solution

The distribution of The Hammock Source products takes place through their own web property at dfohome.com and through third-party retail channels (such as local beach shops) and third-party online third-party online channels (such amazon.com and hayneedle.com). The Hammock Source does not maintain any of their own retail locations. Their approach to distribution seems to be fairly broad; they distribute their products to whatever company wants to sell them, either in that company’s physical store or online, while simultaneously selling Hammock Source products and complementary products on the dfohome.com site. They avoid channel conflicts by selling their own products at similar prices as their retailers.

Questions

1. What are the potential advantages and disadvantages to using the broad distribution strategy for identifying places to sell The Hammock Source’s products?