A company's distribution plan ensures that a product or service reaches the greatest number of potential customers at the lowest possible cost of distribution. A solid distribution strategy can increase your sales and profits, but a bad or haphazard distribution strategy can result in not only losses, but also in competitors taking advantage of the market opportunity you generated. Procurement, storage, shipping, servicing, finance, and counselling are just a few of the functions that these distribution channel members do. Physical items are transported from the producer to the consumer via channel members. Service distribution, on the other hand, is vastly different from that of products. In fact, unlike things, services do not pass through the hands of customers. The Customers are the ones who benefit from the intermediaries' facilitation of their movements towards services. In the distribution of services, there is no physical movement or transfer of ownership. The body of 'knowledge' available today

Goods Distribution:

(a) Goods are moved physically.

(b) The ownership of the channel is transferred to the channel members.

(c) Profit from reselling.

(d) The product is moving closer to the customer.

(e) The product manufacturing plant has also been relocated closer to the market.

Services Distribution:

(a) There is no actual movement of services.

(b)The service provider retains ownership.

(c) Commission earned from sales.

(d) Consumers are gravitating toward services.

(e) Suppliers of services bring services closer to the market.