Product related factors affect the choice of channels of distribution in the following manner:
(i) Industrial/consumer product: In case of industrial products, direct or shorter channels are preferred as products are usually, technical, expensive and bulky and are purchased by few buyers. For consumer products long channels are preferred as the products are standardised, less bulky and frequently bought products.
(ii) Perishability: Perishable products like fruits, yegetables are best sold through short channels, while long channel is preferred for non-perishable products like soap, toothpaste, etc.
(iii) Unit value of the product: When unit value of the product is high i.e. for expensive products it is economical to choose direct or shorter channels. For products with low unit value, longer channels are preferred.