Syllabus: Pearson Edexcel AS Business
Module: Marketing Mix and Strategy
Lesson: 1.3.4 Distribution

Introduction

This Pearson Edexcel AS Business lesson on Distribution (1.3.4) sits within Theme 1: Marketing and People, and specifically the Marketing mix and strategy module. This part of the course moves beyond product and price, introducing students to the role of place – how goods and services get from producers to consumers.

Understanding distribution is essential to grasping how businesses align strategy with customer expectations, cost structures, and technological change. It also supports students in AO1 (knowledge and understanding), AO2 (application), and AO3 (analysis) by asking them to evaluate how different distribution strategies suit different market contexts.

Key Concepts

• Distribution Channels:
  Students explore the main types:
  • Direct (producer to consumer)
  • Indirect via retailer (e.g. Apple Store)
  • Indirect via wholesaler and retailer (e.g. fast-moving consumer goods)
  • Online/e-commerce platforms (both producer-owned and third-party marketplaces)
• Factors Affecting Channel Choice:
  • Nature of product (perishable vs durable, customised vs standardised)
  • Market reach and customer expectations
  • Costs and control
  • Technological infrastructure and integration with digital platforms
• Trends in Distribution:
  • Growth of e-commerce and direct-to-consumer (DTC) models
  • Decline in high street footfall, rise of omnichannel retailing
  • Integration of logistics and data for just-in-time delivery and better customer experience

These ideas build on 1.3.1 to 1.3.3 and support progression into 1.3.5 (Marketing strategy), where learners apply these decisions holistically.

Real-World Relevance

• Nike and Direct-to-Consumer (DTC):
  Nike has shifted significantly toward direct online sales, reducing reliance on wholesale partners. This improves profit margins and brand control, but comes with logistical complexities.
• Amazon’s Distribution Dominance:
  Amazon’s vertical integration of distribution – owning warehouses, delivery infrastructure, and marketplaces – has set a new standard for speed and convenience. Their use of predictive analytics to stock distribution centres has reshaped expectations.
• Local Business Example – Food Subscription Boxes:
  Firms like HelloFresh and Gousto operate entirely online with streamlined, direct delivery systems – highlighting how niche businesses use digital distribution to scale.

These examples help contextualise abstract concepts for learners, keeping lessons rooted in how modern businesses operate.

How It’s Assessed

• Assessment Format:
  This topic typically appears in Paper 1 (Theme 1: Marketing and People) via data response or short essay questions.
• Command Words to Watch For:
  • “Analyse how distribution channels affect…”
  • “Evaluate the most appropriate method of distribution for…”
  • “Explain why a business might choose a direct distribution channel…”
• Common Question Types:
  • Case study analysis where students must assess a distribution decision in context
  • Structured questions asking students to compare two distribution strategies
  • Longer evaluative essays linking distribution to wider marketing mix decisions

Encourage students to link back to customer needs, control over branding, and cost-effectiveness in their justifications.

Enterprise Skills Integration

• Decision-Making:
  Choosing the right distribution method requires weighing up multiple variables: cost, speed, reach, control. This develops strategic thinking, a key enterprise skill.
• Problem-Solving:
  Students can explore how a small business might overcome barriers to entering digital channels (e.g. by using third-party platforms or local delivery partners).
• Adaptability and Tech Literacy:
  Understanding how digital distribution has disrupted traditional models ties directly into the need for flexible thinking and comfort with tech-led strategies.
• Tool Use – MarketScope AI:
  You can simulate how different distribution methods might affect market share and profitability using MarketScope AI’s scenario builder – useful for students practising strategic analysis.

Careers Links

This lesson supports Gatsby Benchmarks 4 and 5, linking curriculum learning to careers and encounters with employers.

• Roles that rely on this knowledge:
  • Logistics Manager: Choosing and managing distribution networks
  • E-commerce Manager: Designing and optimising online channels
  • Brand Strategist: Ensuring product placement aligns with positioning
  • Operations Analyst: Improving distribution efficiency and cost

Students aiming for careers in retail, supply chain, tech, or even entrepreneurship will find distribution strategies key to success.

Teaching Notes

For Teachers:
This lesson works best when made visual and interactive. Use diagrams to show distribution models and case studies to drive home relevance.

Suggested Activities:

• Channel Mapping Challenge:
  Provide a list of products – ask students to choose and justify the most suitable distribution method. Stretch: consider how this might differ if the business goes international.
• Mini Case Study:
  Present a DTC brand (e.g. Gymshark) and ask students to evaluate its distribution approach, weighing cost vs control.
• Discussion Prompt:
  “Why might a business decide not to sell via Amazon, despite its reach?”

Common Pitfalls:

• Students often confuse “promotion” and “place” – clear up early using the 4Ps grid.
• They may default to “online = best” without critically evaluating product fit, customer base, or business model.

For SLT:
This topic fits well into any enterprise strategy focused on digital transformation or employer engagement – linking with local retail, logistics, or digital marketing firms offers strong partnership potential.

For Careers Leads:
It’s an ideal topic for employer insight sessions – invite local e-commerce founders or logistics teams to speak. Reinforces real-world links and supports post-16 pathway discussions in business, supply chain, and marketing.

For Headteachers:
This lesson demonstrates clear integration of business theory with real-world enterprise and career preparation, ideal for showcasing curriculum relevance in Ofsted deep dives.