Distribution channels are the pathways through which products or services travel from the producer to the consumer. These channels can include various intermediaries like wholesalers, retailers, and online platforms. For example, a manufacturer might sell its products to a wholesaler, who then sells them to retailers, making it easier for consumers to access the products they want.
Different distribution channels can affect how quickly and efficiently products reach customers. Some businesses may choose direct channels, selling straight to consumers through their own websites or stores, while others may rely on indirect channels to expand their reach. Understanding these channels helps companies optimize their sales strategies.