The Evolution of Retail
Why is Retail Important?
-Economic Impact of Retailers
-Globalization of Retail
-Play Across World
*Involves every sale to the final consumer
*Retailers must add value to the product
*Interacts with everything w
Class Notes 8/25/14
Integrated marketing uses all channels to build brand equity.
By tradition, things didnt use to always be integrated.
Integrated means that the whole business communic
Why location is so important: (4)
Prime consideration of a customers choice of where to
b. Find it on Google
Strategic Importance [Non-copyable] (Sustainable
Place = Most
Trade Area Analysis
The area where the highest probability of shoppers will come from
Sequences of Issues in Location for a convenience goods retailer
o Regional issue, due to distribution center capabilities
o Selection of best availa
If revenue maximization is the objective that keeps suppliers and retailers working
together in category management, the retail buyer must be concerned with managing
category costs of goods sold to maintain strong gross margins
Private labels are an attra
Costs of Depth
Display space is a decision reflecting:
Daily product movement
Product service levels
Inventory and replenishment cost tradeoffs
Strategic goals for the category
Suppose the Category is given a fixed amount of space
Space becomes more
2 or 3 store brands that help appeal to different price segments
Always Save & Best Choice
Market Pantry & Archers Farms
Span a # of different products but within a specific merchandise ca
When Defining the Category, the 2 dimensions to the category are:
Market structure and preference segmentation
An important reason a retail buyer must be concerned with differentiation with the
These brands are expected to be stocked at a
Growing The Category
Demographics: Brands & trade areas
Depth: Importance of variety, brands, substitution effects
Differentiation: Unique items
Deal: Participation in supplier promotions
Dependence: Private label
Manufacturers dont want a lot of di
The act of determining what products will be offered in the retail assortment.
What amounts will be purchased.
Knows why the stores customers will prefer these products.
What locations will carry which products.