How the internet and digital technologies can support marketing channels (MC, unit 5)

Changing channel structures
Disintermediation: depopulation of marketing channels. Web enables orgs to revert to direct approach.

• Reduces costs - e-commerce reduces resources associated with selling though direct channels, no cost of managing intermediaries.
• Increases customer value - intermediaries don't add costs, benefits afforded through net include customer support, increase in product information
• Become more competitive - increase efficiencies

Reintermediation: new business models emerge and channels are repopulated E.g. Ocado an online supermarket distributing Waitrose food. Ebay shops such as Worldwide Auctions which take a cut from sales but manage the process and storage for individuals.

Information: fast, accurate, up-to-date, low-cost information exchanges (MKIS esp. EPOS)
Communicating data: immediate, email, extranet
Feeding back to channel: reports and analysis