MODULE 1

MARKETING CHANNEL:- It is a set of practices to transfer the ownership of goods from the point of
production to the point of consumption. It is the way products and services get to the end-user, the consumer;
and are also known as distribution channels. **A marketing channel is a useful tool for management, and is
crucial to creating an effective and well-planned marketing strategy. The marketing channel is one of the key
drivers for strategies around the marketing mix, i.e. product, price, place and promotion. FUNCTIONS:-
Information Provider:- Middlemen have a role in providing information about the market to the
manufacturer.Price Stability:- Maintaining price stability in the market is another function a middleman
performs.Promotion:- Promoting the product/s in his territory is another function that middlemen
perform.`Financing:- Middlemen finance manufacturers’ operation by providing the necessary working
capital in the form of advance payments for goods and services.Title:- Most middlemen take the title to the
goods, services and trade in their own name.Help in Production Function:- The producer can concentrate on
the production function leaving the marketing problem to middlemen who specialize in the profession.
Matching Demand and Supply:- The chief function of intermediaries is to assemble the goods from many
producers in such a manner that a customer can affect purchases with ease. OBJECTIVES:- A firm’s distribution
objectives will ultimately be highly related—some will enhance each other while others will
compete. NARROW VS. WIDE REACH/ STRATEGIES:- 1. Intensive Distribution (Execusive): Used
commonly to distribute low priced products or impulse purchases. For example snacks such as chocolates, soft
drinks and crisps. 2. Exclusive distribution (Narrow): Involves limiting distribution to a single outlet. The product
is usually highly priced, and requires the intermediary to place much detail in its sell. An example of would be
the sale of vehicles through exclusive dealers. 3. Selective Distribution: A small number of retail outlets are
chosen to distribute the product. Selective distribution is common with products such as computers, televisions
household appliances, where consumers are willing to shop around and where manufacturers want a large
geographical spread. INTERFACE BETWEEN SALESFORCE AND CHANNEL:- CRM tools like
Salesforce are designed for contact and account management. **They are designed to manage relationships -
things like accounts, contacts, prospects, opportunities. **Many leading channel management solutions integrate
with Salesforce and are available on the App-Exchange. 5 KEY CORE CHANNEL MANAGEMENT
THROUGHT SALEFORCE:- Pos(Point of Sale) And Inventory Channel Management:- Channel partners
report POS (Point of Sale), inventory, claims and other channel data on a regular basis to their OEM suppliers.
**OEMs may receive these reports daily, weekly or even monthly in some cases.Linking Transactions To
Accounts And Opportunities:- Within Salesforce, each transaction is associated with the appropriate account or
opportunity and should be accessible directly for a complete view of the business. Managing Channel
Incentive Programs In Salesforce:- Providing real-time transactions in Salesforce is a must, but being able to
provide complete program details and summary reports of your incentive programs is essential for channel
management.Tracking Channel Incentive Program Utilization And Results:- Equally important is the ability
to see which incentive programs a specific partner is utilizing and what performance those programs are having.
Assigning Sales Credits In Saleforce:- The channel management solution should have the ability to do sales
credit assignments (including commission splits) where, based on validated POS data, internal sales reps,
manufacturing reps, etc., get assigned the sales credits.

TYPES/LEVEL OF CHANNELS:- A) Direct Channel or Zero Level Channels:-**When the manufacturer

