The factors affecting the distribution strategy are:
(i) Location of Business: This is a critical consideration when deciding on a distribution plan. If the firm is located in an area where distribution is easily accomplished, such as near a port or railway lines, we can rely on that means of distribution and save money.
(ii) Location of Target Market: The manufacturer /distributor /retailer now distributes to the final client. If the end client is in a specific place or is dealing with similar products there, the The distribution plan must account for that. If the target market is professionals, the product should be provided near or inside offices through partnerships, ensuring that the product is available where it is needed.
(iii) Reaching the Target Market: A product's ultimate purpose is to reach the intended audience when it is needed. The product must reach potential buyers when they are looking for it, according to the distribution plan. During the summer, for example, a beverage business would ensure that it is available in sufficient quantities in all retail outlets. Warehousing When deciding on a distribution strategy, properly keeping material in appropriate. locations are critical. Inventory management and warehousing come into play.
(iv) Transportation and Logistics: One of the most critical aspects of a distribution plan is transportation. Without proper transportation, the product would either fail to reach the target market on time or will be of poor quality.For example, if a corporation deals in frozen items, it must ensure that transportation and logistics take care of it through cold storage and temperature control.