Chapter 1

• Define Retailing– Various Perspectives– Impact– Special Characteristics

• Concept of Strategic Planning• Relate Marketing Concept to Retailing

– Total Retail Experience– Customer Service– Relationship Retailing

The business activities involved in selling

goods and services to consumers for their

personal, or household use. It includes

every sale of goods and services to the

final consumer.

• Opportunities– Start New Business– Franchising– Globalization

• Challenges– Bored Consumers– Time Poor Society– Too Many Stores– High Consumer Expectations

• Tangible Goods

• Services

• Does NOT Always Include– Store– Retailer

• Traditional Retailers– Sales $3 Trillion in U.S

• Non-Traditional Retailers– Sales $250 Billion

• Other Services– Several Hundred Billion

• Major Source of Jobs

Manufacturer WholesalerFinal

ConsumerRetailer

• Divergent Viewpoints

• Types of Distribution– Exclusive– Intensive– Selective

• Competition in the Marketplace

• Product Image

• Slotting Allowances

• Distribution Rights

• Management

• Operations

• Merchandising

• Providing Assortment

• Breaking Bulk

• Providing Service

• Holding Inventory

Retailer

Wholesaler

Wholesaler

Wholesaler

ManufacturerBrand C

ManufacturerBrand D

ManufacturerBrand A

ManufacturerBrand B

ManufacturerBrand E

ManufacturerBrand F

Brand ACustomers

Brand BCustomers

Brand CCustomers

Brand DCustomers

Brand ECustomers

Brand FCustomers

Retailer’sStrategy

Small Average Sales Impulse Purchases

Popularity of Stores

• Define Business Type

• Set Objectives– Long-Term– Short-Term

• Determine Customer Market

• Devise Overall, Long-Run Plan

• Implement Integrated Strategy

• Evaluate Performance

RetailingConcept

RetailStrategy

Customer Orientation

Coordinated Effort

Goal Orientation

Value-Driven

Includes all the elements in a retail

offering that encourage or inhibit

consumers during their contact with a

retailer

• Intangible

• Perishable

• Inseparable

• Inconsistent

• Satisfaction Based on:– Expectation– Past Experience– Perceptions

• Total Retail Experience

• Monitor Customer Satisfaction

• Stay in Touch with Customers

• Do We Trust Our Customers?• Do We Stand Behind What We Sell? • Do We Stress Promise-Keeping in Our Firm?• Do We Value Customer Time?• Do We Communicate with Customers Respectfully?• Do We Respect ALL Customers?• Do We Thank Customers for Their Business?• Do We Respect Employees?

• The Definition of Retailing– Various Perspectives– Impact– Special Characteristics

• Concept of Strategic Planning• How the Marketing Concept Relates

to Retailing– Total Retail Experience– Customer Service– Relationship Retailing

Questions?

Questions?

Question

s?

Questions?

Questions?