instead of selling the goods to the intermediary sells it directly to the consumer then this is known as Zero Level
Channel. Retail outlets, mail order selling, internet selling and selling. B) Indirect Channels:-**When a
manufacturer gets the help of one or more middlemen to move goods from the production place to the place of
consumption, the distribution channel is called indirect channel. TYPES:- 1. One Level Channel: **In this
method an intermediary is used. Here a manufacturer sells the goods directly to the retailer instead of selling it
to agents or wholesalers. 2. Two Level Channel: **A manufacturer sells the material to a wholesaler, the
wholesaler to the retailer and then the retailer to the consumer. Here, the wholesaler after purchasing the material
in large quantity from the manufacturer sells it in small quantity to the retailer. 3. Three Level Channel: **Under
this one more level is added to Two Level Channel in the form of agent. An agent facilitates to reduce the distance
between the manufacturer and the wholesaler. Some big companies who cannot directly contact the wholesaler,
they take the help of agents. Such companies appoint their agents in every region and sell the material to them.
FACTORS AFFECTING CHANNEL DESIGN:-Considerations Related to Product:-**Unit Value of the
Product **Standardised or Customised Product **Perish-ability **Technical Nature. Considerations Related
to Market:- **Number of Buyers **Types of Buyers **Buying Habits **Buying Quantity **Size of Market. 
Considerations Related to Manufacturer/Company:- **Goodwill **Desire to control the channel of Distribution
**Financial Strength **Considerations Related to Government. Others:- **Cost **Availability **Possibilities
of sales. CHANNEL DESIGN:-**Channel design is presented as a decision faced by the marketer, and it
includes either setting up channels from scratch or modifying existing channels. This is sometimes referred to as
reengineering the channel and in practice is more common than setting up channels from scratch. CHANNEL
DESIGN STEPS:- 1.Recognizing the need for a channel design decision 2. Setting and coordinating distribution
objectives 3. Specifying the distribution tasks 4. Developing possible alternative channel structures 5. Evaluating
the variable affecting channel structure 6. Choosing the “best” channel structure 7. Selecting the channel
members. CHANNEL DESIGN & IMPLEMENTATION:- Designing a suitable channel system requires
defining customer needs, clarifying the channel objectives, looking at alternate systems which can meet these
objectives , cost of channel & finally evaluating various alternatives in the ideal channel system. The design of
the channel involves two main elements:- i)Who shall be the members of the channel & ii)How many of each
type of channel member will be in the channel. ( channel intensity). Designing The Channel:- Some of these
factors are :- a)Nature of the product or service being marketed. b)The expectations/ “deliverables” from the
system c)Location & nature of customers d)Nature of competition e)Intensity of distribution required f)Nature
of the markets being targeted. SELECTION OF NEW PARTNER:- **Market Focus **Target Market
**Business Stability ** Financial Security Soundness and Structure ** Does their process and practice fit with
yours? **Skills and Experience **Technical Expertise **Who else are they resellers for? **What Knowledge
do they have for you? **What is their partnership mentality?

Module 2
CHANNEL PERFORMANCE:- **It is measurement is a key activity when a sales organization employs
different types of channel partners. **In more complex multi-channel structures, it becomes even more important
due to the number of people, processes, and roles involved. **The parameters that are measured usually are
effectiveness, efficiency, productivity, equity and profitability of the channel. **The channel performance
measurement is primarily a four-step process:- 1. Define the Sales Objectives 2. Determine Channel Performance
Metrics 3. Set Channel Partner Targets. 4. Manage Channel Performance. CHANNEL FINANCING:- **It is a
pioneering idea for offering dealers, who have business relationship with big commercial entities, the capital
finance. **It is a process through which the banks or any other financial institutions address the capital related
necessities along the supply line. **It helps the suppliers to keep an incessant business flow and it also ensures
that the business capital does not run dry. **The BENEFITS of channel financing are so multi faceted that
everyone within the supply chain has embraced this unique solution. **The big companies, to ensure the smooth
run of business, have also extended their help to accommodate the suppliers and the sellers to obtain channel
finance. MOTIVATION OF CHANNELS:- **Add Value to Your Product Offer:- Motivating distributors and
retailers is an important strategy for influencing channel members’ behaviour. **Offering training programs to
members adds value, helping them to improve their performance and growth. **A strong relationship makes it
easier to launch new products, helping to build your own revenue and profit. Increase Sales Through the
Channel:- Financial incentives are an important source of motivation to channel members. **By offering
discounts on purchases or rewarding sales above target with bonuses, you can encourage channel members to
stock and sell more of your products. Improve Performance with Structured Programs:- **By setting up a
structured channel program that offers different benefits at each level, you can motivate members to improve
their performance. CHANNEL COORDINATION:- **Channel Coordination (or supply chain coordination)
aims at improving supply chain performance by aligning the plans and the objectives of individual enterprises.
**It usually focuses on inventory management and ordering decisions in distributed inter-company settings.
**Channel coordination models may involve multi-echelon inventory theory, multiple decision makers,
asymmetric information, as well as recent paradigms of manufacturing, such as mass customization, short
product life-cycles, outsourcing and delayed differentiation. CHANNEL POWER:-**It refers to the ability of
any one channel member to alter or modify the behavior of other members in the distribution channel, due to its
relatively strong position in the market. Types:-1.Coercive Power: The manufacturer threatens to terminate the
relationship with other channel partners or withdraw the resources deployed with them. With this power, the
manufacturer can dominate the others and keep them under his control. 2.Reward Power: The manufacturer
provides several additional benefits to the intermediaries, with the intention to motivate them to perform certain
activities as required. 3.Legitimate Power: Here the manufacturer reminds the channel partner to carry out their
activities in accordance with the contract they have entered into at the time they became the channel partners.
4.Expert power: The manufacturer has the expertise that he transfers to the channel partners, and once they
acquire it, the power of expertise reduces. Thus, the manufacturer should focus on creating the new expertise,
thereby keeping the channel partners updated with the day to day operations. 5.Referent Power: The
manufacturer should develop its image in such a way, that the intermediaries must feel proud to be associated
with it.

