Chapter 12

Chapter 12 - Chapter 12: Retailers, Wholesalers, and their...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter 12: Retailers, Wholesalers, and their strategy planning o Retailers and wholesalers plan their own strategies To provide value for target market o Retailing : covers all activities involved in sale of products to final consumers In case of service retailing-retailer is also the producer Crucial to consumers in every macro-marketing system Consumers spend more than 4.5 trillion a year buying goods/services from US retailers o Planning a retailers strategy Retailers interact directly with final consumers Different consumers prefer different kinds of retailers Many retailers don't know why or care why Retailers whole offering is its product Also includes salesclerks, convenience, and the like Features of offering relate to needs Economic needs Convenience Product selection Special services Fairness in dealings Helpful info Prices Social and economic needs Social image Shopping atmosphere Retailer should consciously make decisions that set policies on all of the preceding issues Also needs to use segmentation and positioning Different types of retailers emphasize different strategies o Conventional retailers-try to avoid price competition General stores: carried anything they could sell in reasonable volume 150 years ago-were main retailers in the US Then they began specializing Now most are single line or limited line stores: specialize in certain lines of related products rather than a wide assortment Can satisfy some target markets better Adjust to suit specific customers But are being squeezed by retailers who modify their mixes in various ways o Expand assortment and service-to compete at a high price Specialty shop : type of conventional limited-line store-usually small and has a distinct personality Unique product assortment, knowledgeable sales clerks, better service Department stores : larger stores that are organized into many separate departments and offer many product lines Strong in customer service In US have been declining in 1970s o Evolution of mass merchandising retailers
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Mass merchandising concept : says retailers should offer low prices to get faster turnover and greater sales volume by appealing to larger markets Supermarkets: large stores specializing in groceries with self service and wide assortments Started move to mass merchandising 45,000+ items Average 47500 sq. feet Planned for maximum efficiency Discount houses: offer hard goods at substantial price cuts to customers who would go to the discount's low rent store, pay cash, and take care of any service or
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 5

Chapter 12 - Chapter 12: Retailers, Wholesalers, and their...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online