>> September 4, 2010
A. Conventional Channel or Non- Integrated Channel
1. Manufacturer to Consumer
In this channel there is no intermediary. Manufacturer makes the goods and directly distributes to consumers.
2. Manufacturer to Retailer to Consumer
Retailer is the intermediary between manufacturer and consumer. He purchases goods from manufacturer and sells to consumer.
3. Manufacturer to Wholesaler to Retailer to Consumer
In this channel, there are two option, one is wholesaler and other is retailer. Wholesaler buys large scale and sells to retailer and the retailer sells to consumer.
4. Manufacturer to Wholesaler to Consumer
Consumer can buy easily and directly from wholesaler. So, in this channel there is only one intermediary and he is wholesaler.
5. Manufacturer to agent to wholesaler to retailer to consumer
B. Integrated Channel or Non conventional channels
Integrated channel are modern channel for distribution of goods. These channel can be divided into two parts.
1. Vertical Channel
Vertical channel is that corporate channel which are useful for the flow of products which are capital nature. In this, if one company contracts with other manufacturers who will convert the capital product into most usable shape and sell it to the dealers. Then it will be vertical channel.
2. Horizontal Channel
Two companies join together for marketing of any product for reducing competition and excess capacity.