What are Ways to Research on Distribution Channels?

Distribution channels play a vital role in the success of any business. Choosing the right distribution channel can help an organization achieve maximum value to the customers, reduce costs, and increase profitability. Therefore, it is important to research and analyze the distribution channels that will best suit your business needs. In this article, we have discussed various ways to research distribution channels that will help businesses in making an informed decision. 

Ways to Research on Distribution Channels: 

• Small Distribution Channel

Small distribution channels ensure less cost involved in the distribution channel partners. It can be done by selling directly to the customers and minimum intermediaries. This will reduce the cost of a product for the customers. 

• Maximum Value to The Customer

Giving more value to the customers ensures trust and loyalty within the customers. This will also increase the sales of the organisation in the end. This can be achieved by understanding the needs and wants of the customers. 

• Does the customer want to feel the product physically? 
• Do the customers buy the products by reading other feedback online? 

These questions help in determining the channel of distribution (indirect or direct) in the business.  

• Delivery Time of the Product

Some products are perishable and require urgent delivery such as Diary product suppliers or Grofers, the deterioration of the products is normal. These products require the fastest mode of delivery. 

• Handling Return Policy

The growth of the organisation can be possible once the customer is getting return policies. For example, Amazon an e-commerce website provides the most customer-friendly return policies. It makes the return and replacement of products easy and hassle-free.  

• Integration Through IT System

Manufacturers, customers, warehouses, distributors, retailers or trucks involved in the connection of distribution channels are integrated through the IT system. This will help in tracking the product movement. 

• Product Packaging

Effectively and safely delivery of product is the essential part of the product. For example, if your organisation offers food then the packaging of the product should be neat, clean, fresh and hot. Packaging should be strong as per the product and the quality. 

Measures to ensure while packaging: 

• Physical such as odour, contamination, shock, vibration, static, compression and pressure. 
• Temperature
• Moisture
• Barrier
• Safety

Types of Packaging: 

1. Primary Packaging
2. Secondary Packaging
3. Tertiary Packaging 

In conclusion, understanding the needs and wants of the customers, product packaging, delivery time, handling return policy, and integration through IT systems are some of the ways that can help businesses in researching the distribution channels. By choosing the right distribution channel, organisations can achieve maximum value to the customers, reduce the cost, and increase profitability. Therefore, it is important to conduct thorough research and analysis before making a decision on which distribution channel to use.