PLACE

Distribution, or the 'place' element, of the marketing mix is concerned chiefly with two main issues: accessibility and availability. Accessibility refers to the ease and convenience with which a service can be purchased, used or received. Availability refers to the extent to which a service is obtainable or capable of being purchased, used or received.

LOCATION
There are several key factors to be considered in decisions about service location: Service inseparability Perishability The role of the consumer as co-producer of the service Customer needs and wants Importance of geographical location as part of the service Target markets

DIRECT DISTRIBUTION
The practical issues influencing decisions to undertake direct distribution include the following factors: Company resources/company objectives Type of service Geographic spread of the market Legal and political restrictions on foreign operations Levels of technical expertise or skill required to deliver the service satisfactorily Customer preferences

CHANNEL SELECTION

Factors which influence the selection of channel members include the standing of prospective intermediaries, their image, personnel and location. Channel members should be of sound financial standing and reflect the quality and image of the service offered. They need to have the appropriate facilities, resources and personnel to be able to deliver the service effectively. There are two main groups of intermediaries, which may be selected: Agents and brokers Franchise operators channel

Agents and brokers

Many services are offered via networks of agents or brokers. The agents often provide a chain of offices throughout various locations and provide relevant facilities and expertise. Agents may have specialist local knowledge which can enhance the performance of the service in a particular market. The level of service they provide varies according to the nature of the service offered.

Franchise operators

Franchising involves the sale of a 'successful business formula to an external buyer or franchisee who runs the operation in a specified location. The franchiser can benefit from this approach in several ways:

Low cost expansion Rapid growth Local management expertise/personnel

The franchisee benefits from the arrangement in several ways

Reduced risk :Buying into an established business fonnula with a well recognised organisation and brand name is less risky than starting up from scratch. Business support :The franchisee will benefit from services offered by the franchisor in staff training, for example, and the provision of business materials, technical and legal support and ongoing development.