Which statement is true about marketing intermediaries?

Which statement is true about marketing intermediaries?

Which statement is true about marketing intermediaries?



Marketing intermediaries play a crucial role in the distribution of goods and services from producers to consumers. They act as middlemen, connecting producers with customers and facilitating the exchange process. In this article, we will explore the different statements about marketing intermediaries and determine which one is true.

Statement 1: Marketing intermediaries are unnecessary in the modern digital age.

This statement is not entirely true. While it is true that the rise of e-commerce and digital marketing has disrupted traditional distribution channels, marketing intermediaries still play a vital role in many industries. For example, in complex B2B transactions or industries with specialized products, intermediaries provide expertise, market knowledge, and logistical support that may be difficult for producers to handle on their own.

Furthermore, marketing intermediaries can help bridge the gap between producers and customers by providing personalized services, such as product customization, after-sales support, and customer relationship management. These services are often crucial in building customer loyalty and enhancing the overall customer experience.

Statement 2: Marketing intermediaries add unnecessary costs to the distribution process.

While marketing intermediaries do add costs to the distribution process, it is not accurate to say that these costs are unnecessary. Intermediaries incur expenses in terms of logistics, storage, marketing, and sales efforts. However, they also bring value to the distribution process by reducing transaction costs, improving market reach, and providing efficiency gains.

For example, intermediaries can leverage economies of scale to negotiate better prices with suppliers and reduce transportation costs through consolidated shipments. They also invest in marketing and promotional activities to create awareness and generate demand for the products they distribute. These efforts can result in increased sales and revenue for both the producer and the intermediary.

Statement 3: Marketing intermediaries help in market segmentation and targeting.

This statement is true. Marketing intermediaries often have a deep understanding of the market they serve and can help producers identify and target specific customer segments. By leveraging their market knowledge, intermediaries can provide valuable insights on consumer preferences, buying behavior, and market trends.

Intermediaries can also assist in adapting products or services to meet the needs of different market segments. For instance, they may provide feedback to producers on product features, packaging, or pricing adjustments required to appeal to specific customer groups. This collaboration between producers and intermediaries can lead to more effective market segmentation and targeting strategies.


In conclusion, marketing intermediaries continue to play a significant role in the distribution of goods and services, despite the digital age. While they may add costs to the distribution process, these costs are not unnecessary, as intermediaries provide valuable services and expertise. Additionally, intermediaries contribute to market segmentation and targeting efforts, helping producers reach specific customer segments more effectively.


– American Marketing Association: www.ama.org
– Investopedia: www.investopedia.com
– Marketing Management by Philip Kotler and Kevin Lane Keller.