Determining the best way to distribute your product or service is essential to understanding both its costs and its value to customers. In this activity, you’ll research and develop a basic distribution plan. As your product idea and business case become more developed, you will likely return to adjust this plan. For now, it’s acceptable to use a combination of mock information as well as details from your start-up idea.
Step 1: Determine the Distribution Strategy
Create a new slideshow presentation. Add a title slide and a slide labeled Distribution Strategy.
Take some time to consider your product, your customers’ needs, and the costs associated with your specific distribution strategy.
If you are selling a physical product, think about how your channels of distribution carry costs like transportation, storage, product handling, and inventory control.
If your product is a service, note how distribution will be affected by costs including processing fees, banking costs, or online partner fees.
Add text to the slide. Describe in one or two sentences your basic approach to distribution. In other words, how is the workflow of your product organized?
Step 2: Create a Supply Chain Diagram
Create a new slide and title it Supply Chain.
Using graphics tools in the presentation software or your own graphics tools, create a diagram that depicts the stages or components of your proposed supply chain.
Step 3: Research and Select Suppliers
Conduct an online search for potential sources or manufacturers for any of the supplier components in your supply chain.
If your business is a service, research potential service suppliers, such as online payment tools that charge a fee.
On your supply chain chart, add text labels to indicate the names of the suppliers that make up the individual components of the supply chain.
Record your answers in a document and submit this along with any additional resources
for review and feedback.
Title Slide:
Distribution Plan for [Your Product/Service]
Distribution Strategy Slide:
Distribution Strategy: Our approach to distribution involves a combination of direct sales through our website, partnerships with retail stores, and collaborations with online marketplaces. This allows us to reach a wide range of customers and maximize sales opportunities.
Supply Chain Diagram Slide:
[Insert your supply chain diagram here]
Research and Select Suppliers:
1. Manufacturer for [Product Component]: [Supplier Name]
2. Transportation Provider: [Supplier Name]
3. Online Payment Tool: [Supplier Name]
Please provide a detailed explanation of your distribution strategy, supply chain diagram, and selected suppliers. Include any additional information or research that supports your plan.