Abstract:
The study examined Effectiveness of channels of distribution models in the Sales performance of an
organization, taking the case of Coca-Cola North West Ethiopia Region. Specifically the study
assessed, the extent into which Direct distribution channel affects sales performance, also, to assess
the extent into which Indirect distribution channel affects sales performance, additionally, to asses
distribution channels being used by competitors with that of Coca-Cola in North West Ethiopia
Region and lastly to asses distribution channel adopted by Coca-Cola both direct and indirect in
North West Ethiopia Region Depot and Control of the retail outlets. This research had customers and
employees as unit of analysis. It had a sample of 102 respondents, whereby primary and secondary
data were collected through the use of interviews, questionnaires, and documentary review. Data
were analyzed through Statistical Package of Social Science. Findings revealed that distribution
channel adopted by Coca-Cola ensures availability of its products, reduce response time and makes
information available to its customer in aspect it facilitates positive relationship with its customers
and agents. It was also found out that selection of agents/distributors was based on financial
capability, size of firm among others. It was concluded that distribution channel plays important role
with respect to the soft drink industry because if products are not available on time consumer will
switch on to other brands and the company will lose its market share and hence an effective
distribution channel is an important aspect of soft drink industry. Coca-Cola Company in North
West Ethiopia region have enjoyed its benefits like easing processes, increasing the supply chain
awareness, reducing total costs on distribution of her products. Based on the findings, it was
recommended that Coca-Cola Company’s management should be in position to continuously weigh
the benefits that accrue from application of distribution channel. Coca-Cola in North West Ethiopia
region should ensure strict adherence to the company’s policies and guideline regarding the use of
distribution channel. Coca-Cola Company should ensure aggressive Marketing, regular visit to
distributors
