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selective distribution is used with "hard products" like furniture and stereos for instances. granting more rights to the producer

exclusive distribution is used for expensive or upscale products like cars or jewelery. Granting more rights to the distributor.

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Q: What are some examples of selective and exclusive distribution?
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What are the advantages of exclusive distribution to supplier?

Exclusive distrabution means that a suplier has made a deal with one or two retailers in a particular area to sell the suplier's product exclusively. This provides an advantage to the supplier because it permits the supplier to dicate some of the retail strategies. For example: In intensive distrabution, a product is sold everywhere, and because it is sold in so many places it is hard to keep track of all the strategies that the various retailers are using. If the product is being sold to exclusive retailers, the supplier has more control of how they display the image. Another advantage, depending on the product, lies in the fact that exclusive distrabution provides the product with a prestigous image because it can not be found everywhere. This can be considered a disadvantage if the supliers product is not positioned to be pristine. Lastly, exclusive distrabution allows the manufacturer to negotiate a deal with th retailer. Exclusive distrabution gives the retailer a competitive advantage because if the consumer wants to buy the product they must purchase it at that store. In return retailers will provide the oppertunity for the product to be displayed in a special section, or carry the suplier catelouge, and so on.


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