Professional Documents
Culture Documents
Channels
[Resolving GAP-3]
Session 7
Marketing Channels: Nature & Importance
oA set of independent organizations involved in the
process of making a product available for consumption
oValue Delivery Network
The network made up of the company, suppliers, distributors,
and ultimately customers who partner with each other to
improve the performance of the entire system.
Indirect Marketing
Direct Marketing
Distributors
Catalogs, Sales
Telephone, force
Internet
Retailers Dealers
Direct Indirect
(Bank Branch) Bank Credit Cards
Location & Coverage Telebanking/mails
Creating Branch Image In-shop Branches
In-touch Services
Bank Distribution Network (contd.)
o Bank Branches
Most important channel
as fixed in location, must be conveniently situated
o Bank Credit Cards
through cards banks offer credit services to its customers
overcomes inseparability
Increases use of bank services by existing customers
establishes contacts with a wider variety of customers
o Telebanking/ mailbanking
increases availability and convenience of bank services
expanses geographical area
o In-shop Branches
offer banking services in shops
customers may even get statements
o In-touch Financial Services
customers use home-computers, connect through network and bank with
banks in paying bills, knowing balances etc.
Bank Distribution Subcomponents
1.PEOPLE
Managing and making best use of own-people
(Internal Marketing)
Very important for delivering service than goods
Customers judge products partly in terms of the
providers (friendly, knowledgeable)
Branch managers must carefully
Select Process
Train Presentation
Place
Motivate front-line people
and others People
Bank Distribution Subcomponents (contd.)
2. PRESENTATION
o making a branch user-friendly
interior - clean, tidy & neat
people- warm, friendly, ever ready to help
exterior- matching with the interior
overall branch environment
customer oriented & customer friendly
Process
a place customer would love to walk
in & would be always ready
Place Presentation
to recommend
People
Bank Distribution Subcomponents (contd.)
3. PROCESS
o Systems & procedures
making decisions on how the customers will get
their needs met
helping customers, not having barrier in rendering
prompt & good services
being not officious, longwinded and cumbersome
letting not customers routed through Process
Noise Management
o Reduce the noise level by
1. a proper layout
2. sustained staff-education program (to speak low &
avoid shouting)
Direct Distribution Network
o More than 90% of the bank services
are distributed Directly through
branches