Chap 11

Place decision

locations should be accessible to the target market in areas that are consistent with the retailer's positioning

________ creates a seamless cross-channel buying experience that integrates in-store, online, and mobile shopping.

omni-channel retailing

Price decision

price policy must fit the retailers': -target market and positioning -product and service assortment -competition -economic factors retailers practice either: -everyday low pricing -high-low pricing

Retailing

activities involved in selling goods or services directly to consumers for their personal/non business use ex. shopper marketing & omni-channel retailing

Specialty store (store retailer types)

carries a narrow product line with a deep assortment

Showrooming

coming into a retail store showrooms to check out merch and prices, but instead buying from an online-only rival

Omni-channel retailing

creating a seam-less cross-channel buying experience that integrates in-store, online, and mobile shopping

When compared to merchant wholesalers, brokers and agents ________.

do not take title to goods

Shopper marketing

focusing the entire marketing process toward turning shoppers into buyers as they approach the point of sake

_____ types of stores are characterized by specialty goods for which customers need assistance and higher operating costs that are passed along to customers as higher prices

full-service stores

Types of retailers

-amount of service offered -breadth and depth of the product lines -relative prices charged -way they are organized

Convenience store (store retailer types)

-carries a limited line of high-turnover convenience products at slightly higher prices -small stores near residential areas -open long hours, seven days a week

department store (store retailer types)

-carry a wide variety of product lines -each line is operated as a separate department

Limited-service retailers (amount of service)

-carry more shopping goods about which customers need information -provide more sales assistance

Full-service retailers (amount of service)

-carry more specialty goods -assist customers in every phase of the shopping process

Wholesaling

-involves all the activities in selling goods and services to those buying for resale or business use -WHOLESALER: a firm engaged primarily in wholesaling activities

Supermarket (store retailer types)

-large, low-cost, low-margin, high-volume, self-service operation -carry a wide variety of grocery and household products

Types of wholesalers

-merchant: independently owned wholesale businesses that tale title to all merchandise handled (full and limited service) -brokers: do not take title to goods (facilitate buying and selling, earn a commission) -agents: represent buyers or sellers on a relatively permanent basis, perform only a few functions, do not take title to goods -manufacturers' and retailers' branches and offices: wholesaling by sellers or buyers themselves rather than through independent wholesalers

Trends in wholesaling

-need for greater efficiency -demands for lower prices -sorting our suppliers who are not adding value based on cost and quality -blurring distinction between large retailers and wholesalers -increased use of tech to contain costs and boost productivity

Superstore (store retailer types)

-offer a large assortment of routinely purchased items

Growing importance of retail tech

-produce better forecasts -control inventory costs -interact electronically with suppliers -send info between stores -sell to customers within stores

Warehouse clubs (store retailer types)

-sell a limited selection of brand name grocery items, appliances, clothing, and other goods at deep discounts to members who pay annual membership fees

channel functions performed by wholesalers

-selling and promoting -buying and assortment building -bulk breaking -warehousing -transportation -financing -risk breaking -market information -management services and advice

Discount store (store retailer types)

-sells goods at lower prices with lower margins and higher volumes

Off-price retailer (store retailer types)

-sells merchandise bought at less-than-regular wholesale prices and sold at less than retail

Retailing trends and developments

-tighter consumer spending +impact of the Great Recession (change on spending patterns) and Retailers (cost cutting, bankruptcy -new retail forms, shortening retail life cycles, and retail convergence -rise of megaretailers -growth of direct, online, mobile, and social media retailing -green retailing (environmentally responsible products) -global expansion of major retailers

Product assortment and services decision (retailers must determine three product variables)

product assortment: should differentiate while matching target shoppers' expectations service mix: can help set one retailer apart from another -service level store atmosphere: a unique store experience that suits the target market and moves customers to buy

Promotion decision

retailers use various combinations of the five promotion tools: -advertising -personal selling -sales promotion -Public relations -direct and social media marketing

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

retailing

_____ is most likely the first major marketing decision that a retailer must take

segmentation

Food Galore is a regional chain of supermarkets in the Midwest. The primary role of the staff is to restock shelves and operate cash registers. Customers locate, compare, and select their groceries and other sundry items. Based on the amount of service provided, Food Galore is most likely a ________.

self-service retailer

Self-service retailers (amount of service)

serve customers who are willing to perform their own locate-compare-select process

The American Tie Company, a necktie retailer, offers a deep assortment of men's neckties. The American Tie Company is best described as a(n) ________.

specialty store

Retailers must decide on three major product variables: product assortment, services mix, and ________.

store atmosphere

______ is a function of wholesalers demonstrated when a buyer receives quicker delivery because wholesalers are located closer than are producers

transportation

________ includes all the activities involved in selling goods and services to those buying them for resale or business use.

wholesaling