Retail Final

Opening Store tasks

-Clean/tidy -Working Condition -Replenish Stock -Complete/organize paperwork

Closing Store Tasks

-End of day housekeeping -Closing Daily Account

The first step when handling customer complaints is to...

listen attentively

A retailer that makes less money per unit sold but sells a lot of merchandise at that price is said to have... Example: Dollar Tree

low margin/high turnover

We know that retailers have five basic functions. The function that includes store management procedures like maintenance, customer service, and receiving merchandise is...

Operations

________is a pricing objective where price is initially set low in order to enter the market and establish a loyal customer base.

Penetration

"Every purchase over $50 will receive a free beach towel" is an example of a...

Premium

________ is stock that is stored off the selling floor or in a warehouse/backroom.

Reserve stock

_________ customers are neutral and can easily find the products or service elsewhere.

Satisfied

Stores like 7Eleven sell different unrelated products. You can find anything from chips, to batteries, to cell phone chargers. This type of merchandise is...

Scrambled

Retailing includes all the activities involved in....

Selling products/services to the final customer

_______ refers to the specific point where the retailer is located.

Site

When the latest iPhone is introduced, they are priced very high. People wait in long lines for hours just to get the latest version. A few months later the price will go down and the latest iPhone is available in more outlets. This is an example of what type of pricing strategy?

Skimming

Products like engagement rings, cars, and houses would be examples of _______.

Specialty products

Customers have two types of needs, basic and ______.

Specific

A single main aisle that runs from the run to the back of the store is considered a ______ layout.

Spine

_______ purchases need to be monitored and recorded to make sure there is no abuse of benefits.

Staff

Most retailers call this inventory, but ______ is the process of counting every item in the store.

Stocktake

The two types of retailers are...

Store retailers and non-store retailers

Store Retailers vs Non-store Retailers

Store retailers: have a fixed location, serve walk-in customers, examples: Toys'R'Us Non-store retailers: online, mail order, door-to-door, telemarketing, tv/radio, vending machines

What type of decision is choosing a retail location?

Strategic

Stores like Walmart or Target would be considered a _______________ because they sell an enormous range of products from groceries, to furniture, to clothes or electronics.

Supermarkets

A type of marketing technique that retailers use to appeal to human senses is called...

Total Sensory Marketing

Moving stock to another outlet is called ________.

Transferring

Customers like retailers that maintain consistent service.

True

Good customer service can benefit the sales staff, retailer, and the society. True or false?

True

Merchandise has to arrive on time to meet daily and seasonal needs. True or False?

True

Moving merchandise to a different location within the store or dressing up the display are good ways to delay marking items down. True or False

True

Retailers are suggested to offer liberal refund/exchange policies because it increases customer satisfaction

True

"I'm sorry we are out of stock" is a phrase a customer will hear when a retailer has _________________.

Under-ordered

Match the products/services to what type of pricing strategies they use. Beach condo rental

Variable

Match the products/services to what type of pricing strategies they use. Electricity bill

Variable

The price for a dozen roses on Valentine's Day is an example of variable pricing. What does variable pricing mean?

Variable pricing is changing the price of products based on their demand and cost necessities.

_____________ is the artistic display of merchandise. It plays an important role in the sales process because it attracts the customer's attention and gets them into the store.

Visual Merchandising

An example of a high margin/low turnover would be...

a car dealership

Cannibalizing refers to ..

a retailer taking business away from itself.

Shopping products are a mid-priced products that customers may compare prices and visit multiple stores. An example of a shopping product would be...

A laptop

PO stands for "purchase order" and it is...

A list of approved merchandise that can be ordered

A specialty store is a type of retailer that is concentrated on selling a specific range of merchandise. An example of a specialty store would be...

Barnes & Noble

2 Types of Customers Needs

Basic Needs: personal and unspoken (friendliness, respect, trust, fairness) Specific Needs: business related or the reason the customer is in the store (merchandise, service, location)

A type of shopping location that is built around a working crowd or multiple office spaces. It usually has the same hours as the offices or businesses that the retailers are catering to.

CBD

If a power outage occurs or the Point of Sale System isn't working, retailers can use _____ as a way to document the sale.

Cash memos

There are four opening tasks every retailer should do. The task that makes sure the sales area looks neat and presentable for customers is...

Clean/tidy

Closing the shop for the day requires two steps. Housekeeping is the first and it deals with...

Cleaning store

Ensuring calculations are in order would be a task for __________________.

Closing the daily account

There three types of product categories. _______ products cost very little and are purchased frequently.

