Marketing intermediaries are organizations that help move goods and services from producers to business users and end users.
Marketing, Intermediary and Collaborator Functions
There are various functions in marketing. These functions are purchasing, selling, transportation, storage, standardization, financing and risk transfer.
The sales function is carried out by the producer, while the buying function is carried out by the consumer.
For this reason, it is necessary to have 2 specialists, namely intermediaries and collaborators who will help carry out these functions on an economical scale.
Intermediaries are specialists who carry out buying and selling transactions. What is meant here is not a buying function or a selling function. But as an intermediary for buying and selling. Example: distributors, wholesalers, small traders.
Collaborators are specialists who perform functions other than buying and selling.
- -Transport function. Example: logistics company
- -Storage function. Example: warehousing company
- -Standardization function. Example: BSN (National Standardization Agency)
- -Financing function. Example: banking, both in terms of working capital credit or purchase credit
- -Risk transfer function. Example: insurance company
These specialists will work on a more economical scale than producers or consumers. With these 2 types of specialists, producers can focus on the sales function and consumers can focus on the buying function.
Agents and Brokers
Agents and brokers are almost identical in their role as intermediaries. In fact, when it comes to real estate deals, they are synonymous with any client, regardless of their different roles in the industry. In many cases, however, the agent serves as a permanent intermediary between the buyer and the seller, while the broker does this only temporarily. Both are paid a commission for each sale and do not take ownership of the goods sold.
In addition to real estate, agents and brokers are also common in travel agencies. Companies routinely use agents and intermediaries when importing or exporting products across borders.
2. Wholesalers and Resellers
Wholesalers, also called wholesalers, buy products from manufacturers in bulk and then resell them, usually to retailers or other businesses. Some carry a wide variety of different products, while others specialize in a few products but carry a wide variety
3. Functional Distributors and Wholesalers
Also called functional wholesalers, distributors do not buy products from manufacturers. Instead, they accelerate sales between manufacturers and retailers or other businesses. Like agents and brokers, they can be paid a commission, or they can be paid a fee from the manufacturer.
4. Traditional and Online Retailers
Whenever a consumer buys a product from someone other than the company that makes it, the consumer is dealing with a retailer. This includes corner stores, shopping malls and ecommerce websites. Retailers can buy directly from manufacturers or from other intermediaries. In some markets, they may keep items and pay for them only after making a sale, which is common in most bookstores today.
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