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