Monday 28 March 2011

Distribution Policy of Boots


Distribution, as a marketing function, is concerned with adapting supply to demand with regards to time and place and also to different quantities and qualities of distributed products. It’s also one of critical issues in business success. Under the franchise, we are doing retailing which includes all the activities involved in selling goods directly to final consumers.

As a retailer, we should consider the following factors of distribution:

Location of retail store: It’s very important that retailers select locations that are accessible to the target market in areas that are consistent with the retailer’s positioning. And we should put the majority of the locations in rapidly growing areas where the population closely matches our customer base. At the beginning, we will first open only one shop, because we should take time to test and observe market. Since our target group is above middle-class people, the capital of Bangladesh—Dhaka will be our first choice. So for a better location where Boots can have potential customers, places like Gulshan, Banani, Uttara, Baridhara or Dhanmondi can be the better options. However, the capital on hand is also a limit to search for one location, because we have to settle for whatever location we can afford.

External distribution—supplies: Under franchise, all the products would be manufactured, packaged, stored, and transported in a particular performance of distribution. Boots has greater expertise in managing its global supply chain; and we will get supply directly from Boots’ companies. And Boots Company has its own distribution system, so we have to follow the instructions of the policies given by the authority to conduct the distribution. 

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