Intermediaries provide logistic support that increases convenience to both the producer and the consumer by offering effective delivery and pre- and post-purchase customer service as well as facilitating manufacturer services, making them indispensable to most mid- and small-scale producers. Marketing channels make possible the flow of goods from a producer, through intermediaries, to a buyer.
Marketing intermediaries play a crucial role in connecting producers to consumers. They help in distributing products and ensuring that they reach the target market efficiently. Intermediaries also provide services such as promotion, market research, and market feedback, thereby aiding in market expansion and customer satisfaction. Overall, marketing intermediaries are vital in bridging the gap between producers and consumers, and in facilitating the smooth flow of goods and services in the marketplace.
Role of marketing intermediaries
Walmart and Target
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Retailers
4 types of Marketing IntermedieriesResellerPhysical Distribution FirmMarketing Service AgenciesFinancial Intermediries
logistical functions
These are the intermediaries used while marketing industrial goods to customers/companies.There may be zero/one/two/three level marketing channels in accordance with how many intermediaries are working in between the manufacturers and customers.
One of the most basic values provided by intermediaries is the optimization of the number of exchange relationships needed to complete transactions.
Marketing was with trade
Since they understand buyers' and sellers' needs, intermediaries are well positioned to reduce the uncertainty of each. They do this by adjusting what is available with what is needed.
But as the number of intermediaries approaches the number of organizations in the channel, the law of diminishing returns kicks in. At that point, additional intermediaries add little new value within the channel.
Intermediaries provide many utilities to customers. The provision of contractual efficiency, routinization, assortment, or customer confidence all create value in channels of distribution.