Convenient

A ________ is a redeemable card/cut out that can be used to purchase a specific item at a reduced price.

Coupon

Asking for proper identification when given a credit card for payment, is a cashier's way of preventing ________________.

Credit card fraud

A retailer that sets prices and tries to maintain that price for a long period of time is using what pricing strategy?

Customary

Match the products/services to what type of pricing strategies they use. Movie tickets

Customary

Match the products/services to what type of pricing strategies they use. Big Mac

Customary

___________ is the most cost effective way to profitably grow a retail business.

Customer loyalty

______ is any contact that a customer has with a company that leaves a lasting positive/negative impression.

Customer service

We know that there are three types of customers. Which customer type is very influential? On average they tell 8-16 people about their experience.

Dissatisfied

When a retailer charges the same low price everyday throughout the year and seldom runs the product on sale, they are using what type of pricing strategy?

EDLP (everyday low pricing)

Non-store retailers come in many different forms. The non-store retailer that uses a website for ordering is called...

Electronic/Online

Frequent markdowns have no impact on how a customer perceives a store's image. True or False.

False

It cost the same amount of money to attract a new customer as it does to keep an existing one. True or False

False

The cashier's performance has nothing to do with the store's image and profitability.

False

When debating on retail locations, using an evaluation checklist can overwhelm retailers. It is better to select the first location you like. True or False?

False

Control deals with the...

Financial side of the business such as accounting, payroll, and sales.

A salesman at a car dealership works with individual clients and doesn't have a set price for his inventory. He negotiates with each customer until they find a price that is beneficial to both parties. Each customer leaves buying a car but pays a different amount. This is an example of ________ pricing.

Flexible

Match the products/services to what type of pricing strategies they use. Ford Explorer

Flexible

Match the products/services to what type of pricing strategies they use. Plane Tickets

Flexible

Cash ______ is the amount of money placed in the register at the beginning of the day.

Float

Specialty shopping malls typically....

Focus on a specific product or customer segment

______________ is a type of store layout that encourages customers to browse.

Free flow

Basic needs are personal and often unspoken by the customer. An example of a basic need would be...

Friendliness

A grocery store is more likely to use what type of store layout?

Grid

Which of the following is NOT a way to offer good customer service?

Having a long check out process

This type of location consists of retailers traditional goods, textiles, products and trendy fashion items.

Historic/Ethical Districts

Which retailer below would be classified a specialized store?

Kay Jewelers

_____ is the general position of the retailer.

Location

______ is a store layout with a major customer aisle starting at the entrance and circling through the back of the store, bringing the customer back to where they started.

Loop

The goal of a retailer is to create a _____ customer. This is someone who supports the retailer even in a crisis and will recommend the retailer to their family or friends.

Loyal

The typical chain of distribution is...

Manufacturer>Distributor>Retailer

________ ________ simply means a retailer is holding an item for a customer.

Merchandise reserve

_______ is buying assorted products that can be sold in order to make a profit.

Merchandising

5 Basic Functions of Retailers

Merchandising: a process that includes buying an assortment of products that will be profitable. Operations: also known as store management. Includes activities like maintenance, customer service, and receiving merchandise. Promotions: activities that communicate the retailers message to the consumer. Control: deals with the financial aspects of the business like accounting, employee payroll, sales, etc. Personnel: involves employee selection, training, advancement and welfare.

Petty Cash is used for...

Minor store expenses.

We know that ____ is the number of goods categories a company has. For example, Samsung produces cellphones, tablets, TVs, computers and refrigerators just to name a few.

breadth

Toys-R-Us dominates the retail toy industry. They have such a wide variety of products customers rarely leave without purchasing something. Toys-R-Us is considered to be a...

category killer

A Service Strategy...

creates a vision of service for the company.

A set of activities that retailers provide to make the shopping experience rewarding for customers is referred to as...

customer service

Variety in the categories a company offers is called _____. For example, Samsung offers Galaxy S, Galaxy Note, Galaxy Halo and Galaxy Eclipse, all of which fall under their cellphone category.

depth

Store cleanliness and ______ appearance play a role in building a store's image.

employee

To help with customer questions, employees should be ________ about the products/services offered.

knowledgable

Store image is the equivalent to human ________.

personality

A diagram that shows retail employees where to place merchandise on a shelf is called a _______

planogram

By definition, a customer is...

someone who purchases a product or service

Retailer should set aside at least _____ minutes before the store actually opens to complete a few housekeeping items.

30

There are ___ Rights of Merchandising.

5

Shoppers are more likely to buy from a retailer when they believe the store sells quality or value. This is also known as customer _______.

perception