Filed under: Topics in Distribution
This article from Channel Web suggests that Microsoft opening an online store and selling products directly to customers can cause conflict of channels of distribution. The argument (pro Microsoft) is that Microsoft is taking advantage of increasing its sales without affecting its distributors, since there are so many product choices for consumers that they will still need distributors to help them choose the right solutions for them. Afterall, as the article states, “Do you think that bankruptcy of Circuit City and CompUSA had anything to do with the idea that Microsoft needs to go at it alone to reach the end customer?”
A lesson to learn: The idea of using multiple channels is to increase sales and effectiveness of distributing our product offerings, not causing a conflict of channels. As for Microsoft case, we will just have to see if this becomes a problem, now don’t we? What do you think?
For more details, please visit: http://www.crn.com/software/212101096
Anthony D.
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