Example of selective distribution in business plan. Selective distribution is a distribution approach where selective and few outlets are chose through which the product is made available to the customers. Selective distribution strategies still use a variety of intermediaries and outlets to sell wares, but brands have an even more discerning option to consider: exclusive distribution. Selective distribution. This type of strategy works. Selective distribution means selecting intermediaries to enhance the brand image and control over the product presentation. Aug 22, 2023 · Distribution and Consumer Goods Logistics Transport and logistics The Keys to a Successful Distribution Strategy for Your Business August 22nd, 2023 • Reading time: 5 min When it comes to business development, distribution strategy plays an essential role. Selective Distribution Business: Typically operates in niche industries with limited retailers. Mostly furniture, television and home appliance brands are distributed in this Exclusive Distribution Business: Operates as the sole distributor for its client in a specified region. May 20, 2022 · 5. Choosing the right distribution channels and implementing a suitable approach can make all the difference in reaching […] May 23, 2023 · Distribution Strategy is a strategy or a plan to make a product or a service available to the target customers. Under this business model, companies partner with a single wholesaler or retailer in a particular market. Selective distribution is the most effective distribution strategy for high-end brands that want to set up a limited number of outlets in a particular geographical location. Jun 13, 2023 · An overview of distribution strategy with examples. A company can decide whether it wants to serve the product and service through Selective Distribution Strategy There are brands that try to place themselves on every street corner, and then there are brands that have a selected number of outlets in every city. Distribution strategy is a plan to reach customers to sell to them and to deliver your products and services. On the other hand, sales options are more limited. Selective distribution Selective distribution is a hybrid strategy that combines elements of the exclusive and intensive approaches. Therefore, they’ll use selective distribution as a strategy to differentiate how each retailer is chosen based on the individual store’s target market and economic status. This is an example of exclusive distribution model. McDonalds, for example, will sport at least 8-10 outlets in any major city. Mar 26, 2025 · Knowing more about distribution strategies and the benefits of each can help you create the right plan for your business. Mostly furniture, television and home appliance brands are distributed in this If your company sells products such as fast-moving consumer goods (FMCG), most likely, this is the best distribution channel that you can use for your business plan. Now let us come to selective distribution. This is quite different from exclusive distribution (which can be a little too extreme) and is considered as a middle path approach to distribution. Mar 14, 2023 · Selective Distribution is a type of distribution strategy that lies and operates between intensive and exclusive distribution. In this article, we explain a distribution strategy and its importance, outline distribution types and planning considerations, and provide examples of distribution channels. Selective Distribution involves using more than one, but lesser than all the intermediaries and distributors who carry the company’s products on a basis of a company specific set of rules. This strategy occurs when a business is segmented towards a specific channel, like a marketplace, physical store, or online store. Jun 9, 2022 · Selective distribution strategy. Selective distribution Jun 5, 2025 · As it helps to market toward the multitude, the intensive distribution plan is ordinarily for affordable or everyday items such as household goods, comestibles and other mass-market products. Doing this allows manufacturers to pick a price point that targets a specific market of consumer, therefore providing a more customized shopping Therefore, they’ll use selective distribution as a strategy to differentiate how each retailer is chosen based on the individual store’s target market and economic status. May 23, 2025 · This distribution strategy is used for everyday items like snacks and beverages, which consumers buy frequently. This is often based on a particular good and its fit within a store. Jun 12, 2023 · Maruti has recently launched its ‘Nexa’ showroom that is for its slightly higher end cars. This strategy is characterized by its low distribution costs. This is common in sectors like electronics and luxury fashion where brand prestige Mar 14, 2023 · Selective Distribution is a type of distribution strategy that lies and operates between intensive and exclusive distribution. Direct Distribution Business: Sells products directly to retail stores. Using the exclusive distribution strategy can help you increase revenue margins, enhance product value and improve brand loyalty. Exclusive Distribution. This strategy works well for expensive, highly sought-after items. Selective Distribution: Select outlets in specific locations. Selective Distribution. This type of strategy works Product distribution strategies methodically plan how companies can use distribution channels to get products to consumers. Selective distribution (Strategy) Selective distribution is a beneficial sales tactic for companies with many products to sell in various markets. Distribution strategy designs the entire approach for availability of the offering starting taking inputs from what the company communicated in marketing campaigns to what target audience is to be served. This is an element of marketing strategy that also has the operational and logistics component of getting your products to customers. Selective distribution is the most effective distribution strategy for high-end brands that want to set up a limited number of outlets in a particular geographical location. Distribution channels start with the manufacturer and can include wholesalers, distributors, or retailers. 2. A distribution channel Is the path that a finished product takes from the development stage to reaching consumers. Mar 26, 2025 · For example, if you sell luxury cars, your customers may only be able to purchase them directly from one of your company's stores. Unlike mass distribution, selective distribution involves only a few market intermediaries. wboz xdxvm wqc ceyjd tgbcl qpby vkshq xsglbr ugmz aejf