MKT 3013 SB 16

Why should businesses carefully consider how they gather data and what they do with it?

Collecting and selling personal data about customers could be unethical.

Retailing that takes place through mobile devices is called Blank______.

M-commerce

Distribution intensity is typically divided into how many levels?

Three

A designer store, such as Prada or Chanel, would opt for a(n) Blank______ distribution strategy.

exclusive

If a business offers unique, desirable merchandise but has only a few stores, what is most likely the least expensive way to expand its market presence?

Add the Internet channel.

What retailer offers a narrow but deep assortment of merchandise?

Category specialists

In the four-factor framework for establishing a relationship with retailers, which step involves manufacturers and retailers working together to implement the six Ps of retailing?

Developing a retail strategy

Which strategy for wide distribution involves getting products into as many different outlets as possible?

Intensive

Why are prices so low at an off-price retail outlet?

Most of the merchandise is bought from manufacturers or other retailers with excess inventory at the end of the season.

Which of the following are part of the atmosphere of a store? (Choose every correct answer.)

Music,Lighting

True or false: The general price range of the products offered by a retailer helps define the store's image.

TRUE

Which of the following is NOT a type of retailer that falls under the general merchandise retailing category?

Wholesalers

When a firm offers to directly interact with a consumer through the Internet in real time, this is known as Blank______, a timely and direct type of personalized customer service.

an online chat

Customers do not expect Blank______ products in full-line discount stores.

higher-end

The role of the retailer is to help Blank______.

the consumer and manufacturer

Which of these become more complicated when a retailer adds an Internet channel to its traditional store-based sales strategy? (Choose every correct answer.)

,,

Which of these businesses likely has the largest influence on product decision making?

Costco, a warehouse club

Which of the following is a type of food retailer?

Supercenter

Firms use online chats to address specific questions that might not be answered on a traditional FAQ or noninteractive help source. What does this aspect of an online chat refer to?

The personalization of customer service

It is very important for the retailer to provide a consistent Blank______ across all channels.

brand image

In omnichannel marketing, customers expect Blank______ consistency for the same SKU across channels.

pricing

Stores such as Walmart, Fred Meyer, and SuperTarget sometimes operate as a combination of a supermarket and a full-line discount store. These are known as Blank______.

supercenters

If a consumer wants to purchase food in bulk, the ideal type of retailer would be a Blank______ club. In contrast, when a consumer wants to quickly buy just a small snack on the go, the best choice would be a Blank______ retailer.

warehouse; convenience

A business that buys products from manufacturers and resells the products to retailers or to industrial or business users is known as a(n) .

wholesalers

Why might a business choose to expand its market presence by adding the Internet channel? (Choose every correct answer.)

Adding an Internet channel is attractive to retailers that have strong brand names but limited locations and distribution.,When customers go to stores, they typically shop only at those that are close to where they live.,Catalogs are expensive to print and mail, and some customers disapprove of their effect on the environment.

Which of these refers to the controllable characteristics of a store, related to presentation?

Atmospherics

Conventional supermarkets typically have the smallest margin on which type of product?

Beauty aids

To determine how much integration is best, each retailer must address issues such as which of the following? (Choose every correct answer.)

Brand image,Pricing,Integrated CRM,Supply chain

What advantage does online shopping have over traditional store channels?

Broader selection

What type of advertising occurs when a manufacturer and retailer work together to deliver an advertising message to the target market?

Cooperative

One way that retailers collect information about their customers is through a CRM database, which helps develop loyal customers and operate loyalty programs. What does CRM stand for?

Customer relationship management

What does an integrated CRM facilitate? (Choose every correct answer.)

Expediting returns,Handling customer complaints,Targeting future promotions

True or false: Omnichannel retailers price items the same regardless of channel.

FALSE

Conventional supermarkets are experiencing increased competitive pressure from other types of food retailers. How have conventional supermarkets responded to this pressure? (Choose every correct answer.)

Focusing on fresh produce,Improving the in-store experience

On which of the following would a convenience store owner seek to reduce dependency?

Gasoline sales

Amazon.com is an Internet channel that consumers use to purchase a wide variety of products. Which of the following aspects of Amazon.com are advantages it has over the store channel? (Choose every correct answer.)

