Week 2.5 Channel players and physical distribution

Marketing Environment

Simon Isrif, 438344, DIM1VC

14-12-2016

Week 2.5 Channel players and physical distribution  

How is the product presented in a shop?

In this case I use Media Markt, Europe's number one consumer electronics retailer (Media Markt, 2016) located in Deventer, to give a detailed description of how the headphones/earphones produced by Sennheiser are presented in the majority of the stores that offer the product. Even though Media Markt is quite a big store, the clean and clear design creates a comfortable atmosphere for the costumers. Colors used in the store are primarily red and white, the same goes for the personnel’s clothing. The Sennheiser products in question are presented in the same way as other major electronic audio producers, in the headphones sector of the store which is located in somewhat in the back of the store. A reason why this specific location has been chosen could be that headphones are a relatively expensive product, a product which is not purchased on a regular basis and requires research and thought before buying. A front or near cash register location would therefore not be very efficient or necessary.

Where are the best known brands located? Which value brands are offered? Which own-label offerings are present?

Other best known headphone brands (Sony, Panasonic etc.) are located in the same location as Sennheiser, in the middle of the headphones section of the store. Value brands, which primarily consist of Media Markt’s own branded headphones (house brand), are located more on the sides of the section. The centralized location chosen for the Sennheiser products indicated the status of a premium product.

  

The number of facings of your product compared to the number of facings of competing brands. Measure the space on the shelves and calculate the “share of space” of your brand

The product has an equal share of facings (8x9=72 facings) compared to the competing brands. The share of space of all the competing brands plus Sennheiser is 1:5.

No brand, in relation to share of space, has a competitive edge. However, the central location of the Sennheiser headphones in the store section could be seen as profitable, causing the edge over competitors.

Describe the relation between transportation, packaging and communication in relation to your product.

Sennheiser headphones are packaged in a durable and sturdy case. The case communicates a no-nonsense vibe to its customers. This way of packaging is also effective for transportation, there is less need for additional protection which consequently causes a lower transportation cost.

References

Media Markt. (2016). Europe’s largest retailer for consumer electronics. Retrieved from http://www.mediamarkt.com/