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The purpose of this paper is to determine the optimal sale effort deployment under dual-channel distribution which combines a traditional brick and mortar retail channel from the partner retailer and an online direct channel from the manufacturer.

A sales effort competition game is set up in the dual-channel distribution between the manufacturer and the retailer. Demand under sales efforts is determined based on the consumer valuation, consumer’s channel preference and sales efforts. Then, the optimal sales effort deployment is studied with a game theory approach which allow the retailer and the manufacturer to maximize their own profit.

Consumer’s channel preference is a key parameter of the demand assignment in the dual-channel distribution. Interestingly, the optimal sales effort and the profit of the manufacturer and the retailer can be limited by the other’s efficiency of sales effort. The finding suggests that the manufacturer and the retailer should collaborate to enhance the efficiency of the sales effort. It also shows that the manufacturer can utilize the direct channel as an important marketing channel even though no profit is obtained through the direct channel.

This research provides a new method to model the sales effort in the dual-channel distribution. The optimal sales efforts based on the consumer behavior are determined. However, since this study assumes a consistent product price across channels, the results is not applicable for a retailer who can set their own price.

It is a win-win situation for adoption of the dual-channel distribution although the manufacturer can benefit more. Additionally, direct channel can be used as an effective marketing channel.

This research contributes to a better understanding of demands in dual-channel distribution under sales efforts. Additionally, the research results provide a useful framework of sales effort deployment under different consumers’ channel preferences in the dual-channel distribution.

The paper's objective is to investigate the relation between direct and indirect marketing channels applied by French wine producers, and to identify the elements that can enhance the success of direct distribution methods.

Secondary data collected though a questionnaire survey, and published in a study of Viniflhor was analysed in order to identify the distribution channels used by French wine producers. In the second part of the study, primary qualitative data obtained through face‐to‐face interviews with 17 wine producers was used to explore their direct marketing approach.

The findings indicated that French wine producers use a large variety of both direct and indirect marketing channels, although the importance of these distribution methods varies with the size of the producer (defined in terms of vineyard area and wine production). An integrated distribution strategy is applied by more than a half of the respondents. Although the strategic planning process is applied informally and intuitively, a series of innovative elements are combined in order to enhance the value of the product offer and to develop long‐term relationships with satisfied customers.

The low response rate obtained in the application of data collection methods raises questions regarding the possibility to generalize the findings to the entire population of study.

The paper applies a three layer analysis to the situation of the French wine producers from various regions, creatively combining focused investigation with an integrative perspective.

The purpose of this paper is an attempt to design a proper incentive coordination mechanism to deal with the channel conflicts between the traditional sales and online direct sales.

With respect to the problems of channel conflicts between the traditional sales and online direct sales, to optimize the sale system and get more profits, considering the influences of consumer network acceptance, the authors establish demand and profit function based on consumer's utility, respectively. What's more, we exploit the game theory to analyze the optional decisions of the supply chain under the incentive coordination condition and no incentive coordination condition, and then we discuss the supply chain's optimal pricing, demand, profit and compensation incentive levels with the different effect of consumer network acceptance.

The level of compensation incentive provided by the manufacturer is influenced by consumer network acceptance and product cost. The lower the consumer network acceptance, the better the compensation incentive coordination effect of manufacturers. Manufacturers, wholesalers, retailers and consumers are all important players in real supply chain relationships. When a manufacturer exists as a dominant role, it should pay full attention to the impact of consumer behavior on supply chain decisions.

The research can clarify the influence and mechanism of consumer behavior on supply chain channel conflict coordination, and deal with channel conflicts.

The proposed incentive coordination can effectively realize supply chain channel conflict resolution, and provide decision-making ideas and methods for manufacturers to develop the supply chain management of online direct sales channels.

As manufacturers and retailers aim to increase return on marketing investments, value- vs experience-related trade promotions gain attention. These two trade promotions become complicated in the presence of different retail format strategies (generalist vs specialist) and channel structures (direct to retailer vs distributors). Building on trade promotion literature, this study aims to show the main effect of value-related and experience-related trade promotions on retailers’ sales and the moderating role of different retail strategies and channel structures.

The authors use unique panel data from 8 personal care brands with 1,920 observations to test the hypotheses. The authors investigate how consumer goods manufacturer sells products using different channels structures and retail strategies. Estimated panel regressions provide the empirical evidence and robustness analyzes provide extra confidence to the findings.

Results reveal higher retail sales when the manufacturer invests in value-related trade promotions rather than experience-related trade promotions. The results also demonstrate how the manufacturer successfully invests in trade promotion by adequately accounting for channel structure and retail strategy. While temporary price reduction’s positive effect on retail sales is enhanced in generalist retailers (e.g. supermarket stores), shelf display’s positive impact is enhanced in specialist retailers (drug stores).

The authors used unique panel data accounting for 15 months, limiting the findings. The results supported the investment allocation decisions in each period. However, future research may evaluate the effectiveness over a longer period and thoroughly address each investment’s seasonal effects.

The authors unveil how retailers achieve higher sales with value-related trade promotions when compared to experience-related trade promotions. The authors also shed light on the way manufacturers design their relationships with generalist and specialist retailers by working in direct and indirect channels. Trade promotions yield better results when the direct channel structure couples with a retailer’s generalist strategy.

The empirical findings help manufacturers achieve success in trade promotions by developing an equitable evaluation to contrast value- and experience-related promotions accounting for generalist and specialist retail strategies and direct and indirect channels.

