Role of Channel of Distribution for Consumer

The Journal of Nepalese Business Studies

Vol. IV No. 1

Dec. 2007

Role of Channel of Distribution for Consumer

New Product Success in Nepal

Bed Nath Sharma

ABSTRACT

This study concerns with channels used to distribute consumer new products and their role

for new product success. To distribute consumer new product, distributor or wholesaler are in use.

Sales trend of new product is in increasing trend. Distributor/wholesaler are satisfied with product

features as well as delivery and terms and conditions of payment. Most of them are satisfied with

manufacturer’s new product launching strategy. Competitive position of new product is found good.

Distributor or wholesale are satisfied with manufacturer’s dealing. Distributors are playing significant role for new product success.

Key Words : new product success, channel of distribution, satisfaction

1. Background

Distribution is one of the most important part of marketing mix. The producer does

not sale their product directly to final user. There needs middle- man in between producer

and consumer is also called channel of distribution which is involved in the process of

making a product or service available for use or consumption. The role of such channel for

new product success is analyzed in this article. It contains different aspects related with

channel of new product like: types of channel used, sales trend of the new product, competitive position, support by producer for product diffusion, market study by manufacturer,

product launching strategy of the industry and support to producer by channel for new

product success. Besides this, level of satisfaction of channel relating to quality, price, packaging, advertising, branding, labeling, delivery, payment and suggestions of the channel to

improve new product success are also analyzed.

2. Study Methods

The study has been based on descriptive (survey cum analytical) research

design. Case study approach was followed on different...