RetailingRetailing

Chapter 15Chapter 15

RetailingRetailing

DefinitionDefinition

FactsFacts Employs 25 million people (11.6% of US employment)Employs 25 million people (11.6% of US employment) $4 trillion annually (40% of GDP)$4 trillion annually (40% of GDP)

Types of UtilityTypes of Utility TimeTime PlacePlace PossessionPossession FormForm

Retailing ClassificationsRetailing Classifications

Form of OwnershipForm of Ownership Independent RetailerIndependent Retailer Corporate ChainCorporate Chain FranchisesFranchises

Retailing ClassificationsRetailing Classifications

Level of ServiceLevel of Service Self-serviceSelf-service

New checkout lanesNew checkout lanes Limited ServiceLimited Service

Wal-martWal-mart Full-serviceFull-service

NordstromNordstrom

Merchandise LineMerchandise Line Depth of LineDepth of Line

Limited-line storesLimited-line stores Single-line storesSingle-line stores

Breadth of LineBreadth of Line General General

merchandise storesmerchandise stores Scrambled Scrambled

MerchandisingMerchandising HypermarketHypermarket Intertype Intertype

competitioncompetition

Other Retail ClassificationsOther Retail Classifications

Department storesDepartment stores BuyersBuyers

Specialty storesSpecialty stores SupermarketsSupermarkets DrugstoresDrugstores Convenience storesConvenience stores Discount storesDiscount stores

SupercentersSupercenters Category killersCategory killers

Source: http://digitaltrends.com

Nonstore RetailingNonstore Retailing

Automatic vendingAutomatic vending Direct retailingDirect retailing Direct marketingDirect marketing

TelemarketingTelemarketing Direct MailDirect Mail Catalogs and mail orderCatalogs and mail order

Electronic retailingElectronic retailing Online retailingOnline retailing Television Home Television Home

ShoppingShoppingSource: http://alloveralbany.com

Retail Positioning MatrixRetail Positioning Matrix

Wal-martWal-mart Bloomingdale’sBloomingdale’s

Just for FeetJust for Feet Tiffany’sTiffany’s

Value AddedLow High

Product

BreadthBroad

Narrow

Retailing MixRetailing Mix

PricingPricing MarkdownMarkdown Everyday Low PricingEveryday Low Pricing Everyday Fair PricingEveryday Fair Pricing ShrinkageShrinkage Off-price RetailingOff-price Retailing

Warehouse clubWarehouse club Outlet storeOutlet store Single-priceSingle-price

Retailing MixRetailing Mix

Store LocationStore Location Central business Central business

districtdistrict Regional shopping Regional shopping

centerscenters Community Community

shopping centershopping center Strip locationStrip location

Power centerPower center Source: http://www.forbes.com

Retailing MixRetailing Mix

AtmosphericsAtmospherics Employee type and Employee type and

densitydensity Merchandise type Merchandise type

and densityand density Fixture type and Fixture type and

densitydensity SoundSound OdorsOdors VisualsVisuals Source: http://www.shop-eat-surf.com

Nature of RetailingNature of Retailing

The Wheel of RetailingThe Wheel of Retailing

Retail Life CycleRetail Life Cycle

The Future of RetailingThe Future of Retailing

Multichannel Multichannel RetailingRetailing

Smart CardsSmart Cards M-commerceM-commerce Changing Changing

preferencespreferences Precision shoppingPrecision shopping CobrandingCobranding

Source: http://techhook.com