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Copyright 2006
Cornell University.
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Multi-channel

Multi-channel distribution is another option that is being used successfully. Retail stores are establishing Internet sales and mail order catalogs. Internet stores are establishing brick and mortar stores.

www.gap.com, www.macys.com, and www.target.com are extensions of in-store retail operations. Online stores offer slightly different selections, perhaps an additional color or a larger size range. For example, the Gap offered maternity wear exclusively online. Stores often promote the web site in the store and may offer complementary services. For example, Eddie Bauer online and catalog customers can return or exchange purchases at any of its retail stores.

Traditional catalog companies such as Land's End, L.L. Bean, and Spiegel are also turning to online ordering. Many online catalogs maintain a similar look with their paper counterparts and are run similar to the other aspects of the businesses. Other online marketers distinguish their Internet offerings by style, products, or additional services.

1. Compare the advantages and disadvantages of selling in wholesale and retail distribution channels. Which best matches your product, business plan, and personal work characteristics?
2. How does your production capacity affect your choice of distribution channel for your product idea?
3. Catalog and web-based businesses avoid the costs of retail stores. But what different types of expertise and costs are required for success?
4. Describe how multi-channel approaches can extend customer services around buying an apparel product.

 

 

 

 

 
   
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