CHANNEL CONFLICT:- It occurs when manufacturers (brands) disintermediate their channel partners, such
as distributors, retailers, dealers, and sales representatives, by selling their products directly to consumers through
general marketing methods and/or over the Internet. Nature:-**Channel conflict is a state of opposition, or
discord(disagreement) among the organization comprising a marketing channel. **The many connotations of
conflict:- contention, disunity, disharmony, argument, friction, hostility, antagonism, struggle, battle. **Conflicts
are always not negative, rather than keeping channel members apart & damaging their relationship, some
conflicts actually strengthens & improves the channel. **Channel conflict arises when the behavior of a channel
member is in opposition to its channel counterpart. **Interdependent parties at some level try to block each other.
Degree of Conflict:- **Conflict implies incompatibility at some level. **When conflict occurs at such a low
level that channel members do not fully sense it, the conflict is latent in nature. **Latent conflict is the norm in
marketing channels. **When a channel member senses that some sort of opposition exists, opposition of view
points, of perceptions, of sentiments, of interests or of intentions, the conflict is perceived. **But when emotions
enter, the channel experiences felt conflict, or affective conflict. **At this stage the players describes their
channel as conflictual as the organization members experience tension, anxiety, anger, frustration, hostility. **At
this level, the differences start getting personalised. **Description of their interactions soon start sounding as
disputes. **If not managed, felt conflict can escalate quickly into manifest conflict. This conflict is visible! **
In this ,There is blocking of each others initiatives & withdrawal of support. CONSEQUENCES OF
CONFLICT:- **Conflict is usually considered as dysfunctional. Although true, but at certain occasions conflict
actually makes the relationship better ! **This is functional (useful) conflict. **Functional conflict occurs when
channel members recognize each other’s importance & understand that each party’s success depends on another.
Functional Conflict:- **More frequent & effective communication. **Establishing outlets for expressing their
grievances. **Critically reviewing their past actions **Devise & split more equitable split of system resources.
**Develop more balanced distribution of power. **Develop standardized ways too deal with future conflict.
**Functional conflict is a natural outcome of a close cooperation with suppliers **When channel members are
committed, these disputes raise standards of performance in the short term. **An influential channel is a
disputatious one **Peaceful channels are not always better **Lack of conflict soon becomes lack of engagement
that leads to poor performance. REASONS FOR CHANNEL CONFLICT:- Reasons for Channel Conflict:- 1)
Internal Competition- All this happens, because the competition is so high within the brands, that dealers do
anything to get a margin or to make a sale. This causes channel conflict not only between the dealers and the
company, but within the dealers as well. 2) Strategic differences- Differences in goals or strategy can cause a
misalignment between the objectives of the dealer and the objectives of the company. 3) Operational conflicts-
The companies’ service levels might not be upto mark, thereby increasing the pressure on the sales channel
because the customer will obviously contact the sales channel in case of defects. 4) Conflicting Role of channel
members- A fixed role to a dealer or a fixed territory to a dealer, it is quite likely that another dealer will invade
in his territory or might even take his role lightly. 5) Conflict due to change- Another factor which is always
constant is change. A company launched a new model which the dealers did not like but they are forced to sell
it. 6) Conflict due to dependency-There are companies which exist solely as an OEM or in the form of exclusive
dealers. CONFLICT RESOLUTION STRATEGIES:- Channel partners can cope with the conflict through 2
approaches:- **Try to keep conflict escalate to dysfunctional zone by developing institutionalized mechanisms(
arbitration boards, norms of behavior etc). **Use patterns of behavior to resolve manifest conflict.
Institutionalized Mechanisms to contain conflict early -Here channel members devise policies to address conflict
in its early stages, even before it arises. -These policies become institutionalized. -They serve many conflict
management functions. -The same includes mechanisms like joint memberships in trade associations, distributor
councils & exchange of personnel programs. -Some build in appeal to third parties such as referral boards of
arbitration & mediation.
Styles of confilit resolution

