Leads to direct (short) channels of distribution. In some cases it is possible to use intermediaries, travel agents, ATMs etc.
Close provider-customer relationship--employee interpersonal skills very important. "relationship managers", quality of relationships determines the probability of continued interchange with those parties in the future.
Customers may become loyal to a particular employee as opposed to the company, prevalent in the advertising industry. Therefore must make sure that multiple employees are capable of performing the same tasks.
CAA...Michael Ovitz...Coke?