ABSTRACT
This chapter describes and analyzes the motivations for and importance of building channel relationships. The chapter distinguishes between the motivations of upstream and downstream channel partners in relationship building. It focuses on key topics such as relationship commitment and trust and describes strategies for building partner commitment and trust. It outlines various relevant factors such as economic satisfaction, relationship-specific investments, relationship quality, and fairness as well as the role of centralization and formalization. This chapter underscores that multiple channels and omni-channels represent the new norm and outlines the challenges and ways in which relationships can be built in these contexts and how relationships differ in these contexts. The chapter also examines how managers can extend the time horizon of relationships and also articulates the role of relationship velocity. It outlines the five phases of a close marketing channel relationship from awareness, exploration, expansion, and commitment to decline and dissolution. The chapter also discusses troubled relationships.
