channel_marketin1.doc

Jul 8th, 2015
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Often the question comes up, what is a channel? A channel to market is the method of getting your product into the customer’s (the end user’s) hand. This can either be through direct sales, or through a reseller. Direct sales can occur in person, via the phone, the web or mail.

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Channel MarketingOften the question comes up, what is a channel? A channel to market is the method of getting your product into the customers (the end users) hand. This can either be through direct sales, or through a reseller. Direct sales can occur in person, via the phone, the web or mail. Indirect, or channel sales typically refers to sales through a reseller. A reseller can order from you direct (one tier between you and the end user), or from a wholesale distributor--you would sell to a wholesale distributor and they in turn would sell to multiple resellers (two tiers between you and the end user (hence the common term two-tier distribution)). Note: some companies or divisions (i.e., Motorola semiconductor, etc.) call the reseller the distributor (or disty)--this is correct, but not in the typical and more common two-tier distribution model. Hence, it is importan

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