Retailing Chapter 15.

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Presentation transcript:

Retailing Chapter 15

Retailing Definition Facts Types of Utility Employs 25 million people (11.6% of US employment) $4 trillion annually (40% of GDP) Types of Utility Time Place Possession Form

Retailing Classifications Form of Ownership Independent Retailer Corporate Chain Franchises

Retailing Classifications Level of Service Self-service New checkout lanes Limited Service Wal-mart Full-service Nordstrom Merchandise Line Depth of Line Limited-line stores Single-line stores Breadth of Line General merchandise stores Scrambled Merchandising Hypermarket Intertype competition

Other Retail Classifications Department stores Buyers Specialty stores Supermarkets Drugstores Convenience stores Discount stores Supercenters Category killers Source: http://digitaltrends.com

Source: http://alloveralbany.com Nonstore Retailing Automatic vending Direct retailing Direct marketing Telemarketing Direct Mail Catalogs and mail order Electronic retailing Online retailing Television Home Shopping AV: 1.8 million soda machines. Maintenance and operating costs are high, so prices are higher DMC: Cheaper to retain catalogs. Traditional retailers & internet retailers adding catalogs THS: Increasingly more interaction, 24-hour access OR: 24 hour access; comparison shopping; privacy & variety. Comparison shopping causes them to leave TM: More efficient, but legislation against it DS: Personal, demonstrations to homes and offices. Avon Source: http://alloveralbany.com

Retail Positioning Matrix Product Breadth Wal-mart Bloomingdale’s Just for Feet Tiffany’s Broad Narrow Low High Value Added

Retailing Mix Pricing Markdown Everyday Low Pricing Everyday Fair Pricing Shrinkage Off-price Retailing Warehouse club Outlet store Single-price

Source: http://www.forbes.com Retailing Mix Store Location Central business district Regional shopping centers Community shopping center Strip location Power center Source: http://www.forbes.com

Source: http://www.shop-eat-surf.com Retailing Mix Atmospherics Employee type and density Merchandise type and density Fixture type and density Sound Odors Visuals Source: http://www.shop-eat-surf.com

Nature of Retailing The Wheel of Retailing Retail Life Cycle

The Future of Retailing Multichannel Retailing Smart Cards M-commerce Changing preferences Precision shopping Cobranding Source: http://techhook.com

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