Channel Conflict in Brief
Multiple channel strategies are a way of life for
manufacturers today. Whether you are managing a mix of direct
and indirect channels or a spectrum of high-support to
lowsupport resellers, the reality is that channel conflict will
be an ongoing issue in your marketplace.
A limited amount of channel conflict is healthy. It
indicates that you have adequate market coverage. However, once
the balance between coverage and conflict is lost, destructive
channel conflict can quickly undermine your channel strategy,
market position and product line profitability.
Conflict can show up in the market in a variety of ways. A
point of confusion for many manufacturers is whether problems
are truly symptoms of destructive channel conflict or other
marketing or channel strategy issues. When faced with potential
indicators of destructive conflict, you should audit your
market position to