Marketing Mix Place: Retail Strategies (Lecture 18) Flashcards
def. retailing
The business activity concerned with the selling
of goods and/or services to ultimate consumers for personal or household use.
what are the roles of retailers?
– Bulk-breaking and assortment
– Logistic: Storing and transporting
– Price and promotion
– Provide convenience and ease of purchase
What are the different classifications of retail outlets?
- form of ownership
- level of service
- merchandise line
- non-store retailers
describe form of ownership
– Independent retailers: small retailers e.g. gift shops
– Corporate chains
•Centralization
•Bargaining power
•Similar merchandise and consistent management
– Contractual system (contractual VMS)
what are the levels of service
– Self-service (using self-service kiosk)
– Limited-service (e.g. Walmart/Target)
– Full-service
describe the differences in merchandise lines
- stores that focus on depth more than breath (specialty outlets)(ex. foot locker)
- stores that focus on breadth than depth (Walmart)
what are some non-store retailers
– Automatic vending – Television home shopping – Telemarketing – Direct selling – Online retailing
What are the main advantages of online retailing
• Increased Product Availability – “The Internet offers unlimited shelf space” •Easier to Find Products That You Need – Search/rank/review system – Comparison shopping sites •Recommendation Systems
What are the 6 aspects of the retail mix?
- Price (mark-down policy, price emphasis, margins)
- promotion (PR, advertising)
- Place (Location, operating hours, space)
- product (service level, categories, assortment, brands)
- presentation (merchandising, uniforms, fleet)
- personnel (internal marketing, service support, selling)
describe product in retailing
•Product assortment:
—Depth: number of items in each product line (e.g., how
many kinds of shoes)
–Breadth: number of different product lines carried by a
retailer (e.g. shoes, appliances, CDs, clothing…)
•Services: delivery, payment options, return policy, after-sales service, demonstration
describe price in retailing
– What is my markup strategy and how does that affect my overall retail price?
– Factors to think about: cost, promotional plan, competitive issues, the
product’s lifecycle…
describe place in retailing
– Store locations
– Store size
–Operation hours
describe promotion in retailing
– Objectives: driving traffic, increasing conversions and attaining brand
awareness
– Similar promotional mix
describe presentation in retailing
– Category layout
– Manage shelf space
– Design of promotional tag
– Decorations for store image
describe personnel in retailing
– Familiar with the store
– Selling and service
