Think back a few years to all those marketing classes you absolutely loved in college. Do you remember your teacher saying anything about channel marketing – what is it, how it works, why it’s important? Well if you need a refresher, here’s a quick lesson on channel marketing.
Channel marketing allows manufacturers to transfer the ownership of their goods to another company or retailer – in essence, taking goods from the point of production to the point of consumption. In order to maximize sales, brands involved with channel marketing partner with their retail channels. This allows manufacturers and distributors to have some control over promotions and advertisements on their products. Channel marketing is important because it is defined as the most efficient and effective manner in which to place a product into the hands of the customer.
As a marketer and a consumer, I notice channel marketing while I’m out shopping all the time. One industry that channel marketing seems to be very prevalent within, is the makeup industry – in particular at retailers Sephora and ULTA. After a little undercover shopping here’s my take on the channel marketing in these stores.