BNAD 303 Chapter 15

Category Management

A retail strategy of managing groups of similar, often substitutable products produced by different manufacturers

Convenience store

A small self-service store that is open long hours and carries a narrow assortment of products, usually convenience items

Department stores

Large retail organizations characterized by a wide product mix and organized into separate departments to facilitate marketing efforts and internal management

Which retail store invests the most in atmospherics?

Neiman Marcus

Direct-response marketing

a type of marketing in which a retailer advertises a product and makes it available through mail or telephone orders

Specialty Retailers

emphasize narrow and deep assortments

General Merchandise Retailers

retail establishments that offers a variety of product lines stocked in considerable depth

Drug retailers

specialty stores that concentrate on health and personal grooming merchandise

traditional specialty retailers

stores that carry a narrow product mix with deep product lines

Category specialists (category killers)

A very large specialty store that concentrates on a major product category and competes on the basis of low prices and product availability

Retailing

All transactions in which the buyer intends to consume the product through personal, family, or household use; can occur in stores, through direct selling, vending machines, and online

Franchising

An arrangement in which a supplier (franchiser) grants a dealer (franchisee) the right to sell products in exchange for some type of consideration

off-price retailers

Buy manufacturers' seconds, overruns, returns and off-season production runs at below-wholesale prices for resale to consumers at deep discounts

Which of the following was developed in 1927 to supply milk, eggs, and other products for customers replenishing their ice boxes?

Convenience stores

Warehouse Club

Giant retail outlets that carry food and nonfood products found in supermarkets, as well as most routinely purchased consumer products

Supermarkets

Large, self-service stores that carry a complete line of food products, along with some nonfood products

Discount Stores

Self-service, general-merchandise stores that offer brand-name and private-brand products at low prices

Service Retailing

Sells services rather than products -Important differences from products --Intangibility --Inseparable --Perishability --Inconsistency of offerings do to labor issues

Supercenter

Stores that combine supermarket and discount store shopping in one location

Direct Marketing

The use of the telephone, Internet, and nonpersonal media to introduce products to customers, who can then purchase them via mail, telephone, or the Internet

Which of the following is a large-scale, members-only, retailer that combines cash-and-carry wholesaling with discount retailing?

Warehouse club

Catalog Marketing

a type of marketing in which an organization provides a catalog from which customers make selections and place orders by mail, telephone, or the internet

A general-merchandise retailer offers

a variety of product lines that are stocked in depth

Retailer

an organization that purchases products for the purpose of reselling them to ultimate consumers

Michael's, PetSmart, and Staples are all examples of

category killers.

If a store has areas for men's apparel, women's apparel, housewares, cosmetics, and jewelry and competes mostly on the basis of service, it is most likely a(n)

department store.

Food retail

focus is primarily on food items including produce, dry goods, dairy and meats

Malcolm Lewis has come up with the idea of a system for picking up people's cars while they are at work, washing and waxing them, and returning them for a fee. Having been a big success in his home city, Malcolm plans to expand his operation into other cities. The service described here seems best suited to

franchising.

The kinds of products being sold and the availability of public transportation are both factors that influence a retailer's decision about

location.

Online retailing

makes products available to buyers through computer connections

Direct selling

marketing products to ultimate consumers through face-to-face sales presentations at home or in the workplace

Stores that buy manufacturers' seconds, overruns, returns, and off-season production runs at below wholesale prices. These firms resell this merchandise to consumers at deep discounts, and are called

off-price retailers.

Kate owns a refreshment-stand business at the community ballpark. She goes to a warehouse store like Sam's and purchases snacks and canned soda that she will sell at her refreshment stand. Kate is considered a(n)

retailer.

extreme value retailers

small discount stores that offer a limited merchandise assortment at very low prices

service retail

some physical product matched with a service or no physical product at all and only service

Telemarketing

the performance of marketing-related activities by telephone

Nonstore retailing

the selling of products outside the confines of a retail facility

Automatic Vending

the use of machines to dispense products