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Classification of Retail Formats based on Merchandise Offered
By Asma M.Bagwan
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Classification of Retail Formats based on Merchandise Offered
Convenience Stores Department Stores Super Market Hyper Market Specialty Stores Dollar stores Factory Outlets Category Killers Warehouse Clubs
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Convenience Store Relatively small stores located near residential Offering limited line of convenience products. Example: Kirana Stores
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Department Stores A department store is a set-up which offers wide range of products to the end users under one roof. These mainly sell non-food items (60% - 70%) The items are arranged into various departments Example: Shopper Stop.
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Supermarket They sell mainly Food Items(60-70%) and also they are properly placed and arranged in specific departments. Example: Reliance fresh, More.
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Hypermarket They sell both food and non-food items along with services like cafeteria. They are a combination of Dept. Store and Supermarkets Example: Wal-Mart , Big Bazaar
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Specialty Stores These stores specialize in a particular type of merchandise and offering specialized services to customers. It has a narrow product lines with deep assortments in that product line. Example: Planet M - music, Reebok - shoes
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Dollar Stores Dollar stores offer selected products at extremely low rates but here the prices are fixed. Example: 99 store would offer all its merchandise at Rs 99 only. No further bargaining is entertained.
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Factory Outlets The manufacturers may some time own retail outlet where merchandise is brought directly from the factory and sold. Example: Bata factory outlet.
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Category Killers These retailers are specialty retailer who offer a very large selection in the chosen product category at economical prices. Example: Chandana Bros Saree chain In Andhra Pradesh
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Warehouse Clubs These offer variety of goods in bulk at wholesale price. Customers here should purchase only in bulk quantities. Example : Costco wholesale, Sam’s Club etc
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