CHAPTER 11

What are the four major types of retail​ organization?

Corporate​ chains, voluntary​ chains, retailer​ cooperatives, and franchise organizations.

What is​ omni-channel retailing?

Creating a seamless​ cross-channel buying experience that integrates​ in-store, online, and mobile shopping

Which of the following statements about retailer marketing decisions is​ correct?

Many retailers identify three critical factors for retail​ success: location,​ location, and location.

___________ are the largest single group of​ wholesalers, accounting for roughly 50 percent of all wholesaling.

Merchant wholesalers

Which of the following statements about major retail trends is​ true?

Online buying is growing at a much brisker pace than retail buying as a whole

The retail marketing mix consists of which of the​ following?

Product and service​ assortment, retail​ prices, promotion, and location

Retailers must decide on which three major product​ variables?

Product​ assortment, services​ mix, and store atmosphere

Which of the following statements about retailer marketing decisions is​ correct?

Retailers face three major marketing​ decisions: segmentation and​ targeting, store differentiation and​ positioning, and the retail marketing mix.

​________ refers to the activities involved in selling products or services directly to final consumers for their​ personal, nonbusiness use.

Retailing

​______________ marketing involves focusing the entire marketing process to turn shoppers into buyers as they approach the point of sale.

Shopper

Which of the following statements about shopping centers is​ correct?

The most common type of shopping center is a strip mall.

Which wholesaler channel function helps reduce inventory holding costs and the risks of suppliers and​ customers?

Warehousing

Retailers use various combinations of the five promotion​ tools, which include​ _____________________ to reach consumers.

advertising, personal​ selling, sales​ promotion, PR, and direct marketing

Retail stores come in all shapes and​ sizes, and new retail types keep emerging. Store retailers can be classified by the​ ______________.

amount of​ service, product line​ sold, and relative prices

Superstores that are actually giant specialty stores and have seen tremendous growth recently are called​ _______.

category killers

​Macy's carries several product lineslong dash—typically ​clothing, home​ furnishings, and household goodslong dash—with each line operating as a separate department managed by specialist buyers or merchandisers.​ Macy's is best described as​ a(n) ________.

department store

New retail forms continue to emerge.​ However, different types of retailers are increasingly serving similar customers with the same products and prices​ (retail convergence), making​ __________ more difficult.

differentiation

Carefully orchestrating the​ store's layout and​ displays, background​ music, colors, and smells is related to​ ________.

experiential retailing

These​ days, shopper marketing influences​ consumers' buying decisions and calls for​ omni-channel retailing, creating a seamless​ cross-channel buying experience that​ _____________________________ shopping.

integrates​ in-store, online, and mobile

A discount store​ (for example,​ Target, Kohl's, or​ Walmart) sells standard merchandise at lower prices. To do​ this, discount stores accept which of the following two​ conditions?

lower margins and higher sales volume

New retail forms continue to emerge to meet new situations and consumer​ needs, but the life cycle of​ ____________________________ is getting shorter.

new retail forms

New major trends and developments in retailing include​ ___________________.

new retail​ forms, shortening retail life cycles and retail convergence

The trend of​ ________ has resulted in different types of retailers now selling the same products at the same prices to the same consumers.

retail convergence

Today, many retailers are banding together in corporate and contractual retail​ organizations, which include corporate​ chains, voluntary​ chains, _________________.

retailer cooperatives and franchise organizations

By performing the channel function of​ ________, wholesalers' sales forces help manufacturers reach many small customers at a low cost.

selling and promoting

The practice of coming into retail stores to check out merchandise and prices but making purchases online using a computer or mobile device is called​ _______

showrooming

Major retail trends and developments include the rise of​ megaretailers, rapid growth of​ direct, online,​ mobile, and social media retailing. Other trends include​ __________________.

the growing importance of retail​ technology, surge in green retailing and global expansion of major retailers

Progressive wholesalers constantly watch for better ways to meet the changing needs of​ _________________.

their suppliers and target customers

One retail trend resulting from economic conditions is​ ________.

tighter consumer spending

Like​ retailers, wholesalers must​ _____________________________.

segment and target​ carefully, differentiate, and position themselves effectively

Retailers always search for new marketing strategies to attract and hold customers. The major marketing decisions they face are​ _______________________.

segmentation and​ targeting, store differentiation and​ positioning, and the retail marketing mix

Hotels and​ motels, banks,​ airlines, restaurants,​ colleges, hospitals, movie​ theaters, tennis​ clubs, bowling​ alleys, repair​ services, hair​ salons, and dry cleaners are all examples of​ ________.

service retailers

Guided by​ ___________________, retailers must decide on a retail marketing mixlong dash—product and services​ assortment, price,​ promotion, and place.

strong targeting and positioning

Which of the following correctly describes the retail practice known as​ high-low pricing?

​High-low pricing means charging higher prices on an everyday​ basis, coupled with frequent sales and other price promotions.

What is the overall goal when retailers choose their product​ assortment?

Differentiate the retailer while matching target​ shoppers' expectations.

After segmenting and defining their target​ markets, what should retailers do​ next?

Decide how they will differentiate and position themselves in the market.

Which of the following statements about major retail trends is​ true?

Online buying is growing at a much brisker pace than retail buying as a whole.

​_______ involves focusing the entire marketing process toward turning shoppers into buyers as they approach the point of sale.

Shopper marketing

Which type of retailer carries a narrow product line with deep assortments within those​ lines?

Specialty stores

What are the four characteristics used to classify​ retailers?

The amount of service they​ offer, the breadth and depth of their product​ lines, the relative prices they​ charge, and how they are organized

Which of the following statements about wholesaling is​ true?

Wholesalers must make decisions regarding their marketing mix.

Wholesalers recognize​ that, in the long​ run, their only reason for existence comes from​ ______________, which occurs by increasing the efficiency and effectiveness of the entire marketing channel.

adding value

By practicing​ ______ retailing,​ today's retailers are increasingly adopting environmentally sustainable practices.

green

The three major groups of wholesalers are​ ________.

merchant​ wholesalers, brokers and​ agents, and​ manufacturers' and​ retailers' branches and offices

Wholesalers fall into three​ groups: ____________________.

merchant​ wholesalers, brokers and​ agents, and​ manufacturers' and​ retailers' branches and offices

Increasingly, different types of retailers now sell the same products at the same prices to the same consumers. This trend is called​ ___________.

retail convergence

It is important that retailers select locations that are accessible to the target market in areas that are consistent with the​ _____________________.

retailer's positioning