Describe the three levels of distribution intensity with examples

What will be an ideal response?

• Intensive distribution: The objective of intensive distribution is to maximize sales by making the product
available through a great number of outlets. Because of the wide variety of outlets, it is difficult to maintain brand
control and differentiation. It is often used with consumer packaged goods. For example, Frito-Lay maximizes
sales of its corn chips by selling them in hundreds of outlets, such as supermarkets, grocery stores, liquor stores,
and convenience stores.
• Selective distribution: This type of distribution uses a moderate number of outlets, with a level of brand control
and differentiation between that of intensive distribution and exclusive distribution. It is often used for goods that,
while not luxury goods, want to maintain their distinction in the market. For example, cosmetic manufacturer
Kiehl's sells its line of skin and hair care formulas through only a limited number of luxury-oriented retailers, like
Bloomingdales.
• Exclusive distribution: In exclusive distribution, access to the product is limited to a few selected outlets. The
outlets are often owned by the manufacturer to give the maximum possible control over the brand's equity. This
type of distribution highlights the product's differentiation over competing products. It is often used for premium
luxury goods, like the Gucci brand.