place - retailers

Question 1

advantages of selling through a retailer

Answer 1

-Retailers are located close to customers
-They often promote the product for the manufacturer
-Retailers employ sales assistants to help sell the product
-Large retailers buy in bulk

Question 2

disadvantages of selling through a retailer

Answer 2

-Retailers take a cut of the profits
-They may alter the price of the product and so have an effect on the image of the product
-The product will face competition from other products stocked by the retailer

Question 3

adv and disadv of hypermarkets and supermarkets

Answer 3

adv
-Most hypermarkets open 24/7
-A huge range of products is offered to customers

dis
-Lack of competition from high street stores can lead to poorer quality products

Question 4

adv and disadv of convenience supermarkets

Answer 4

adv
-Cater for the changing needs of customers so are guaranteed footfall
-Prices can be slightly higher than larger supermarkets due to the convenience factor

dis
-Limited choice of products due to similar store sizes
-There can be high levels of waste as it is harder to predict customer numbers than it is for larger, more traditional supermarkets.

Question 5

adv and disadv of out-of-town retail parks (OOT)

Answer 5

adv
-Infrastructure attracts customers
-Often near amenities (cinema, restaurants) which can increase footfall
-Larger store sizes mean a good product range for low prices due to bulk buying by OOT retailers (B&M)

dis
-Limited choice of stores compared to high street shopping
-Only suitable for customers with access to transport
-‘Showrooming’ can occur – customers view/try products before buying online for a lower price

Question 6

adv and disadv of online retailers

Answer 6

adv
-Products can be sold to a worldwide market by online retailers
-Products can be sold 24/7

dis
-Customers can’t try or touch the product before buying
-Delivery charges may put some customers off

Question 7

adv and disadv of discount stores

Answer 7

adv
- products are sold for rock-bottom prices, which attracts customers looking for value

dis
-limited product range compared to other retailers
-Some customers don’t like the image of discount stores

Question 8

adv and disadv of department stores

Answer 8

adv
-many targets can be catered for
-Central locations can attract customers, commuters, tourists etc
-Can benefit from impulse buying

dis
- more and more department stores are closing due to the high rents and other expenses for the prime retail sites they often occupy
-Staff supervision can be difficult