Definition Definition

Marketing Intermediaries

Marketing Intermediaries are firms that help the company to promote, sell, and distribute its products to final buyers. They include resellers, physical distribution firms, marketing services agencies, and financial intermediaries.

Marketing intermediaries (also known as Distribution intermediaries) are one or more companies and individuals who function as a link between manufacturers and customers in the distribution of products. 

These companies can help businesses to promote, sell, and transport goods to customers. A distributor can function as a retailer, wholesaler, agency, or broker.

Marketing Intermediaries can be beneficial for a manufacturer, as they can reduce the distribution cost, help to reach more customers, and assist a corporation in maintaining the chain of supply and demand, even if the risk of loss becomes distributable between both parties which ultimately increases the competitiveness of any business. 

There are some downsides to using this for a corporation as well. Using this distribution channel could raise the risk of losing control over the decision-making process, customer, and contacts. Sometimes it can cause some sort of miscommunications between the producer and distributional channel. The lack of control over the distribution channel can cause conflict between both sides about the goals they set and try to attain. 

Marketing intermediaries can function in the distribution process in many forms. Here are some of the most popular and widely deployed commercial intermediaries in the distribution, promotion, and selling processes listed below -

  • Retail
  • E-commerce
  • Wholesales
  • Agents and brokers
  • Sales partners
  • Promotional partners
  • Trading House
  • Value-added reseller
  • Financial intermediaries (Banks)

 

Use of this Term in Sentences

  • Manufacturers improve their competitiveness by utilizing marketing intermediaries in the distribution channel to save costs, increase client accessibility, and reduce risks.
  • Wholesalers and retailers are marketing intermediaries who spend money to buy items and then resell them for a profit.

 

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