Greater ability to collect information about consumer shopping behavior,Greater selection of products,Greater personalized information

Pepsi and other soda companies almost always try to get their products into as many different outlets as possible. What is the name of this type of distribution strategy?

Intensive distribution

By adding Internet channels, how have traditional store-based retailers improved their ability to serve customers and build competitive advantages? (Choose every correct answer.)

Internet channels allow sellers to collect information about consumers’ shopping behavior. ,Sellers can enter new markets economically by reaching customers through the Internet., Internet channels can host a wider, broader selection of products.

One advantage of using the Blank______ channel over the Blank______ channel is the much higher probability of having a deeper assortment of merchandise available.

Internet; store-based

Which statement is true of the Internet channel compared to the store and catalog channels?

It helps retailers offer a greater variety of products.

Which of the following is true of M-commerce?

It is receiving a lot of investment from retailers.

Which statement is true of the supply chain of an omnichannel retailer?

It often includes multiple distribution centers.

Aldi is a supermarket that offers only one or two brands and sizes (one of which is always a store brand) to maximize efficiency and reduce costs. What type of supermarket is this?

Limited-assortment

Which type of retailer offers an inconsistent, often unpredictable, assortment of brand-name merchandise at low prices?

Off-price retailer

TJ Maxx, Marshalls, and HomeGoods offer a constantly changing assortment of brand-name merchandise at a large discount. What type of stores are they?

Off-price retailers

What strategy is being used when a manufacturer or retailer sells in more than one channel?

Omnichannel

Which of these are included in the \processes\" aspect of retail strategy? (Choose every correct answer.)"

Ordering merchandise,Transmitting credit card sales

What major benefit of using the Internet channel refers to the ability to tailor the information for each customer economically?

Personalization

When retailers create individualized web pages for each consumer based on the consumer's prior purchase history, what are the retailers providing?

Personalized offerings

If a manufacturer instructs a retailer on how to use a newly released product, this would be an example of the manufacturer getting involved with which of the following six Ps?

Personnel

Brookstone is a retailer known for opening stores in airports, where they have a captive market. This is an example of employing which of the following six Ps to one's competitive advantage?

Place

For retailers, knowing how much to charge for a given product reflects proficiency in which of the six Ps?

Price

Which of these is important for the manufacturer and retailer to consider when determining how to position a brand and the products that fall under the brand?

Price

When a retailer develops and markets a product that is available for the consumer to purchase from that retailer only, the retailer has made what type of brand?

Private-label

Actions taken to get a good or service to a customer fall under which one of the Ps of retail strategy?

Processes

Which of the following stores concentrates on a limited number of complementary merchandise categories and provides a high level of service in a relatively low number of stores?

Specialty store

Which of these are sources of information a clothing retailer would use to build relationships with its best customers? (Choose every correct answer.)

Store personnel,Customer shopping habits,Browsing activity on its website

What is a large store that combines a supermarket with a full-line discount store?

Supercenter

Which statements are true of online grocery retailers? (Choose every correct answer.)

The COVID-19 pandemic caused a sharp increase in demand for online grocery shopping.,Many supermarkets provide pickup and delivery services by partnering with e-commerce fulfillment companies, such as Instacart or DoorDash.,Most supermarkets offer some form of online shopping.

What do manufacturers look at when choosing a retail partner? (Choose every correct answer.)

The basic channel structure,Channel member characteristics,Where the target customers expect to find their products

Why do some consumers feel upset about the fact that businesses are collecting their personal information? (Choose every correct answer.)

The consumer cannot control what a business might do with this personal information in the future.,The business might sell the information to other companies or individuals.,The consumer might be bombarded with unwelcome advertisements online or in the mail.

What factors determine how difficult it is for a manufacturer to persuade retailers to purchase its products? (Choose every correct answer.)

The relative power of the manufacturer and retailer,The degree to which the channel is vertically integrated,The strength of the manufacturer's brand

Which statements about service retailers are true? (Choose every correct answer.)

They are a large part of the retail industry.,They include health clubs and dry cleaners.,They primarily sell services rather than merchandise.