This study aims to identify the key drivers influencing the success of farmers who employ direct marketing at wholesale markets. The diversification of the distribution system in Thailand has created many challenges for farmers, with diversified farm businesses struggling to survive and to ensure profitability across channels. Direct marketing channels at wholesale markets provide farmers the opportunity to develop a new farm business division.

The study consists of qualitative and quantitative approaches. First, in-depth interviews with farmers were conducted, and selected case studies were employed to develop a research framework and design the questionnaire. Second, the questionnaire survey was conducted. Using factor analysis and logistic regression, farmers' data were studied to define the factors of success in direct marketing.

Three key drivers were examined and verified. The findings indicate that the development of direct marketing channels requires farmers to efficiently allocate family labour, possess negotiation skills and manage a farmer network. Particularly, the presence of negotiation skills coupled with digital technology can enable farmers to expand the market and build their network.

Two marketing channels have been explored. However, more choices in marketing channels utilizing digital resources should be addressed in future research.

This is the first empirical study to define the drivers leading Thai farmers to continue employing a direct marketing channel.

The purpose of this paper is to compare the efficiency of bancassurance, an indirect marketing channel formed through the creation of subsidiaries, with an insurer's own team, a direct marketing channel, in the Taiwan insurance sector.

This paper uses the Charnes, Cooper, and Rhodes (CCR) model to measure the decision‐making units' (DMU) operating efficiency.

The three major findings are: the efficiency score of a direct marketing channel is significantly higher than that of a comparable indirect marketing channel. The efficiency relationship between the indirect marketing channel and the direct marketing channel is independent. A marketing efficiency evaluation, when divided into different marketing channels for evaluation, provides meaningful results for marketing decision‐makers.

By comparing the efficiency between two different insurance marketing channels, managers in life insurance companies can make a more informed choice.

With the development of e-commerce and mobile payment, platform sales become unstoppable, and many manufacturers also encroach on online market by establishing direct selling channels. Channel conflict intensifies in online market and quality differentiation and is widely used in business practice as an effective way to alleviate such a competition. The authors study a retail platform's sales strategy and interactions with an upstream manufacturer's encroachment strategy in this paper. Unlike most online marketplace and encroachment research, product quality selection is also engaged in the present research to capture the motivation above.

The authors analyze a game-theoretical model that the platform as the first/second mover participates in strategic decision-making, and then jointly decides the product quality level with manufacturer.

The authors find that encroachment always profits the manufacturer and almost hurts the platform. Interestingly, the first-mover advantage can help the platform guide the manufacturer encroachment and promote a “win–win” situation when product quality level is relatively slight or obvious. Nevertheless, the second-mover advantage can help the platform alleviate the profit loss caused by encroachment when product quality level is moderate. Furthermore, suffered from encroachment loss, the platform can make a credible threat by sales termination to restrain manufacturer encroachment.

This paper innovatively explores the strategic interaction between manufacturer encroachment and quality differentiation in a platform supply chain, and further analyzes the first-mover advantage in this interaction, which fills the gaps of previous platform research and has great significances to enterprise production and operational decision in business practice.

The purpose of this paper is to investigate the impact of fairness concerns of the retailer on the pricing policies of the supply chain partners, their individual profits, and the overall performance of a dual-channel supply chain composed of one manufacturer and one retailer. First, the authors model the dual-channel supply chain under retailer’s fairness concern. Second, the authors derive the optimal pricing policies of the channel members. Third, the authors analyze the effects of retailer’s fairness and bargaining power on the pricing strategies and profit functions of the dual-channel supply chain system.

The authors adopt the manufacturer-led Stackelberg game theoretic framework, where the dominant manufacturer’s pricing decisions are based on the retailer’s pricing decision. The paper considers Nash bargaining solution as the fairness reference point to formulate the utility function of the fair-retailer. The paper uses this approach because it endogenously accounts for the competitive power and cooperative contribution of the channel members when they interact.

The authors find that the retailer’s fairness concerns are not always beneficial for its better performance. If the retailer is moderately sensitive towards its fairness, it will positively influence its performance. However, if the fairness concern becomes too high then it will negatively impact the retailer’s performance because it results in customers’ migration towards direct online channel for buying the products. In addition, if the retailer’s fairness concerns are mild, the manufacturer’s prices will decrease in retailer’s bargaining power, which is opposite otherwise.

The authors use Nash bargaining solution model as the fairness reference in the context of dual-channel supply chain, which is comparatively a recent approach and has been used independently from dual-channel supply chain system.

This paper aims to clarify the conditions under which firms can add direct or independent channels to their single channel system and switch to multiple channel systems. Using the transaction cost theory, variables, i.e. specific asset investments, internal uncertainty, and environmental uncertainty, this study seeks to examine how those variables affect firms' decision to adopt a specific multiple channel mix.

The study was conducted within the context of a manufacturer and its multiple channel systems. Using a survey method, primary data were collected from 189 US manufacturers and 98 Taiwanese OEMs. The t‐test and regression analyses were used to test the hypotheses.

The results indicate that under high‐specific asset investments, high‐environmental uncertainty, and high‐internal uncertainty conditions firms add direct channels and adopt an independent‐direct multiple channel system. On the other hand, under low levels of those variables firms expand their channel system into multiple channels by adopting an independent‐independent multiple channel system.

The findings provide guidelines to managers regarding the composition of their multiple channel systems. As a limitation, this study uses only three transaction cost variables. Future studies should include other variables that may affect channel design decisions.

While various studies have analyzed firms' decision to switch to multiple channels by adopting new channels, the nature of those added channels remains under‐researched. This study aims to fill that gap. Also, unlike some other similar studies that only depend on US data, this study tests the hypotheses with the data obtained not only from US manufacturers but also from Taiwanese OEMs