Choosing whether to use Direct Distribution or Indirect Distribution:
A company that wants to market directly to its customers uses direct marketing. This can be really great for small businesses, because they can interact directly with the customer using the internet, social networks, mail, and phone. This can give your company the ability to track and measure how well they are advertising or selling a certain product.
Some Disadvantages for direct distribution can be the fixed cost of paying for warehousing, billing, and other administrative costs. This can in turn add more risk to your business.
Indirect Distribution is usually more efficient. In this situation you have a middleman who is combining your product or service with another product or service. As the Entrepreneur you want to maintain more control and portray your product the best way possible.
One disadvantage of Indirect marketing is that the distributor may not have the flexibility to make changes to make the customer happier.
Some Disadvantages for direct distribution can be the fixed cost of paying for warehousing, billing, and other administrative costs. This can in turn add more risk to your business.
Indirect Distribution is usually more efficient. In this situation you have a middleman who is combining your product or service with another product or service. As the Entrepreneur you want to maintain more control and portray your product the best way possible.
One disadvantage of Indirect marketing is that the distributor may not have the flexibility to make changes to make the customer happier.