Framework for designing the channel

Target Group
Buyers Needs
Product Features
Retailers Needs
Legal issues

Reach Distribution Fun

Needs
Feasible alternative
MODULE 3
ROUTE TO MARKET:- RTM provides a quick and proven methodology for aligning marketing, sales and
distribution, and for optimizing spending in these areas, which can total 30% or more of operating expenses.
Optimizing spending in these areas provides the next step for profitable growth because most companies have
already obtained as much benefit as they can from optimizing their supply chains, manufacturing and finance.
Routes-to-Market (RTM) is a simple but very powerful methodology for driving profitable growth. World-class
companies like IBM, Microsoft, Cisco, Hitachi, Adobe, Plantronics (and hundreds of smaller companies) use
RTM to take their products and services to market in the most productive way possible. It is how you, you sell
your product and how you plan your sales. It's one of the most important things to get right: if you don't sell the
way customers want, they won't buy product This guide introduces you to the different routes to market: - 1.
What to consider before you choose 2. Direct selling 3.Selling wholesale 4. Distance selling 5. Online selling
6.Combination of channels.

MODULE 4
INTEGRATED MARKETING CHANNELS:- Integrated Marketing is an approach to creating a unified and
seamless experience for consumers to interact with the brand/enterprise. **It attempts to meld all aspects of
marketing communication such as advertising, sales promotion, public relations, direct marketing, and social
media, through their respective mix of tactics, methods, channels, media, and activities, so that all work together
as a unified force. It is a process designed to ensure that all messaging and communications strategies are
consistent across all channels and are centered on the customer. Vertical Marketing:- **In a Vertical marketing
system, channel members formally agree to closely cooperate with one another. **A vertical marketing system
can also be created by one channel member taking over the functions of another member. **By contrast, in a
conventional marketing system the channel members have no affiliation with one another. **All the members
operate independently. **If the sale or the purchase of a product seems like a good deal at the time, an
organization pursues it. But there is no expectation among the channel members that they have to work with one
another in the future. Horizontal Marketing:- **A horizontal marketing system is a distribution channel
arrangement whereby two or more organizations at the same level join together for marketing purposes to
capitalize on a new opportunity. For example: a bank and a supermarket agree to have the bank’s ATMs located
at the supermarket’s locations; two manufacturers combining to achieve economies of scale otherwise not
possible with each acting alone to meet the needs and demands of a very large retailer; or two wholesalers joining
together to serve a particular region at a certain time of year. MULTICHANNEL MARKETING:- **It’s refers
to the practice by which companies interact with customers via multiple channels, both direct and indirect, in
order to sell them goods and services. **Companies use direct channels, or ones in which the company
proactively reaches the customer – such as physical stores, catalogs or direct mail – or indirect ones in which
they push content via websites or social media, also known as inbound marketing. **Multichannel marketing is
based on the fact that customers have more choices than ever in terms of getting information on products. **The
spread of available channels, including the growth of email, social media and mobile, has caused marketing
departments to increase their presence on these channels in order to develop their customer relationship
management (CRM) efforts. VERTICAL INTEGRATION:- **To integrate is to become one, or singular
**When the manufacturer integrates a distribution function; it has integrated forward or downstream from the
point of production. **It can also occur from downstream direction, when the downstream channel member does
not wants to part with much margin as he strongly believes he understands demand much better. **Whether the
manufacturer integrates forward or downstream channel member integrates backward-it results in one
organization doing all the work & the channel is said to be vertically integrated. STRATEGIC ALLIANCE IN
DISTRIBUTION CHANNEL:- **A strategic alliance (also see strategic partnership) is an agreement between
two or more parties to pursue a set of agreed upon objectives needed while remaining independent organizations.
**A strategic alliance will usually fall short of a legal partnership entity, agency, or corporate affiliate
relationship. **Typically, two companies form a strategic alliance when each possesses one or more business
assets or have expertise that will help the other by enhancing their businesses. **Strategic alliances can develop
in outsourcing relationships where the parties desire to achieve long-term win-win benefits and innovation based
on mutually desired outcomes. **This form of cooperation lies between mergers and acquisitions and organic
growth. Strategic alliances occurs when two or more organizations join together to pursue mutual benefits.
HORIZONTAL STRATEGIC ALLIANCES:- Horizontal strategic alliances are formed between partners
operating in the same business area. The firm partners with a competitive company to improve its position against
other competitors. Horizontal alliances tend to be anti-competitive, hence anti-trust law should be considered in
this type of alliance. It is a strategy to sell a product in multiple markets. Research and development cooperation
between microelectronic firms is a form of horizontal strategic alliance. VERTICAL STRATEGIC
ALLIANCES:- A vertical strategic alliance is a partnership between a firm and its supplies or distributors. Some
firms utilize vertical alliances to produce their products and services. Vertical alliances deepen the relationship
of the firm with suppliers through the exchange of know-how and commercial intelligence. They extend the
firm’s network and benefit customers by lower prices. Suppliers become actively involved in product design and
distribution arrangements. The close bond between an auto manufacturer and its suppliers is an example. A
complementary vertical alliance is formed when the supplier agrees to work exclusively for the other.

