（营销原理）ppt课件

1,Chapter 15 Retailing,2,Chapter 15,Skip Size of Markets and Firms,3,Nature and Importance of Retailing,1. Retailing and Retailers “Retailing” (or retail trade) consists of all activities directly related to the sale of goods and services to ultimate consumers for personal, non-business use. A “retailer” is a firm or individual primarily engaged in retailing. 2. Economic Justification for Retailing It is easy to become a retailer because: - No large investment in production equipment is required. - Merchandise can be purchased on credit. - Store space can be leased with no down payment.,4,Nature and Importance of Retailing,3. Operating Expenses and Profits of a Retailer: 3.1 Higher retailing costs 3.2 Expected to have convenient locations 3.3 Retailers have lower rate of total sales and merchandise turnover, compared to wholesalers. 3.4 Retailers costs and profits are depending on their type of operation and major product line. 3.5 Usually, supermarket items have low margin while clothing items have high margin. 3.6 Retailers that have high margin or markup do not necessarily have the highest level of profitability.,5,Nature and Importance of Retailing,4. Physical Facilities Location: surrounding population, traffic, and cost Size: stores size in relation to sales Design: looks of store Layout: amount of space SHOPPING CENTER consists of a planned grouping of retail stores that lease space in a structure that is typically owned by a single organization.,6,Classification of Retailers,1. Form of ownership 1.1 Corporate Chain is an organization of two or more centrally owned and managed stores that generally handle the same lines of products. - Centralized management and standardized operation. 1.2 Independent Store or an independent retailer is a company with a single store - Independent stores have higher prices than chain stores.,7,Classification of Retailers,1.3 Contractual Vertical Marketing Systems: 1.3.1 Retailer Cooperatives and Voluntary Chains “Retailer cooperative” is formed by group of small retailers that agree to establish and operate a wholesale warehouse. “Wholesaler-sponsored Voluntary chain” is sponsored by a wholesaler that enters into a contract with interested retailers.,8,1.3 Contractual Vertical Marketing Systems : 1.3.2 Franchise Systems the right use its trademark and management assistance in return for payments There are 2 kinds of franchising: - Product and trade name franchising a supplier (the franchisor) authorizes a dealer (the franchisee) to sell a product line, using the parent companys trade name for promotional purposes. - Business format franchising covers an entire method (or format) for operating a business e.g., KFC, MCDonalds.,Classification of Retailers,9,Classification of Retailers,2. Marketing strategies 2.1 Breadth and depth of product assortment 2.2 Price level 2.3 Amount of customer service 2.1 Department Stores a very broad and deep product assortment, not compete on the basis of price, and provide a wide customer services.,10,Classification of Retailers,2.2 Discount Retailing Use comparatively low prices as a major selling point Discount Stores a broad, shallow product assortment, low prices, and few customers services. Supercenter A combined discount store and grocery store 2.3 Limited-Line Stores A narrow but deep product assortment and selected customer services that vary from store to store. A limited-line store may choose to concentrate on: - Several related product lines - A single product line - Part of one product line,11,Classification of Retailers,2.3.1 Specialty Stores A very narrow and deep product assortment, often concentrating on a specialized product line, emphasizing extensive customer services, knowledgeable and friendly sales help e.g., Teddy Bear store. 2.3.2 Off-Price Retailers Also offer lower prices on selected product lines, featuring narrow, deep product assortment, few customer services, often concentrating on well-known producers brands. Factory Outlets Sell a single companys merchandise, mainly clearance items and irregular merchandise. 11,12,Classification of Retailers,2.3.3 Category-Killer Stores Have a narrow but very deep assortment, low prices, and few to moderate customer service. They are designed to destroy all competition in a specific product category. 2.4 Supermarkets A retail institution that has a moderately broad, moderately deep product assortment and some-food lines with few customers services. “Offensive Price” using low prices to attract customers. “Defensive Price” relying on leader pricing to avoid price disadvantage.,13,Classification of Retailers,2.5 Convenience Stores Concentrate on selected groceries and nonfoods, locate near residential areas, open at extensive hours but the prices are higher, and offer few customer services. 2.6 Warehouse Clubs or “Wholesale Club” A combined retailing and wholesaling institution, with very broad but shallow product assortments, extremely low prices, and few customer services. Warehouse clubs are opened to members only.,14,Nonstore Retailing,Nonstore Retailing refers to retailing activities in transactions that occur away from a physical retail store. 1. Direct Selling or “In-Home Selling” is personal contact between a sales person and a consumer away from a retail store. 1.1 Door-to-door selling 1.2 Party-plan selling,15,Direct Selling or “In-Home Selling”,Advantages - Commissions are paid only when a sale is made. - It is more convenient for consumers to shop at home or non-store locations. - The boldest method to persuade ultimate consumers. Disadvantages - High commissions costs. - Difficulty in recruiting, training, motivating and retaining good sales people.,16,Nonstore Retailing,2. Telemarketing refers to a sales person initiating contact with a shopper and closing a sale over the telephone. Advantages - Lower costs through the use of automatic-dialing computers. - Customers can do shopping at home Disadvantages - High turnover rate of telemarketing personnel. - Intruding privacy of consumers. - Encountering hostile people on the other end of the line.,17,Nonstore Retailing,3. Automatic Vending The sale of products through machine with no personal contact between buyer and seller. 4. Online retailing A firm uses its website to offer products for sale and then ultimate consumer use their computers to make purchases from the company. 5. Direct Marketing Using print or broadcast advertising to contact consumers who purchase products without visiting retail stores. No personal contact is required.,18,5. Direct Marketing,5.1 Direct mail - Firms mail letters, brochures, and even product samples to consumers, and ask them to purchase by mail or telephone. 5.2 Catalog retailing - Companies mail catalogs to consumers or make them available at retail stores. 5.3 Televised shopping - Products are promoted on dedicated TV channels and throu