The
Definition Of

Multichannel distribution system

Multichannel distribution system is a distribution system in which a single firm sets up two or more marketing channels to reach one or more customer segments. The use of multichannel systems has increased greatly in recent years.

Multichannel distribution systems offer many advantages to companies facing large and complex markets. With each new channel, the company expands its sales and market coverage and gains opportunities to tailor its products and services to the specific needs of diverse customer segments. But such multichannel systems are harder to control, and they generate conflict as more channels compete for customers and sales.

Share it:

More from this Section

  • Service inseparability
    Service inseparability means that services are produced and consumed at the same time and cannot be separated from their providers...
  • Secondary groups
    Secondary groups refer to the groups that tend to be more formal and require less interaction than primary groups, such as religious, professional, and trade-union groups.
  • Value delivery network
    Network that made up of the company, its suppliers, its distributors, and ultimately its customers who partner with each other to improve the performance of the entire system.
  • Standardized global marketing
    Standardized global marketing refers to an international marketing strategy that basically uses the same marketing strategy and mix in all of the company’s international markets.
  • Sustainable marketing
    Sustainable marketing– socially and environmentally responsible marketing that meets the present needs of consumers and business while also preserving or...
  • Cues
    Cues are minor stimuli that determine when, where, and how a person responds.
  • Caching
    Caching is the phenomenon that occurs when access providers or browsers store or buffer Web page data in a temporary location on their