• People who use a good or service to satisfy their own needs or wants; also known as final consumers.

• People who produce goods and services for the market

• People who provide services to other businesses

Goods

• Tangible objects that can be manufactured or produced for resale.

• Services that are provided to consumers.

• Digital products that can be downloaded.

• Intangible assets that represent value.

Services

• Intangible activities that are performed by other people for money; productive acts that satisfy economic wants.

• Tangible products that are manufactured and sold for profit.

• Activities that are performed by machines without human intervention.

• Goods that are stored and sold in retail outlets.

Retailer

• A business that sells goods to other businesses.

• A business that buys consumer goods or services and sells them to the ultimate consumer.

• A company that manufactures products for sale.

• A service provider that offers services to consumers.