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Marketing Channels of Distribution in the Hospitality & Tourism Industry

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  • 0:04 Marketing Channels Of…
  • 1:31 How Do Marketing…
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Lesson Transcript
Instructor: Tara Schofield

Tara has a PhD in Marketing & Management

Creating a marketing channel of distribution can have a positive impact on the hospitality and tourism industry. It is important to understand how this concept applies to services, as they have a substantial impact on the industry.

Marketing Channels of Distribution

Your company manufactures and sells ingredients for bakeries. As the marketing manager, you're responsible for taking your products to market and selling them to more accounts. You are responsible for the marketing channels of distribution, taking a product from production, to sales and distribution, and then to the customer.

In this case, you are working with wholesale customers who will buy your ingredients and make them into baked goods for consumers. Your marketing channel starts with creating a need for the raw goods and selling them to the bakery that will then transform them and sell them to individual customers. These steps are the marketing channels of distribution.

Channels of distribution affect all industries, although service industries have subtle differences because of the products that are needed to provide service to customers rather than offering products for sale. In the hospitality and tourism industry, many of the transactions customers pay for are services, rather than products.

As an example, guests arrive at a hotel and experience a variety of services: park with valet, leave bags with the bellhop, check-in at the front desk, get extra towels from housekeeping, and ask the concierge about dinner options. While each of these activities are service-oriented rather than product-focused, each item has a certain level of reliance on products to support the services, such as uniforms, computers, luggage carts, towels, etc. Let's discuss the marketing channels in the hospitality industry further.

How Do Marketing Channels Apply

In the hospitality and tourism industry, products are also affected by the marketing channel. Hotels, restaurants, and other businesses must gather products that are needed to serve guest needs. Let's look at the steps individually.

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