Marketing Essentials 2012

Chapter 21: Channels of Distribution

eMarketing Feature

Digital Distribution
When studying channels of distribution, a new option is now available—digital distribution. Digital distribution is a form of direct distribution whereby the product is sold via the Internet in a digital format. For example, Netflix® offers its customer streaming of movies and television online. Customers just need to connect to the Internet to take advantage of this service. Square Enix, maker of role playing videogames is looking to go digital. Rather than buying games in a brick-and-mortar retailer, Square Enix wants to change to a direct digital channel of distribution. It could then sell separate chapters of a game for $5 each via the Internet.

Innovate and Create
Ask students what other products are available via digital distribution.

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