Exclusive Distribution Example Products
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How to fill out Exclusive Listing Agreement - Residential?
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FAQ
Exclusive distribution refers to a strategy where a manufacturer grants a single retailer or distributor exclusive rights to sell its products in a particular area. This means that only that retailer can carry those products, making them special offerings. A common example can be seen in luxury brand products, where a high-end product might only be available at select department stores or boutiques. Using exclusive distribution example products allows businesses to maintain a premium image and control the brand experience.
Distribution channels include wholesalers, retailers, distributors, and the Internet. In a direct distribution channel, the manufacturer sells directly to the consumer. Indirect channels involve multiple intermediaries before the product ends up in the hands of the consumer.
Cars, appliances, and luxury clothes are all examples of these extensive products, and companies often use an exclusive distribution strategy to sell these items.
For example, a brewery that brews its own beer and sells it to customers at its own brick-and-mortar location employs a direct channel of distribution. The seller delivers the product or service directly to customers.
By contrast, selective distribution involves selling products at select outlets in specific locations. For instance, Sony TVs can be purchased at a number of outlets such as Circuit City, Best Buy, or Walmart, but the same models are generally not sold at all the outlets.
Businesses that carry luxury brands often utilize exclusive distribution as a method of enhancing their brand images. Other types of products that utilize exclusive distribution are automobiles, women's apparel, major appliances and furniture.