Business Chapter 13

Department Store

- large product-line retailer characterized by organization into specialized departments

Supermarket

- large product-line retailer offering a variety of food and food-related items in specialized departments

Drop Shippers

- limited-function merchant wholesaler that receives customer orders, negotiates with producers, takes title to goods, and arranges for shipment to customers

Limited-Function Merchant Wholesaler

- merchant wholesaler that provides a limited range of services

Distribution Channel

- network of interdependent companies through which a product passes from producer to end user

Video Retailing

- nonstore retailing to consumers via home television

Direct (or Interactive) Marketing

- one-on-one non-personal selling by non-store retailers and B2B sellers using direct contact with prospective customers, especially via the Internet

Missionary Selling

- personal-selling task in which salespeople promote their firms and products rather than try to close sales

Creative Selling

- personal-selling task in which salespeople try to persuade buyers to purchase products by providing information about their benefits

Warehousing

- physical distribution operation concerned with the storage of goods

Positioning

- process of establishing an identifiable product image in the minds of consumers

Pull Strategy

- promotional strategy designed to appeal directly to consumers who will demand a product from retailers

Push Strategy

- promotional strategy designed to encourage wholesalers or retailers to market products to consumers

Advertising

- promotional tool consisting of paid, nonpersonal communication used by an identified sponsor to inform an audience about a product

Personal Selling

- promotional tool in which a salesperson communicates one-on-one with potential customers

Publicity

- promotional tool in which information about a company, a product, or an event is transmitted by the general mass media to attract public attention

Specialty Store

- retail store carrying one product line or category of related products

Convenience Store

- retail store offering easy accessibility, extended hours, and fast service

Point-of-Sale (POS) Display

- sales promotion technique in which product displays are located in certain areas to stimulate purchase or to provide information on a product

Coupon

- sales-promotion technique in which a certificate is issued entitling the buyer to a reduced price

Premium

- sales-promotion technique in which offers of free or reduced-price items are used to stimulate purchases

Trade Show

- sales-promotion technique in which various members of an industry gather to display, demonstrate, and sell products

Retail Selling

- selling a consumer product for the buyer's personal or household use

Sales Promotion

- short-term promotional activity designed to encourage consumer buying, industrial sales, or cooperation from distributors

Selective Distribution

- strategy by which a company uses only wholesalers and retailers who give special attention in sales effort to specific product

Exclusive Distribution

- strategy by which a manufacturer grants exclusive rights to distribute or sell a product to a limited number of wholesalers or retailers in a given geographic area

Advertising Media

- variety of communication devices for carrying a seller's message to potential customers

Private Warehouse

- warehouse owned by and providing storage for a single company

Channel Conflict

- conflict arising when the members of a distribution channel disagree over the roles they should play or the rewards they should receive

Direct Channel

- distribution channel in which a product travels from producer to consumer without intermediaries

Intensive Distribution

- strategy by which a product is distributed through as many channels as possible

Direct-Response Retailing

- form of non-store retailing in which firms directly interact with customers to inform them of products and to receive sales orders

Telemarketing

- form of non-store retailing in which the telephone is used to sell directly to consumer

Full-Service Merchant Wholesalers

- merchant wholesaler that provides credit, marketing, and merchandising services in addition to traditional buying and selling services

Order Processing

- personal-selling task in which salespeople receive orders and see to their handling and delivery

Bargain Retailer

- retailer carrying a wide range of products at bargain prices

Loyalty Programs

- sales promotion technique in which frequent customers are rewarded for making repeat purchases

Industrial Selling

- selling products to other businesses, either for the purpose of manufacturing or for resale

Electronic Storefront

- commercial website at which customers gather information about products and buying opportunities, place orders, and pay for purchases

Public Relations

- company-influenced information directed at building goodwill with the public or dealing with unfavorable events

Discount House

- bargain retailer that generates large sales volume by offering goods at substantial price reductions

Channel Captain

- channel member who is most powerful in determining the roles and rewards of other members

Cybermall

- collection of virtual storefronts (business websites) representing a variety of products and product lines on the Internet

Media Mix

- combination of advertising media chosen to carry a message about a product

Distribution Mix

- combination of distribution channels by which a firm gets its products to end users

e-Intermediary

- Internet distribution channel member that assists in delivering products to customers or that collects information about various sellers to be presented to consumers, or they help deliver online products to buyers

Online Retailing

- Non-store retailing in which information about the seller's products and services is connected to consumers' computers, allowing consumers to receive the information and purchase the products in the home

e-Catalog

- Non-store retailing in which the Internet is used to display products

Physical Distribution

- activities needed to move a product efficiently from manufacturer to consumer

Promotion

- aspect of the marketing mix concerned with the most effective techniques for communicating information about and selling a product

Catalog Showroom

- bargain retailer in which customers place orders for catalog items to be picked up at on-premises warehouses

Wholesale Club

- bargain retailer offering large discounts on brand-name merchandise to customers who have paid annual membership fees

Factory Outlet

- bargain retailer owned by the manufacturer whose products it sells

Promotional Mix

- combination of tools used to promote a product

Retailer Channel

- intermediary who sells products directly to consumers

Wholesaler Channel

- intermediary who sells products to other businesses for resale to final consumer

Syndicated Selling

- e-commerce practice whereby a website offers other websites commissions for referring customers

Shopping Agent (e-agent)

- e-intermediary (middleman) in the Internet distribution channel that assists users in finding products and prices but does not take possession of product

Mail Order (catalog marketing)

- form of non-store retailing in which customers place orders for catalog merchandise received through the mail

Direct Selling

- form of non-store retailing typified by door-to-door sales

Sales Agent

- independent intermediary who generally deals in the related product lines of a few producers and forms long-term relationships to represent those producers and meet the needs of many customers

Broker

- independent intermediary who matches numerous sellers and buyers as needed, often without knowing in advance who they will be

Wholesalers

- independent operations that buy products from manufacturers and sell them to various consumers or other businesses

Merchant Wholesalers

- independent wholesaler who takes legal possession of goods produced by a variety of manufacturers and then resells them to other organizations

Public Warehouse

- independently owned and operated warehouse that stores goods for many firm

Intermediary Channel

- individual or firm that helps to distribute a product