The Channel Participants Chapter 2

2 Major Participants in the Marketing Channel ( 마케팅채널의 주요 관계자 ) Producers & Manufacturers ( 생산자 및 제조자 ) Objective 1 Intermediaries ( 중개업자 ) Final Users ( 최종 사용자 ) Wholesale Intermediaries ( 도매 중개업자 ) Retail Intermediaries ( 소매 중개업자 ) Consumers ( 소비자 ) Industries ( 산업 ) * Commercial Channel ( 상업채널 ) * Target Markets ( 목표시장 )

2 Why shift distribution tasks to intermediaries? ( 배달업무가 중개업자로 이동하는 이유 ?) Objective 2 Producers & Manufacturers ( 생산자 및 제조자 ) Intermediaries ( 중개업자 ) Lack expertise ( 전문지식 부족 ) Lack economies of scale ( 규모의 경제가 부족 ) Spread high fixed costs over large quantities of Diverse products Achiever economies of Scope and economies of scale

2 Example : Distribution of Crayons( 예 : 크레용 분배 ) Manufacturer direct to customers ( 제조자에서 직접 소비자로 ) Huge order processing facility ( 대규모 주문 생산 설비 ) Huge inventory( 대규모 재고 ) Several warehouse locations ( 지역 창고들 ) Transportation of product to consumers ( 소비자에 직송 ) = Cost prohibitive ( 비용이 터무니없이 비쌈 )

2 Major Types of Wholesalers( 도매상의 주요 형태 ) Objective 3 Merchant Wholesaler ( 도매 상인 ) All Wholesale Firms ( 도매 회사 전체 ) Independent Middlemen ( 독립 중개인 ) Manufacturer owned ( 제조사 소유인 ) Agents, brokers, & Commission merchants ( 대행인, 중계인, 수수료 청구인 ) Manufactures’ Sales branches & office ( 상인의 영업소 및 사무실 )

2 Merchant Wholesalers( 도매상인 ) Buy Take title to Store Handle Large quantities of products ( 대량 제품 ) Resell to( 재판매 ) Industrial, commercial or institutional concerns ( 개인 상업, 협회 단체 ) Retailers( 소매상 ) Other Wholesalers ( 다른 도매상 )

2 Agents, Brokers, & Commission Merchants ( 대행인, 중개인, 수수료 업자 ) Involved in buying & selling while acting on behalf of clients ( 최종 소비자를 위해 사고 파는 행위 ) Commissions on Sales or purchases ( 판매 또는 구매 수수료 )

2 Manufacturers’ Sales Branches & Office ( 제조사 판매 대리점 및 사무실 ) Separated from manufacturing plants ( 제조 공장에서 분리 ) Owned & operated by Manufacturers ( 제조자에 의한 소유 또는 운영 ) Distribute manufacturer’s products at wholesale ( 도매상에 제조자의 제품 공급 ) Some wholesale allied & supplementary products purchased from other manufacturers. ( 도매상 연맹과 다른 제조자로부터 구입한 공급 물품 )

2 Major Trends in Wholesale Structure( 도매상 구조에 주요 경향 ) Objective %Manufacturer’s sales branches & office ( 제조자의 영업소 및 사무실 ) 60.8% Wholesale trade( 도매 거래 ) 57.8% Merchant wholesalers( 도매상인 ) 50.0%Agents, brokers, & commission merchants ( 대행인, 중개인, 수수료 상인 )

2 Trends in Size & Concentration( 규모와 집중의 경향 ) Measured by: ( 평가 방법 )Types of Wholesalers( 도매상 형태 ) Size of wholesaler ( 도매상 크기 ) Majority are small businesses ( 대부분 영세 사업 ) Sales volume ( 판매 규모 ) Nearly 40% of all firms have annual sales of less than $1 million ( 회사의 약 40% 가 연간 판매량이 백만불 이하 ) #of Employee per firm ( 회사당 종업원 수 ) Almost 50% of firms had fewer than 5 employees ( 회사의 약 50% 가 5 명 이하의 종업원 ) Economic concentration in terms of % of total sales ( 총 판매의 % 부분에서 경제 집중도 ) 50 largest manufacturers’ sales branches & offices garnered nearly 53% of sales for this type ( 가장큰 50 개의 제조사의 영업소 및 사무실이 제조 물품을 판매하기 위해 53% 는 창고에 보관함 )

