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How can you identify distribution channels with competitive analysis?

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Distribution channels are the ways that your product reaches your customers. They can be direct, such as selling online or through your own stores, or indirect, such as using wholesalers, retailers, or intermediaries. Choosing the right distribution channels for your product can give you a competitive edge, increase your customer satisfaction, and reduce your costs. But how can you identify the best distribution channels for your product? One way is to use competitive analysis, a technique that helps you understand your market, your competitors, and your customers. In this article, we will show you how to use competitive analysis to identify distribution channels for your product innovation.

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Luiza Brittes

Consumer Relations / Insights / Inteligência de Mercado / Social Listening / Shopper Marketing

1 Define your product and market

The first step in competitive analysis is to define your product and its target market. What are the features, benefits, and value proposition of your product? Who are your ideal customers and what are their needs, preferences, and behaviors? How big is your market and how is it segmented? By answering these questions, you can narrow down your focus and identify the most relevant distribution channels for your product.

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Rebecca Z.

Brand Marketing and Product Innovation
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well, in China market, it is not complicated identifying distribution channels. On-line distribution with social media impactt are must to explore. Then competitive analysis is to serve the mix of distribution channels. For example cosmetics stores (multibrands stores focusing cosmetics and personal cares) are influential off line distribution. Nutritions are good distributed in mother & baby chain stores.

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2 Research your competitors

The next step is to research your competitors and their distribution channels. Who are your direct and indirect competitors and what are their strengths and weaknesses? What are their product offerings, pricing strategies, and marketing tactics? How do they distribute their products and what are the advantages and disadvantages of their channels? How do they reach their customers and how satisfied are they? By analyzing your competitors, you can learn from their successes and failures, identify gaps and opportunities, and differentiate your product.

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3 Evaluate your customers

The third step is to evaluate your customers and their expectations. How do your customers find, buy, and use your product? What are their pain points, motivations, and goals? What are their channel preferences and how do they vary across segments? How do they perceive your product and your competitors' products? How loyal are they and what are the factors that influence their loyalty? By understanding your customers, you can align your distribution channels with their needs and wants, enhance their experience, and increase their retention.

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4 Choose your distribution channels

The final step is to choose your distribution channels based on your product, market, competitors, and customers. What are the criteria that you will use to evaluate your distribution channels? How will you balance the trade-offs between reach, control, cost, and flexibility? How will you measure the performance of your distribution channels and how will you optimize them over time? How will you integrate your distribution channels with your other marketing elements, such as product, price, and promotion? By selecting your distribution channels, you can optimize your product innovation and gain a competitive advantage.

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Luiza Brittes

Consumer Relations / Insights / Inteligência de Mercado / Social Listening / Shopper Marketing
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é importante considerar qual será o mix de seus produtos por canal e regi?o. Há canais que suportam muitos SKUs, diferentes vers?es e tamanhos (como os hipermercados, por exemplo). Há canais, nos quais é preciso trabalhar com um portfólio reduzido. Por isto, definir os itens prioritários por canal é fundamental na estratégia de Go to Market.

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5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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How can you identify distribution channels with competitive analysis?

1

2

3

4

5

1 Define your product and market

2 Research your competitors

3 Evaluate your customers

4 Choose your distribution channels

5 Here’s what else to consider

Product Innovation

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How can you identify distribution channels with competitive analysis?

1

2

3

4

5

1 Define your product and market

2 Research your competitors

3 Evaluate your customers

4 Choose your distribution channels

5 Here’s what else to consider

Product Innovation

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