Which statement best describes the relationship wholesalers have with manufacturers and retailers?

They buy from manufacturers, then resell to retailers or business users.

Why are category specialists sometimes called category killers?

They dominate a category with low prices, essentially destroying other retailers' opportunities.

Category specialists, also known as category killers, are Blank______ stores that offer a narrow but deep assortment of merchandise, where assistance is typically found only in certain areas of the store.

big-box

Guitar Center reinforces its image of selling high-quality musical equipment in its stores and catalogs and on its website. This is an example of providing a consistent Blank______ across all channels.

brand image

Some of the actions that stores are taking to remain competitive include decreasing their dependency on gasoline sales, offering fresh food and healthy fast food, and opening smaller stores closer to where consumers shop and work.

convenience

7-Eleven is an example of a(n) Blank______ that sells a limited number of items in a small but easy-to-reach location.

convenience store

Advertising that manufacturers and retailers develop together to defray costs and guarantee that a cohesive message is delivered to the customer is called Blank______ advertising.

cooperative

Because each of the channels is somewhat Blank______, a critical decision facing multichannel retailers is the degree to which they should or are able to integrate the operations of the channels.

different

If Ford allows only one retailer or dealer in a given territory the ability to sell its particular brand, it is using a(n) Blank______ distribution strategy.

exclusive

A small, full-line discount store that offers a limited merchandise assortment at very low prices, often as low as no more than one dollar per item, is classified as a(n) Blank______.

extreme-value retailer

Manufacturers need to understand the Blank______ of different types of retailers to determine the best channels for their products

general characteristics

Effective omnichannel operations need a(n) Blank______, which consists of a centralized customer data warehouse that houses a complete history of each customer's interaction with the retailer.

integrated CRM system

Category specialists are also called category Blank______ because of their ability to offer a complete assortment in a category at somewhat lower prices than competing store types, such as a full-line discount store.

killers

Generally, the Blank______ and more sophisticated a firm is, the Blank______ likely it will be to use supply chain intermediaries.

larger; less

Imagine that Apple conducts a seminar with Best Buy employees on new features in Apple's latest iPhone. This would be an example of the Blank______ educating the Blank______ on how to use and sell its new product.

manufacturer; retailer

Getting customers into the stores by using newspapers, magazines, television, and social media refers to advertising in the Blank______, whereas displays and signs placed at the point of purchase or in aisles is advertising in the Blank______.

media; store

One of a retailer's most fundamental activities in fulfilling the needs of the target market is to provide the ideal blend of Blank______ and Blank______.

merchandise; service

A(n) strategy is being used when manufacturers and retailers work together to sell products and/or services in more than one channel (such as a store, catalog, and the Internet).

omni channel

When customer service or product offerings are individually tailored to the consumer shopping on an Internet channel, they are said to be Blank______.

personalized

When you go on Amazon.com and notice a section of recommended items that you might like on the page, this is an example of a(n) Blank______ offering derived from your past purchases.

personalized

One strategy that Starbucks uses is opening stores in areas where other coffee shops would have little chance of staying competitive with Starbucks. What Starbucks is essentially doing is saturating the market, a strategy that falls under Blank______ within the six Ps framework.

place

One consideration in retail strategy is trying to figure out what to charge a customer for a given brand within a product category. This consideration refers to , one of the elements of the six Ps framework.

price

When a retailer places advertisements in newspapers, magazines, television, and social media, the retailer is using , one of the six Ps.

promotion

Adding value to products and services sold to consumers in households for their personal or family use is known as .

retail

One thing a manufacturer will look for when deciding on a(n) partner is whether or not its customers match the manufacturer's target market.

retailer

A manufacturer will seek out partnerships with who will sell the manufacturer's products and/or services to the final consumers. (Remember to type only one word in the blank.)

retails

Between the intensive and exclusive distribution strategies lies distribution, which uses a few, well-selected retailers in a territory.

selective

Marcella receives coupons in the mail from the supermarket where she gets most of her groceries. The coupons are personalized based on her buying behavior. The supermarket is trying to encourage Marcella to increase the percentage of her purchases there, which is known as Blank______.

share of wallet

The percentage of a customer's purchases that are made from a particular store is that store's Blank______.

share of wallet

Retailers provide Blank______ benefits by taking on large amounts of inventory that would otherwise need to be held in a manufacturer's warehouse.

storage

At Macy's, consumers encounter I.N.C. dresses and clothes, which are exclusive to Macy's. These consumers have encountered a Blank______ brand.

store

Omnichannel retailers Blank______ provide an integrated shopping experience across all their channels.

struggle to

Retailers help satisfy customers' needs by providing which of the following? (Choose every correct answer.)

