Place Mix

Another important component of the marketing mix is the place mix. This is also called distributing mix. This includes two components: selection of a distribution channel and physical distribution of product. It focuses on delivering the product from place of production to the place of consumption. Thus, place mix includes distribution channel, coverage, collection, location, inventory, transportation and supply.

Channel: A distribution channel is a way from which products flow from production point to consumption place.

Coverage: It is another important components of place mix. Marketing activities, marketing distribution system must cover all the customers.

Collection: Proper collection system is essential to quick delivery of goods.

Location: It is buying or consumption place. Place can be near or far from the point of production.

Inventory: Inventory plays important role in distribution system. It creates time utility of product. There should be optimal level of inventory.

Transportation: Transportation plays an important role in physical distribution. It creates place utility of product.

Supply: Regular and effective supply plays an important role in distribution system.