Michael Kers Case Study

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1.1 Introduction A distribution channel is the specific chain of businesses or intermediaries through which products or services flow till these arrive the end customer. This encompasses wholesalers, retailers, distributors or the internet or web-based. Channels can be classified into direct and indirect channels. A direct channel enables the customer to purchase the products from the manufacturer, and an indirect channel enables the customer to purchase the items from wholesaler or retailer. A distribution channel is a way by which all products and services should go to touch base at the end customer. Then again, it is likewise used to depict the pathway that payments make from the end customer to the first seller. Distribution channels…show more content…
In any case, in order for Michael Kors to maintain an immediate connection with the end customer and to better control pricing and secure brand image, they laid out a methodology to reduce the quantity of items it sells to wholesalers and retailers that offer numerous different brands. In Australia, Michael Kors stores can be easily found from many department stores, such as DFO, Westfield, and others. This means Michael Kors possessed solid distribution channels which are easily accessible to their end customers. According to John Idol (CEO of Michael Kors), diminishing the total inputs for the wholesale channel will make a more advantageous condition for their department stores consumers and accomplices, and themselves. They also have partnerships with various aggregators, such as David Jones, Forzieri, ShopBop.com, Farfetch, Stylebop, and many others. Therefore, customers can easily search and shop Michael Kors bag from many different web-based…show more content…
– for the distribution strategy, Hermes’ key methodology is the retail condition. The organization operates in the global market, such as Europe, France, Japan, USA, Australia and the Asia Pacific, where the fashion industry is extremely active. Hermes of Paris has distributed their products through over 250 monopolistic stores all over the world which can strengthen its brand image. In Australia, all finished goods of Hermes have been sold only their conventional stores, and they do not have the desire for web-based or online shopping. The distribution channel in numerous global upscale such as Japan, China, USA and Europe are an international strategy of Hermes to extend client base and increment sales revenue. Particularly, China is recently becoming the biggest fashion market in the

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