Monday, November 2, 2009

Chapter 13: Retailing

Retailing ere All the activities directly related to the sale of goods and services to the ultimate consumer for personal, non-business use. There are different classifications of retailing which are Ownership, level of service, Product Assortment, and Price.

  • Ownership: Independent, Retailers Chain Stores and Franchises
  • Level of service: it can go from self services like factory outlets and Warehouse clubs, which provide low service, to full service like Exclusive stores, which provides every kind of services that consumer could need.
  • Price: The amount of money the retailer makes as a percentage of sales after the cost of goods sold is subtracted.

There are also non store retailing, which are companies that offer their goods and services without having a store. For example, Automatic vendors are the machines that offer goods for sale. Another non store is Direct Retailing; this retail classification is based on the selling of products by representatives who work door-to-door, office-to-office, or at home parties. A third non store retailing is Direct Marketing, this retail use techniques to get consumer to make purchase from their home, office, or another non retail setting. The last non store retailing would be Electronic Retailing; they encourage consumers to shop online at home.

Retail promotion strategy is all about Advertising, Public Relations, Publicity, and Sales Promotion. The site choice is also a part of promotion strategy. It is important to investigate for Economic growth potential, Competition, and Geography. Also the Atmosphere is the overall impression conveyed by a store’s physical layout, décor, and surroundings. Presentation of the Retail Store is what attracts consumers to visit a store, Employee type and density, Merchandise type and density, Fixture type and density, Sound, Odors, and Visual factors are aspects that consumers look in a store as part of service.

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