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Plan du document :
I. Introduction
II. The differnt types of distribution systems
1) Vending machines
2) Markets
3) Corner shops
4) Specialist shops
5) Department stories
6) Supermarkets ot Hypermarkets
7) Hard discounters
Each time we are buying an item, the only thing we do is to look at the label, the price and the taxes applied, indeed in some countries like the United States, the prices are given duty free (without taxes).
But little by little many purchases are done on the net and people become aware that beyond the purchase there is also the delivery service to take into account.
Distribution is playing a large part in the price they are paying and according to the countries the product is sent from, the taxes are far from being the same. Indeed, legislations in Trade are numerous and even if many exchanges are done in dollars, you have for instance a different VAT on products.
They were numerous in the past and concern mainly services.
ATM in bank to get some cash, food in stations, newspapers (in England and in the US many people are taking their papers in the morning through a vending machines), cigarettes (in France they are sold by Tobacco dealers).
For the companies using vending machines, they represent a quick return on investment and are of a very important profit-making in travel areas such as airports, stations, hotels or cinemas.
They don’t require any staff which means savings for companies. No need of overheads and sales can be done even after shops closures. customers can now pay with their credit cards and use the contactless payment which is easier and safer as only small amounts of money (no more than 20 euros) can be debited on your account.
You can also buy on markets, they are held daily or weekly, always at the same place (high street of a town or in town centers). The main advantage is that you can find all sorts of goods from clothes to food.
The prices are lower than in a supermarket and of better quality as the producers are locals. they produce at a very small scale and propose a short range of products.
They know their products well and can offer advices to their consumers. The overheads are low and very often they propose deals at the end of the market hours.
Little by little as people become aware that processed food may not be a good thing for their health, local markets regain a kind of interest for busy workers.
Some even settle in the subway (in Japan for instance) to sell their products, it is a way to be as close as possible to their consumers.
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Department stores are huge and they have got many departments on several floors. You can walk through it and discover various brands next to each other. they are located in city centers and contrary to what they did in the past they concentrate their sales on fashionable and luxurious brands. Their prices are quite high and the aim is to satisfy tourists or people with a high purchasing power.
They use loyalty cards and the possibility to have a free car park if your purchases are above a certain amount of money.
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They are selling for low prices and generally have large warehouses. Their low prices are due to the best conditions obtained near their suppliers, they reduce their profit margins but they are selling in large quantities. They are often selling products that brands cannot sell in shops because they are old-fashioned or because the product didn’t have a great success. They are more and more developed on the net. they have a small number of employees who are using new technologies to go faster (Amazon or C-discount).
They prefer paying companies which are making them visible on the web (multidiffusion or creating a website).
Customers are protected because they have 7 days to return the product, delivery is free.
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