2 Merchant Wholesalers Specialize in Performance Distribution Tasks( 도매상은 유통업무의 성능 향상을 중시한다 ) Objective 5 Provide market coverage) Make sales contacts Hold inventory Process orders Gather market information Offer customer support Operate at high levels of effectiveness and efficiency Average cost curves lower than those for their supplies

2 Merchant Wholesalers’ Distribution Tasks Serve Customers Assure product availability( 제품 가용성 보증 ) Provide customer service( 고객 서비스 제공 ) Extend credit & financial assistance Offer assortment convenience Break bulk( 브레이크벌크 ) Help customers with advice & technical support ( 조언과 기술 지원으로 고객 돕기 )

2 Agent Wholesalers’ Distribution Tasks( 도매 대행의 유통 업무 ) Manufacturers’ Agents ( 제조사 대행 ) Market coverage Sales contacts

2 Agent Wholesalers’ Distribution Tasks Selling Agents Market coverage Sales contacts Order Processing Marketing Information Product availability Customer services

2 Agent Wholesalers’ Distribution Tasks Brokers Market coverage Sales contacts Order Processing Marketing Information Product availability Customer services

2 Agent Wholesalers’ Distribution Tasks Commission Merchant Market coverage Sales contacts Order Processing Breaking bulk Credit Holding inventory

2 Retail Structure( 소매 구조 ) Objective 6 Alternative Bases for Classifying Retailers By Ownership of Establishment By Kind of Business (Merchandise Handled) By Size of Establishment By Degree of Vertical Integration By Type of Relationship with other Business Organizations By Method of Consumer Contact By Type of Location By Type of Service Rendered By Legal Form of Organization By Management Organization or Operational Technique

2 Kind-of-Business Classifications Retail Trade Motor vehicle & parts dealers Furniture & home furnishings stores Electronics & appliance stores Building material & garden equip & supply dealers Food & beverage stores Health & personal care stores Gasoline stations Clothing & clothing accessories stores Sporting goods, hobby, book, & music stores General merchandise stores Miscellaneous store retailers Nonstore retailers

2 Retail Structure Trends ( 소매 구조 경향 ) Objective 7 Decreasing number of establishments( 점포수의 감소 ) Increasing sales ( 판매량 증가 ) = increase in size of retail establishments measured by average sales volume per store

2 Concentration in Retailing( 소매상에 집중 ) Decreasing number of establishments( 점포수의 감소 ) 4% of all retail firms accounted for nearly 80% of total sales In 1997

2 Distribution Tasks Performed by Retailers Objective 8 Decreasing number of establishments - Charles Y. Lazarus The role of the retailer in the distribution channel, regardless of His size or type, is to interpret the demands of his customers And to find and stock the goods these customers want, when They want them, and in the way they want them. This adds up To having the right assortments at the time customers are ready To buy.

2 Distribution Tasks Performed by Retailers ( 소매상에 의한 유통 업무 ) Offer manpower & physical facilities close to consumers’ residences Provide personal assistance to help sell products ( 제품을 팔도록 개인적인 도움 제공 ) Interpret and relay consumer demand Divide large quantities into consumer-sized lots Offer storage Remove risk by ordering in advance of the season

2 Retailers’ Growing Power in Marketing Channels ( 마케팅채널에서 소매상의 증가하는 힘 ) Objective 9 Increased size & buying power ( 규모 및 구매력 증가 ) Application of advanced Technologies( 진보된 기술 응용 ) Use of modern marketing strategies( 최신 마케팅 전략 사용 ) Become power retailers & Category killers Information technology & the Internet; threetailing ( 정보기술과 인터넷 ;) Modern techniques; Relationship marketing ( 최신 기술 : 관계 마케팅 )

2 Facilitating Agencies in Marketing Channels Objective 10 Transportation agencies( 운송사 ) Storage agencies( 창고 ) Order processing agencies( 주문 ) Advertising agencies( 광고대행사 ) Financial agencies( 금융사 ) Insurance companies( 보험회사 ) Marketing research firms( 마케팅조사회사 )