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FMCG SALES CHANNEL

Fast-moving commodity (FMCGs) also called Consumer grocery (CPG), ask the products utilized in day to day lives. It consists of durables , nondurable goods, and services with higher consumer demand and comparatively lower margins. FMCGs have a brief time period and perishable nature. <br>

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FMCG SALES CHANNEL

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  1. FMCG SALES CHANNEL Fast-moving commodity (FMCGs) also called Consumer grocery (CPG), ask the products utilized in day to day lives. It consists of durables , nondurable goods, and services with higher consumer demand and comparatively lower margins. FMCGs have a brief time period and perishable nature. In India, the FMCG market features a remarkable impact on the economic structure. because the name suggests, the demand for these goods is steeply rising giving opportunities to most of the businesses to take a position in it. Every next item sold or service provided via online platforms like Amazon, Flipkart, or the other e-commerce platforms also belong to FMCG like skincare products, beverages, and other categories.

  2. Elements of Sales channel Sales channel consists of independent organizations aligned to the corporate to distribute products or services from source to consumers. The channel of distribution includes the producer, the last word consumer, and any middlemen. to know the working of the sales channel, it's important to know the crucial entities. Manufacturers – There are companies or unit liable for the assembly of products . Distributors simply buy the products from manufacturers and sell them to wholesalers or retailers. Usually, a corporation has its distributor to sell its product to other outlets.

  3. Types of distribution channels- Types of distribution channels- Manufacturer to Customer Manufacturer to Retailer to Customer Manufacturer to Wholesaler to Retailer to Customer Manufacturer to Customer– this is often the direct selling process with no middlemen involved. A manufacturer sells on to the customer through its retail units, for instance , Bata. The network is fast, economical, and therefore the shortest. Small producers and producers of perishable items sell through an immediate network to local consumers. Big firms equipped with sufficient facilities also adopt this system to chop distribution costs.

  4. Manufacturer to Retailer to Customer– This channel involves one middleman that's the retailer, and is therefore called one stage channel . Manufacturers supply the products to big retailers like departmental stores and chain stores. These retailers acquire goods in large quantities and perform marketing activities on their own to sell them to the ultimate buyer. This network is extremely common for purchases like TV sets, refrigerators, washing machines, and other durable products. Manufacturer to Wholesaler to Customer– This channel is widely used for an extensively circularized marketplace for eg: drugs, groceries, etc. it's the normal channel of distribution with wholesalers and retailers. This channel is employed by small producers with a narrow line . The advantage of this network is that the sales and promotional support by the wholesalers.

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