Lecture Marketing: The core (5/e): Chapter 13 – Kerin, Hartley, Rudelius

Chapter 13: Retailing and wholesaling. In this chapter, you learned to: Identify retailers in terms of theutilities they provide, explain the alternative ways toclassify retail outlets, describe the many methods of nonstore retailing, specify the retailing mix actions used to implement a retailing strategy, explain changes in retailing with the wheel of retailing and the retail life cycle concepts, describe the types of firms that perform wholesaling activities and their functions.

LO1 Identify retailers in terms of the

utilities they provide.

Explain the alternative ways to classify retail outlets.

LO2

LEARNING OBJECTIVES (LO)

AFTER READING CHAPTER 13, YOU SHOULD BE ABLE TO:

Describe the many methods of nonstore retailing.

LO3

LEARNING OBJECTIVES (LO)

AFTER READING CHAPTER 13, YOU SHOULD BE ABLE TO:

LO4 Specify the retailing mix actions used

to implement a retailing strategy.

Explain changes in retailing with the wheel of retailing and the retail life cycle concepts.

LO5

Describe the types of firms that perform wholesaling activities and their functions.

LO6

RETAILERS LOVE IT

WHEN THE MAYOR VISITS!

THE VALUE OF RETAILING

FIGURE 13-1 Which retailer best provides

which utilities?

CLASSIFYING RETAIL OUTLETS

LO2

 Level of Service

 Form of Ownership

 Merchandise Line

MAKING RESPONSIBLE DECISIONS

GREEN ISN’T JUST A COLOR TO RETAILERS

IT’S A VALUE!

LO2

CLASSIFYING RETAIL OUTLETS

CLASSIFYING RETAIL OUTLETS

 Product-Distribution Franchises

FIGURE 13-2 Stores vary in terms of the

breadth and depth of their merchandise

lines

 Depth of Product Line

CLASSIFYING RETAIL OUTLETS

TYPE OF MERCHANDISE LINE

LO2

• Specialty Outlets

• Category Killers

 Breadth of Product Line

CLASSIFYING RETAIL OUTLETS

TYPE OF MERCHANDISE LINE

LO2

• General Merchandise Stores

• Scrambled Merchandising

 Hypermarket  Supercenter

FIGURE 13-A For Lands’ End, intertype

competition means that there is competition

between various dissimilar retail outlets

FIGURE 13-B Many retailing activities do

not involve a store

FIGURE 13-3 Elements of a retailing

strategy

RETAILING STRATEGY

RETAILING MIX

LO4

 Everyday Low Pricing (EDLP)

 Everyday Fair Pricing

 Benchmark or Signpost Items

RETAILING STRATEGY

RETAILING MIX

LO4

 Store Location

• Regional Shopping Centers

• Central Business District

 Anchor Stores

• Strip Mall

• Community Shopping Center

USING MARKETING DASHBOARDS

Why Apple Stores May Be the Best in the United States!

Sales per Square Foot ($) and Same Store Sales Growth (%)

Selling Area in Square Feet (#)

LO4

RETAILING STRATEGY

POSITIONING A RETAIL STORE

LO4

 Retail Positioning Matrix

• Breadth of Product Line

• Value Added

FIGURE 13-C The four positioning

strategies for retailers

THE CHANGING NATURE OF RETAILING

THE WHEEL OF RETAILING AND RETAIL LIFE CYCLE

LO5

 Wheel of Retailing

 Retail Life Cycle

FIGURE 13-4 The wheel of retailing

describes how outlets change over time

FIGURE 13-5 The retail life cycle describes

the stage of growth and decline for retail

outlets

 Merchant Wholesalers

• Full-Service Wholesalers

 General Merchandise (Full-Line) Wholesalers

 Specialty Merchandise (Limited-Line) Wholesalers

WHOLESALING

LO6

 Merchant Wholesalers

• Limited-Service Wholesalers

 Rack Jobbers

 Cash and Carry Wholesalers

 Drop Shippers/Desk Jobbers

 Truck Jobbers

WHOLESALING

LO6

• Manufacturer’s Agents or Representatives