Types of Distribution Channels are:

• Direct Channel of Distribution:

In direct channel of distribution customers can buy the product from the manufacturer, from the seller who came to his /her door or by going to the shops, this channel is a very basic channel which is generally done by every person.

• Indirect Channel of Distribution:

Indirect channel is a bit different channel from that of direct channel as it is generally used for the business purposes or when one wants to buy product in bulk.

It includes level of channels are one level channel, two level channel, three level channel, and four level channel.

• Hybrid Channel of Distribution

This channel of distribution is use by the firm when it wants to expand its business by setting up the firm in two or more markets to reach the maximum numbers of customers.

Components of Consumer Channels:

• Zero level: Zero level channel is use when the customer can directly buy the product from the producer, that is producer to customer.
• One level: One level channel is use when the customer cannot directly buy the product from the producer but have to include the retailer to buy the product that is producer to retailer to customer.
• Two level: Two level channel is use when the customer wants to buy in bulk, this type of channel is generally use for the business purpose, that is producer to wholesaler to retailer to customer.
• Three level: Three level channels is use when the customer or seller wants to explore different markets that are producer to agent to Wholesaler to retailer to customer.

One will opt for the Two level which can help in earning more and more profit. It is because one can deal with selling the products in bulk so probability they may not earn profit on every single product but on whole one can definitely earn profit.