This PPT slide, part of the 120-slide Complete Management Consulting Toolkit PowerPoint presentation, outlines various distribution channels catering to 2 primary user segments. It categorizes these channels into 2 main groups: value-added channels and mainstream channels. Each channel is defined, providing clarity on its function and the typical buyer associated with it.

Starting with value-added channels, the slide lists Direct Sales, System Integrators, Value-Added Resellers, and Dealers. Direct Sales involve transactions made directly by a manufacturer’s sales force, emphasizing a straightforward approach. System Integrators focus on delivering customized solutions tailored to client needs, highlighting a more consultative sales process. Value-Added Resellers provide unique, tangible solutions, often off-the-shelf, aimed at specific customer segments. Dealers represent the traditional computer dealer channel, which offers some level of support and training, but lacks unique value addition.

The mainstream channels include Computer Superstores, Mass Merchants, and Consumer Electric Stores. Computer Superstores are characterized by their large, well-merchandised storefronts, generating significant revenue from computer-related sales. Mass Merchants typically offer a broad range of products, including various computer equipment. Consumer Electric Stores also provide a wide array of electric merchandise, encompassing computer-related items.

The slide concludes with a note on the increasing significance of the mainstream channel, particularly retailers, due to the surge in home PC usage. This trend suggests a shift in consumer behavior and highlights the need for businesses to adapt their distribution strategies accordingly. Understanding these channels can help organizations refine their approach to market engagement and customer targeting.

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