Sunday 17 August 2014

Dsitribution

Distribution is the one of the 4 P’s of marketing and one of the most important. The purpose of distribution is to  make the product or service available to the consumers for consumption. It is not just a technical function but also is responsible for creating and delivering value to its customers, be it upwards or downwards.

My product Lipton Iced Tea is backed by the powerful arm of PepsiCo. PepsiCo already has a vast number of FMCGs under their belt for which there already exists a strong distribution network. Lipton Ice Tea leverages their distribution network to reach the masses across the nation.

Lipton Iced Tea’s target market is the masses which is why it uses an intensive distribution system. This helps in increasing their reach and coverage and also provides convenience to their customers.

PepsiCo has invested a lot in improving and innovating their distribution systems in-order to make them more effective and efficient. The distribution channels used by them are supermarkets/retail stores, restaurants, convenience stores/Kirana stores, Vending machines etc. PepsiCo has a strong and almost flawless sales and distribution network.





Even HUL, being a FMCG giant, has a strong distribution network. It has a network of 4000 redistribution stockists, covering 6.3 million retail outlets, which has a reach of the entire urban population and about 250 million rural population.







The Advertising campaign are also effectively carried out by PepsiCo & HUL.













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