Intermediary Purchasing from the Producer of the Product
Sell Steps: Sell steps include the activities Intermediary customers take in selling and delivering the product to their customers. These activities include their own customer recruitment and product delivery.
B. Needs to avoid sources of anxiety
2. Limitations set by time: Segment customers according to the causes of limitations set by time.
Delays related to location: Identify characteristics related to the location of purchase or use that separate one group of customers from others.
Distance from the company, from the product, from competition or from some other preferred location.
Distance from company or product
|Fogdog Sports won an exclusive contract to sell Nike Inc.'s full line of sporting goods on Fogdog's Web site. Until now, Nike had resisted joining forces with a Web retailer, preferring to confine its online sales to its own Web site. Fogdog has agreed to sell a 12 percent stake to Nike as part of the arrangement. Nike will acquire about 6.2 million shares of Fogdog stock at $1.03 a share. The exclusive agreement is for six months.
|Apple has been trying to make a deal with Circuit City and Best Buy which are the two largest consumer electronic retails, to sell their products in a special product display area manned by Apple employees.
|Consumers and companies have been using wireless Internet technology to let multiple computers share the same link to the Internet for several years, but now the technology is moving into public spaces. Deutsche Telekom's T-Mobile has set up thousands of wireless Internet/Wi-Fi hot spots in Starbucks coffee shops, Borders book stores and airports.
|For wireless Internet hot spots to become a consumer mainstay, hot-spot operators have to agree to give each other's customers access.
|Wi-Fi, the wireless internet service is often limited to a certain range from the radio transmitter to a broadband Internet connection. It does not bring access to rural areas. A new technology, WiMax hopes to beam high-speed Internet connectivity to homes and businesses miles away, eliminating the need for extensive wiring.
|Steven Madden Ltd. Is trying to build excitement in stores with such twists as Internet kiosks. The displays, which let customers browse the Web, are in two stores and are being rolled out slowly. In addition, the company has more than 650 concept shops within department stores to showcase its line. That's up from 300 last year. Madden is adding new categories like evening shoes and expanding to include accessories, such as handbags and outerwear, through nine licensing pacts. It recently signed Jordache Enterprises as its licensee for denim and sportswear. It will begin to test these items in two stores at the end of the month.
|RadioShack has halted its investment in boutiques inside Blockbuster stores after a 6-month trial at 130 locations. If the alliance had worked, RadioShack would have rolled out the boutiques to roughly 5,000 U.S. stores for an investment of $200-300 million. Blockbuster, however, is pleased with the trial runs. The alliance was part of the company's plan to diversify its business, as it is vulnerable to new electronic services such as video-on-demand.
|Simon DeBartolo Group Inc. is launching plans to allow companies to use its malls to market everything from credit cards to time-share vacation. Simon DeBartolo, the nation's largest mall owner, is expected to announce today the creation of a new subsidiary , Simon Brand Ventures, that intends to strike deals with a variety of companies to hawk their goods and services to mall customers, some at kiosks installed in the common areas of Simon DeBartolo's 139 malls. Simon DeBartolo has already struck a deal with HFS Inc., a Parsippany, N.J., franchiser, to market services ranging from vacation time-share to car rental to hotels. Simon DeBartolo also has an agreement with CUC International Inc., the Stamford, Conn., consumer-services company that plans to merge with HFS, to pitch membership services to shoppers and help Simon DeBartolo with its new frequent-shopper program. In addition, Visa U.S.A. has signed on to promote its credit and debit cards at DeBartolo malls.
|While the airline industry sells 75% of its tickets through travel agents, hotels sell less than 30% through middle men.
|Coinstar operates the nation's only network of supermarket-based coin machines. Users can simply pour in their coins, which are then automatically counted and returned via a receipt redeemable for cash at the checkout.
|Under a five-year agreement, Microsoft will set up a "store within a store" at Radio Shack outlets, to demonstrate Microsoft products and services that include high-speed connections to the Internet.
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