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Retailing
Price Location
Key Economic Factors Affecting Consumers Retail Choice
Product Selection
Special Services Helpful Salespeople Fairness in Dealing
13-3
Types of Retailers
Expanded assortment and service
Specialty shops and department stores
Conventional offerings
Expanded assortment and/or reduced margins/service Added convenience higher margins less assortment Expanded assortment reduced margins more information
Internet
Exhibit 13-1
13-4
Focusing on Convenience
Convenience (Food) Stores
Automatic Vending
Door-to-Door Selling
Wide Assortment
New Convenience
Shopping Differences
13-6
More Information
Retail Chains
Corporate Chains
Cooperative Chains
Voluntary Chains
Franchise Chains
13-7
Producing Profits
Progress of Fail
Types of Wholesalers
Does wholesaler own the products?
Yes (merchant wholesaler) How many functions does the wholesaler provide?
Some functions
No (agent middleman)
Agent middlemen
Catalog
Single- or General-Line
Specialty
Truck
Cash-and-Carry
13-10
Drop-Shippers
Auction Companies
Brokers
Selling Agents
13-11
Marketing Channels
Sets of interdependent organizations involved in the process of making a product or service available for use or consumption.
Push Strategy
Pull Strategy
Inventory management through a periodic review of network Integrated supply chain planning Demand forecasting based on Consumer trend secondary
Lower Inventories Lower trade spends( no attempts to boost sales where demand)
Controlling trade spends Controlling distributor expenses and service evils to prevent distributors from making
Categories of Buyers
Habitual shoppers High value deal seekers Variety-loving shoppers High-involvement shoppers
Number of Intermediaries
Exclusive Selective Intensive
Channel-Management Decisions
Selecting channel members Training channel members Motivating channel members Evaluating channel members Modifying channel members
Type of channel
Direct
Indirect
11-4
Regrouping Activities
Accumulating BulkBreaking
Sorting
Assorting
11-5
Common Objectives
Examples
Typical independents
McDonalds
Florsheim
Exhibit 11-3
11-7
Retailing
Includes all the activities involved in selling goods or services directly to final consumers for personal, nonbusiness use.
Nonstore Retailing
Direct selling Direct marketing Automatic vending Buying service
Set goals
Choose the audience
Location Decision
General business districts Regional shopping centers Community shopping centers Strip malls Location within a larger store
Trends in Retailing
New retail forms and combinations Growth of intertype competition Competition between store-based and non-store-based retailing Growth of giant retailers Decline of middle market retailers Growing investment in technology Global presence of major retailers
Wholesaling Functions
Selling and promoting Buying and assortment building Bulk breaking Warehousing Transportation Financing Risk bearing Market information Management services and counseling