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Week 8 (Module 10)
Terms in this set (52)
All the activities involved in selling goods or services directly to final consumers for their personal, nonbusiness use
A business whose sales come primarily from retailing.
Focusing the entire marketing process on turning shoppers into buyers as they approach the point of sale, whether during in-store, online, or mobile-shopping
Creating a seamless cross-channel buying experience that integrates in-store, online, and mobile shopping
serve customers who are willing to perform their own locate-compare-select process to save time or money
Limited service retailers
provide more sales assistance because they carry more shopping goods about which customers need information; increased operating costs thus higher prices; examples - Sears, JCPenny
Full service retailers
assist customers in every phase of the shopping process; usually carry more specialty goods; examples - Nordstrom, Neiman Marcus
A retail store that carries a narrow product line with a deep assortment within that line.
A retail store that carries a wide variety of product lines, each operated as a separate department managed by specialist buyers or merchandisers
A large, low-cost, low-margin, high-volume, self-service store that carries a wide variety of grocery and household products.
A small store, located near a residential area, that is open long hours seven days a week and carries a limited line of high-turnover convenience goods
A store much larger than a regular supermarket that offers a large assortment of routinely purchased food products, nonfood items, and services
A giant specialty store that carries a very deep assortment of a particular line; examples - BestBuy, Petco, Bed Bath N Beyond
A retailer whose product line is actually a service; examples include hotels, airlines, banks, colleges, and many others.
A retail operation that sells standard merchandise at lower prices by accepting lower margins and selling at higher volume;
Ex: dollar general
Off price retailers
A retailer that buys at less-than-regular wholesale prices and sells at less than retail
Ex: TJMaxx, Homegoods, Marshalls
An off-price retailing operation that is owned and operated by a manufacturer and normal carries the manufacturers surplus, discounted, or irregular goods
An off-price retailer that sells a limited selection of brand name grocery items, appliance, clothing, and other goods at deep discounts to members who pay annual membership fees
Types of Retail Organizations
Two or more outlets that are commonly owned and controlled.
a wholesaler-sponsored group of independent retailers that engages in group buying and common merchandising;
Ex: Western Auto, Independent Grocer Association, True Value Hardware Stores
a group of independent retailers that bands together to set up a jointly owned, central wholesale operation and conduct joint merchandising and promotion efforts;
Ex: Associated Grocers, Ace Hardware
A contractual association between a manufacturer, wholesaler, or service organization (a franchisor) and independent businesspeople (franchisees) who buy the right to own and operate one or more units in the franchise system
A group of retail businesses built on a site that is planned, developed, owned, and managed as a unit.
Merging of consumers, products, prices, and retailers
The shopping practice of coming into retail store showrooms to check out merchandise and prices but instead buying from an online-only rival, sometimes while in the store
Value delivery network
A network composed of the company, suppliers, distributors, and, ultimately, customers who partner with each other to improve the performance of the entire system in delivering customer value.
Marketing channel (distribution channel)
A set of interdependent organizations that help make a product or service available for use or consumption by the consumer or business user.
Information - Gathering/analyzing research and intelligence
Promotion - Persuading consumers to buy product
Contact - Meeting potential buyers
Matching - Adjusting product offer to meet buyer's needs
Negotiation - Reaching agreement on price
Members of the marketing channel help complete transactions by
Physical distribution - Transporting goods
Financing - Funding the costs of the channel work
Risk taking - Assuming risks/responsibility of channel work
Members of the marketing channel help fulfill completed transactions by:
A layer of intermediaries that performs some work in bringing the product and its ownership closer to the final buyer
Direct marketing channel
A marketing channel that has no intermediary levels
Ex: Geico, AMWAY
Indirect marketing channel
A marketing channel containing one or more intermediary levels.
Multichannel distribution system
A distribution system in which a single firm sets up two or more marketing channels to reach one or more customer segments.
The cutting out of marketing channel intermediaries by product or service producers or the displacement of traditional resellers by radical new types of intermediaries.
Marketing channel design
Designing effective marketing channels by analyzing customer needs, setting channel objectives, identifying major channel alternatives, and evaluating those alternatives.
Stocking the product in as many outlets as possible
Giving a limited number of dealers the exclusive right to distribute the company's products in their territories.
The use of more than one but fewer than all of the intermediaries that are willing to carry the company's products.
Marketing channel management
Selecting, managing, and motivating individual channel members and evaluating their performance over time.
The number of intermediaries that a product has to go through before it reaches the final consumer.
How easy it is for retailer to connect to consumer
The number of outlets available to consumers.
Customer's willingness to travel and search for product.
Retailers are the ______ to the customer
True/False: Retailers have leverage over vendors
In retail marketing, retailers should _______ and _______ their target markets, then _________ and _________ themselves in those markets
When making marketing decisions, retailers must decide on three major product variables that helped differentiate themselves from competitors:
Retailing approach that encompasses all contemporary methods used to engage customers at emotional, sensory, and participatory levels as they shop
Retailer promotion tools:
Retail service strategies:
High mark ups on low volume
Specialty stores usually use this pricing strategy:
Low markups on high volume
Mass merchandiser and discount stores usually use this pricing strategy:
Number/assortment of product lines
Amount of product information
Amount of product customization
Complexity of product offering is determined by:
THIS SET IS OFTEN IN FOLDERS WITH...
Marketing Module 11
Marketing Module 12
Marketing Module 13
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