Channel management refers to the different communication methods companies employ to sell or market their products and services.
These channels might include but are not limited to:
- Direct website traffic
- Offline events
- Affiliate marketing
- Social media channels
The objective behind channel management is to develop various marketing techniques and sales strategies to widen the reach of the customer base as much as possible and streamline the communication between business and customers.
Figuring out the right target audience for your product or service is a real challenge that you can easily overcome with effective channel management. It helps you determine which product to market over which channel.
One of the key benefits of channel management is that it can help you find out which marketing channels are the most effective in helping you achieve your desired sales or marketing goals. And the way a company manages these channels can significantly impact the final price of the product/service since each channel will add a profit to the product/service.
A practical multi-channel approach is required to avoid channel conflicts and effectively manage all the channels to achieve cost efficiencies and increase customer satisfaction.