A vertical marketing system is a form of cooperation between multiple levels of a distribution channel the members work together to promote efficiency and economies of scale in the way products are promoted to customers, credit is provided to customers, and products are inspected and delivered to customers. A corporate vertical marketing system can be involved with the ownership that of the levels of distribution or production chain that is associated with a single company an example for the corporate is apple who is responsible for doing everything related with their products.
Vertical marketing system a vertical marketing system (vms) is one in which the main members of a distribution channel—producer, wholesaler, and retailer—work together as a unified group in order to meet consumer needs.
Vertical marketing systems is a kind of cooperation that exists between the distribution channels that are available in various levels with different members working together for promoting the efficiency and also the scale of economies in way that the products can be promoted towards customers, products get inspected, credit can be provided to the customers and also can be delivered to the customers.
Vertical marketing should not be confused with horizontal marketing, in which members at the same level in a channel of distribution band together in strategic alliances or joint ventures to exploit a new marketing opportunity. Corporate vertical marketing system– in corporate vms, one member of the distribution channel be it a producer, a wholesaler or a retailer owns all the other members of the channel, thereby having all the elements of production and distribution channel under a single ownership.