Products that are characterized as specialty or luxury items usually have what type of distribution?

Products classified as specialty or luxury items typically utilize exclusive distribution. This approach involves limiting the availability of a product to a select number of retailers, ensuring that it is sold in specific, high-end locations. The rationale behind this strategy is that such products are often marketed based on their exclusivity and prestige. By controlling the distribution, brands can maintain an image of luxury, offering a unique shopping experience and reinforcing the perceived value of the product.

Exclusive distribution creates a sense of scarcity and desirability, which is essential for high-end products. It allows brands to cultivate closer relationships with select retailers who can deliver the brand's message effectively and provide the appropriate level of customer service expected by consumers of luxury goods. This method also helps prevent dilution of the brand and maintains a level of control over pricing and presentation.

Other distribution methods, such as intensive distribution which aims to place products in as many outlets as possible, or selective distribution which balances between exclusive and intensive, do not align with the marketing strategies for specialty items aimed at maintaining exclusivity and a premium brand image.