Brick and Click Strategies

Question

Illustrates the Brick and Click Strategies?

Answer 1

Brick-and-Click Strategies: An appealing middle ground:

1. Employing a brick-and-click strategy to vend directly to customers while at the similar time using conventional retail and wholesale channels can be an attractive market positioning option in the correct conditions.

2. There are three major reasons why manufacturers might wish to aggressively pursue online sales and set up the Internet as a valuable distribution channel alongside traditional channels:

    i. The manufacturer’s income margins from online sales are superior to that from sales through retail/ wholesale channels.

    ii. Encouraging buyers to visit the organization’s Web site helps instruct them to the ease and expediency of buying online.

    iii. Selling directly to end users permits a manufacturer to build greater use of build-to-order manufacturing and assembly as a foundation for bypassing traditional channels entirely.

3. A mixture brick-and-click market positioning strategy is extremely appropriate when online sales have a good probability of evolving into a manufacturer’s primary distribution channel.

4. Several brick-and-mortar companies can enter online retailing at relatively low cost.