Push Versus Pull Strategy

Push Versus Pull Strategy:
A promotion strategy that calls for using the sales force and trade promotion to push the product
through the channel is called push strategy. The producer promotes the product to wholesalers, the
wholesalers promote to retailers and the retailers promote to consumers. While the pull strategy is
the promotional strategy thatccalls for spending a lot on advertising and consumer promotion to build up
consumer demand; if successful, consumer will ask their retailers for the product, the retailer will ask the wholesalers and wholesalers will ask the producers. So these are two
strategies through which availability of products can be created in the market for final consumers.
B. Physical Distribution and Logistics Management
Companies must decide on the best way to store, handle, and move their products and services so
that they are available to customers in the right assortments, at the right time, and in the right
place. Logistics effectiveness has a major impact on both customer satisfaction and company costs.
Here we consider the nature and importance of marketing logistics, goals of the logistics system, major logistics
functions, and the need for integrated logistics management.
a. Nature and Importance of Physical Distribution and Marketing Logistics
To some managers, physical distribution means only trucks and warehouses. But modern logistics
is much more than this. Physical distribution—or marketing logistics—involves planning,
implementing, and controlling the physical flow of materials, final goods, and related information
from points of origin to points of consumption to meet customer requirements at a profit. In
short, it involves getting the right product to the right customer in the right place at the right time.
Traditional physical distribution typically started with products at the plant and then tried to find
low-cost solutions to get them to customers