What does "direct distribution" refer to in marketing?

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Prepare for the FBLA Marketing Exam with flashcards and multiple choice questions. Get exam ready with hints and explanations for each question. Enhance your marketing knowledge and skills!

Direct distribution in marketing refers to the method where products are sold straight from the manufacturer or producer directly to the consumer without any intermediaries such as wholesalers or retailers. This approach allows businesses to retain greater control over their sales process, pricing, and customer relationships, leading to a more personalized experience for the consumer.

When a producer chooses direct distribution, they can closely manage how their product is presented and marketed, potentially resulting in higher profit margins and better customer insight. This model is often employed by companies that wish to establish a direct relationship with their customers, gather valuable feedback, and maintain control over the brand experience.

In contrast, the other options involve intermediary roles or alternative selling methods that do not represent direct distribution. The use of wholesalers or agents implies third-party involvement, selling via online platforms can still involve intermediaries unless specified as a direct-to-consumer model, and outsourcing distribution indicates that a company is relying on external parties to handle distribution rather than managing it directly.

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