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Solving The Channel Conflict

b6 Solving The Channel ConflictMarketing channels inherently have the potential for conflict. However, with proper planning it can be minimized or avoided. Of all the factors, the most common source of channel conflict relates to pricing. It is important that the producer creates the foundation for a pricing structure where each member is able to make a profit from the value they bring to the marketing channel process. Each member’s price must reflect his or her role within the channel. For example, if a retailer is able to purchase directly from the producer at a cost equal to or less than what they buy from their distributor, channel conflict will occur.

Other sources of channel conflict may result from goal incompatibility, poorly defined roles and rights, perceptual differences, and interdependent relationships. All of these factors must be taken into consideration, addressed when necessary, and “managed” whenever possible. The member that has the greatest control — and that may not be the producer — is in the best position to influence the channel.

An effective public relations strategy will leverage the areas of press relations, product and service promotion, firm communications, lobbying, and internal feedback to assist the organization in reaching its marketing goals. Good strategy begins with identifying your goals and stating your objectives. What are the goals and objectives behind your public relations strategy? Can they be measured and quantified? In most cases you will attempt to generate coverage from all available resources and then assess your response. Tailor your message to get the most attention possible from each resource.

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