An assortment of products geared toward their target market,A mix of services relating to the products they sell,Products in the quantities their customers wish to buy

To stay competitive with other types of food retailers, conventional supermarkets have employed a number of different strategies. Which of the following is NOT a common strategy that many conventional supermarkets have adopted?

Offering an athletic shoe department

A retailer is examining the circumstances under which it would benefit from adopting a particular strategy for its catalog sales and a different one for its Internet sales. What type of overall strategy is the retailer using?

Omnichannel

Which firms would likely employ intensive distribution for their products? (Choose every correct answer.)

Pepsi,Kellogg's

Which actions have drugstores been taking to remain competitive?

Providing in-store medical clinics,Offering a wider assortment of merchandise,Offering drive-through windows

Which of the following is NOT an actual distribution intensity level considered by manufacturers?

Retentive

Which type of store tailors its retail strategy toward very specific market segments by offering deep but narrow assortments and sales associate expertise?

Specialty stores

Private-label brands (brands that retailers have developed) are also known as what?

Store brands

Unlike Estée Lauder, which is a large and established firm with the resources to provide its own sales force to sell its products, what will smaller firms probably need to rely on to help to distribute their products?

Supply chain intermediaries

A company that manufactures shampoo has been unable to persuade a large retail outlet to purchase its products, because the retailer makes and sells mostly its own brand of shampoo. What marketing problem has the manufacturer encountered?

The channel is vertically integrated.

MAC, a brand of makeup produced by Estée Lauder, sells through the company's retail outlets. Therefore, whenever a new MAC product is made, it is automatically brought into Estée Lauder retailing outlets. Which type of channel structure does this setup represent?

Vertical marketing system

Which type of food retailer is very large and offers a limited and irregular assortment of food and general merchandise in bulk, with little service, at low prices?

Warehouse club

Under which of these circumstances would a firm probably benefit from an exclusive distribution strategy? (Choose every correct answer.)

When the firm is just starting out,When supply is limited

Macy's, JCPenney, and Kohl's are general merchandise retailers known as stores. They offer a broad variety and deep assortment of products and customer services, with different types of merchandise displayed in distinct sections of the store.

department

Which of the following refers to business activities that include the purchase of products at stores, through catalogs, and over the Internet, as well as services, such as fast-food restaurants, airlines, and hotels?

Retailing

How many brands of laundry detergent is an extreme-value food retailer likely to carry?

1 or 2

Manufacturers will work with specific retailers depending on where their target consumers expect to find their products. What does this process refer to?

Customer expectations

Which statement best describes the relationship between manufacturers and big retailers, such as Home Depot or Walmart, with regard to product decision making?

Big retailers have more of a say in product decision making than manufacturers do.

Why might a new company grant exclusive distribution of its products to one retailer or one retail chain? (Choose every correct answer.)

By granting exclusive territories, the firm gives those retailers a strong incentive to market its products.,The firm's inventory is probably not very large. This agreement provides the buying public an adequate selection at specific retail outlets.,The retailers know there will be no competing retailers to cut prices, so their profit margins are protected.

As other types of businesses have increased the amount of food they sell, how have conventional supermarkets been differentiating their offerings from those of competitors? (Choose every correct answer.)

By improving health and wellness offerings,By adding new value-added services such as online ordering and delivery options,By providing a better shopping experience, such as by adding restaurant options or hosting social events

A manufacturer selling hammers is trying to decide whether it should conduct business with Walmart and Home Depot. Which of the four factors for establishing a relationship with retailers best characterizes the situation?

Choosing retail partners

Which statements about product storage are true? (Choose every correct answer.)