Module 5
LOGISTICS SYSTEM:- Physical Distribution involves planning, implementing, and controlling the physical
flow of materials and final goods, from point of use, to meet customer requirements at a profit. Role of Physical
Distribution System • Increased Market Share • Creation of Utilities • Price Stabilization • Improved consumer
services • Cut in Distribution costs. Factors Governing Logistics System:- • Distribution Channels • Component
Availability • Market • Resource Position • Product. Objectives Of Logistics:- 1. Operating Objectives 2. Rapid
Response 3. Minimum Variance 4. Minimum Inventory 5. Movement consolidation 6. Quality improvement
7. Life-Cycle support. SIGNIFICANCE IN DISTRIBUTION MANAGEMENT IN TERMS OF
TRANSPORTATION:- Supply Chain Management:- **Supply Chain Management (SCM) can be divided into
three main areas: purchasing, manufacturing, and transport. **From end to end, this includes decisions about
which input materials to use, production quantities, inventory levels, distribution network configuration, and
transportation for both the input materials as well as for the finished products. **Logistics Management is the
component of SCM that focuses on how and when to get raw materials, intermediate products, and finished goods
from their respective origins to their destinations. WAREHOUSE MANAGEMENT:- **Warehouse
management is not just about locating items, however, it also precisely controls what happens in the warehouse.
**Management systems will typically divide warehouses into many compartments and bins, allowing specific
items to be located in a specific area of the warehouse when needed. For example what actions warehouse staff
take and when, how items are stored and treated, and what processes are to be used for different items in the
warehouse. Some systems integrate warehouse management software with equipment such as forklifts,
packaging machines, and conveyor systems, making the warehouse even more streamlined and efficient.
UNITIZATION:- **It is the process of consolidation of several units into single unit. **It is made of a number
of items or a bulky material and is constrained to lifted and shifted because it is too bulky to be moved manually.
**Material handling cost decreases as the size of the unit increases. PACKAGING:- It is one of the main factors
of logistics which relates to logistics activities; it propels and moves the system forward smoothly and lead to a
great success where all high quality goods and products are made. Packaging is indeed a very important process
in advertising and distribution. How? Well, these two processes related greatly to packaging. Suppose a customer
orders two tons of PP plastic bottles, if the bottles are not arranged in any type of transportation properly, then
the bottles will be easily damaged which then results in an increase in customer turnovers. When making
products, packaging also determines the appearance and the looks of the product which of course affects people
and how they will view the products; if they like the packaging then it is most likely that they will buy the
products. With packaging, products will be greatly in shape and that they can be arranged structurally as well as
combine and make things a lot easier when it comes to delivery. These effects of packaging will bring along
profits, higher capability of productivity, competition, and the enhance of logistical activities.

