distribution costs

Distribution costs are sales costs caused by preparing, promoting, implementing and monitoring distribution.

These sales costs can be divided into special direct sales costs and overhead costs. The goal of sales management is to create the highest possible cost transparency within sales processes. Cost transparency then enables the allocation of costs to individual products and thus provides starting points for the identification of savings potentials or sales outsourcing.

Therefore, a distinction can also be made between internal and external distribution costs. Internal distribution costs arise from the company’s own distribution activities, whereas external distribution costs are generated by external sales partners.