Consumers generally do not want to purchase more product than they need.,Some retailers are beginning to push suppliers to hold more of their inventory.,Retailers provide a value to manufacturers and consumers by housing products for sale.

Which of these are small retailers with a limited variety and assortment of merchandise, including food, at easily accessible locations and offering a speedy checkout?

Convenience stores

Which of the following best describes a self-service food store that offers a wide range of groceries, meat, and produce with only a limited assortment of nonfood items such as health and beauty aids?

Conventional supermarket

Which of the following is a retail format that carries a broad variety and deep assortment of merchandise, offers customer services, and organizes the facilities into distinct sections for displaying certain product types?

Department stores

Which of these products would likely be marketed via a selective distribution strategy? (Choose every correct answer.)

Designer purses and handbags,Expensive coats

The competition in food retailing could best be characterized as which of the following?

Highly competitive

Which of the following terms refers to the number of channel members used at each level of the marketing channel?

Distribution intensity

A manufacturer of clothing currently sells its products at Neiman Marcus and Dillard's. A survey shows that a majority of its customers expect to find its products at Neiman Marcus, Macy's, and Saks Fifth Avenue, but relatively few customers expect to find the products at Dillard's or Marshalls. If the manufacturer acts on its customers' expectations, what action would it take in regard to its retail partnerships?

Drop Dillard's and add Macy's and Saks Fifth Avenue.

Which type of retailer might feature a medical clinic, curbside pickup for prescriptions, and possibly even a makeover or spa treatment?

Drugstore

Which type of store often has more than half of its sales coming from pharmaceuticals?

Drugstore

Which retail outlets are specialty stores that concentrate on pharmaceuticals and health and personal grooming merchandise?

Drugstores

What type of business often provides pickup and delivery service for supermarkets that offer online grocery shopping?

E-commerce fulfillment company

Which placement strategy involves manufacturers granting sole geographic territories to one or very few retailers so that no other retailers in the territory can sell a particular brand?

Exclusive distribution

What type of business is a small discount store that operates in a low-rent location, buys excess merchandise from manufacturers, and sells it at very low prices?

Extreme-value retailer

True or false: Service retailers, which sell services rather than merchandise, are a small and shrinking retail sector.

FALSE

True or false: The important characteristics of retailers are the same in every industry.

FALSE

Limited-assortment supermarkets are able to offer their merchandise for 50% less than conventional supermarkets by cutting costs in certain ways. Which of these is NOT a cost-cutting technique typically used by these types of supermarkets?

Focusing on high-end items

Walmart and Target offer a broad variety of merchandise, limited service, and low prices but little or no high-end merchandise. Which type of retailers are they?

Full-line discount stores

Full-line discount, specialty, department, and off-price are all types of retailers that fall under which broad category?

General merchandise

Which of the following businesses would have the easiest time introducing a new product line in stores?

MAC Cosmetics, which operates its own retailers

A manufacturer is trying to determine in what circumstances it may prefer to use a certain channel for selling a product. Which of the factors for establishing a relationship with retailers is it most likely examining?

Managing an omnichannel approach

The business activities associated with retailing involve both products and services. Which of the following is NOT a venue where retailing occurs?

Manufacturer's warehouse

Blank______ refers to a set of a business activities that add value to products and services sold to consumers for their personal or family use.

Retailing

Which type of distribution uses a few, carefully identified retailers in a given territory with the intention of maintaining a particular image and controlling the flow of merchandise into an area?

Selective distribution

Jamal has developed a new line of high-end, artisanal candles. Which of the following types of retailers would be most likely to sell his candles using innovative marketing tactics?

Specialty store

Sephora is a leading perfume and cosmetic store chain that only sells merchandise in this narrow area but has a deep assortment of various cosmetics. This is characteristic of what type of retailer?

Specialty store

Whereas a Blank______ supermarket is likely to carry around 30,000 SKUs at any given time, a(n) Blank______ food retailer will only stock around 1,500 SKUs to reduce costs and maximize efficiency.

conventional; extreme-value

A Blank______ is a very large retailer that offers a limited and irregular assortment of food and general merchandise in bulk, with little service, at low prices to the general public and small businesses.

warehouse club