COMMUNICATION IN SUPPLY CHAIN MANAGEMENT:- In supply chain management, you will

quickly find that communication is one of the most important parts of your job. Whether you are communicating
with your coworkers, clients, or customers, you will need to be an effective communicator and know how to
communicate well. Effective communication is important in supply chain management. Remembering how it
can have an impact can be very important in making you a successful supply chain management professional.
There are many benefits to having good communication skills in supply chain management:- Productivity– Good
communication can increase productivity. Effective communication will ensure that your superiors and
subordinates alike understand your goals, your priorities. Improves Morale– It has been shown that when a
manager communicates his or her goals and expectations effectively, his people will want to come to work and
perform. Development of the Team– Effective communication can help improve the development of a work
team. If you are communicating the goals of a department, the expectations of a team, the team will work better
together. PROBLEM IN SUPPLY CHAIN MANAGEMENT:- **High Inventories **Frequent Stock-outs
**Poor or Unsatisfactory Customer Service **Inaccurate sales / demand forecasts **Regular expediting **Low
/ unsatisfactory productivity **Frequent changes to production schedules **High costs throughout your Supply
Chain **Regular fire-fighting. SOLUTION TO SUPPLY CHAIN MANAGEMENT/ LOGISTICS:-
**Identify the Problem **Define and Analyze the Problem **Generate Potential Solutions **Find solutions for
parts of the problem **Decision-Making **Implement a Solution and Evaluate its Success. 3PL:- 3PL’s are
sourced through a parent company that facilitates logistic services. A 3PL service has a set foundation of working.
Hence, organizations need to find 3PL’s whose working process, matches their needs. Third party logistics
providers usually specialise in:- **Integrating operations **Warehousing **Transportation services **Cross-
docking **Inventory management **Packaging **Freight forwarding. **These services are scaled and
customised to the customer’s specific needs based on their market conditions and the different demands and
delivery service requirements for their products or materials. **There are thousands of 3PLs in the market that
offer different models and perform different tasks. For example, certain 3PLs may only specialise in certain
industries. The 3PL have a large footprint throughout the country. This makes it viable for companies to service
clients in remote regions at a much lower cost than doing it themselves. Types of 3PL Providers:- **Standard:-
Basic activities: Pick and pack, warehousing and distribution. **Service Developer:- Value-added services such
as tracking and tracing, cross-docking and specific packaging. **Customer Adapter:- This comes in at the request
of a customer. It is when the 3PL takes over complete logistics of the firm. **Customer Developer:- This is the
highest level of 3PL. This is when the 3PL integrates itself with the company, and ends up taking over the entire
logistics operation. 4PL:- 4PL’s are independent service providers who build, design, deploy and manage the
supply chain of organizations, as per their needs. This facilitates complete customization from scratch, according
to different logistic needs.**A 4PL company takes over the logistics section of a business. This could be the
entire process, or a side business that’s imperative to have as part of the main business. An example here would
be a bicycle importer. The main function is to import bicycles however, they need to have spare parts for these
unique bikes. A 4PL would manage the total logistic operations for the spare parts business. Functions provided
by a 4PL company:- **Procurement **Storage **Distribution **Processes.

GRAY MARKETS:- The grey market, also referred to as the parallel market, is a market where a product is
bought and sold outside of the manufacturer's authorized trading channels. The grey market is where the
unofficial trading of a company's shares, usually before they are issued in an initial public offering (IPO),
happens. The distribution channels involved in the grey market are legal but are not provided by the original
owner. Who is supplying? **Authorized distributors **Professional arbitragers: -import Export houses -
Individual, professional traders - The ultimate source-victim. Reason:- **Differential pricing to different channel
members **Different geographic markets **Economic fundamentals. GREY MARKETS VS BLACK
MARKETS:-Grey markets should not be confused with black markets since they have a very distinct difference.
Grey markets are imported goods sold purchased at a less expensive price and sold for a higher price. The
importation of prohibited and illegal goods like firearms and drugs do not fall under the grey markets. These
items are considered to be part of the black market. Goods under the black market are typically products that are
smuggled into particular countries to avoid import matters.

SELECTION/RECRUITING CHANNEL PARTNERS:- We need three pieces of information: • Negotiating

Strength-**To what extent do the potential members have significantly more negotiating strength? Does only one
candidate really fit our needs, or do
several? Either way, there is always some room for negotiation. • Financial Incentives-**Know, How much you
are willing to pay, and then determine the amount the potential members will charge. List any incentives or
discounts you might offer. • Your Pitch-Establish your business credibility with some qualifying messages. Know
your candidates' needs, and identify how you'll meet them. Differentiate and substantiate your ability to be a good
partner. OBJECTIVES- 1.Cost 2. Growth 3. Reach 4. Expertise 5. Visibility
Choose the right channel members channel characteristics tend to fall into three categories: 1.Business/operational
characteristics • Image or reputation • Financial strength • Process efficiency/effectiveness • Service levels •
Cost 2. Sales/marketing characteristics
• Reach/coverage • Sales competence • Compensation • Product enhancement 3. Strategic fit characteristics •
Level of commitment • Resources allocated to your products • Collaboration on winning business • Shared
strategic plan • Common interrelated visions