Presented by, - Pratik PankajRETATILING INDUSTRY Shabbir PriyaIN INDIA. Deepika khusbu
RETAILING: AN OVERVIEW INDIAN RETAILING LARGEST EMPLOYER AFTER AGRICULTURE- 8% OF An POPULATION.oviervie w HIGHEST OUTLET DESTINY IN WORLD. AROUND 12 mn OUTLETS. STILL EVOLVING AS AN INDUSTRY. LONG WAY TO GO.
India’s advantage India ranked 1st in the Global AT Keareny retail development index india Russia China
INDIAN RETAIL MARKET Traditional format retaliers Kiranas Kiosks Street market Exclusive/multiple brand outlets
Objectives Determine the types of organizations in this sector. Learn what marketing decisions organizations in this sector make. Understand the major trends in this sector.
Retailing Retail life cycle Retailing Basics Wheel-of-retailing Service levels Types of retailers Retail positioning Marketing strategies decisions Nonstore retailing Retailing trends Corporate retailing
Retailing Major Store Retailer Types Specialty store Discount store Department Convenience store store Supermarket Off-price retailer Superstore
Retailing Retail-store types pass through the retail life cycle. The wheel-of-retailing describes how new store types emerge. Retailers can offer one of four levels of service: Self-service,self-selection, limited service, and full service
Retailing Four broad retail positioning strategies include: Bloomingdale’s Tiffany Sunglass Hut Wal-Mart Non-store retailing has been growing faster than store retailing
RetailingSlide 11 inChapter 15 Retailing Basics Target market Product assortment and placement Types of retailers Services mix and Marketing store atmosphere decisions Price Retailing trends Promotion Place To accompany A Framework for Marketing Management, 2nd Edition
Retailing Location Options for Retailers General business Strip mall (shopping district strip) Regional shopping Location within a center larger store or Community operation shopping center
Retailing New retail forms Retailing Basics Intertype competition Growth of giant retailers Types of retailers Technology Marketing Global expansion decisions Selling experiences Competition between Retailing trends store-based and non- store-based retailing
RetailingAll activities involved in selling goods &services directly to final consumer for personal,non-business use.
Target Market 1. A retailer’s most important decision concerns the target market. 2. Periodic marketing research is a must to ensure that ,reaching their target customers.
Product Assortment Must match the target market’s shopping expectations. The retailer has to decide on product-assortment breadth and depth. Differentiation strategy. Some possibilities are: Feature exclusive national brands not available at competing retailers Feature mostly private branded merchandise Feature surprise or ever-changing merchandise Feature latest merchandise first Offer a highly targeted assortment
StoreServices:Decide on the services mix o Pre-purchase services like accepting telephone and mail orders o Post-purchase services like shipping and delivery o Ancillary services like parking, restaurants etc.
Place decisionLocation Decision: Key to Success.High traffic- High Rent General business districts Regional shopping centers Community shopping centers/ malls etc.Sales Effectiveness by:1. Number of people passing2. Percentage who Enter the store.3. Percentage who buy.4. Average amount per sale.
StoreAtmosphereLook and physical layout that makes hard or easy to move out. Walls: Earthy tone that convey freshness. Lighting: Warm accent lights that direct attention to products. Signate: Add big picture of healthy food. Produce Department: Enlarge the section. Floors: Wood, plastic etc floors for perishable items Bakery: The centre point etc.
Retailing FormsRetailing can be done in two ways: 1. Store. 2. Non Store.
Types of Retailersa. Specialty Store: Narrow Product line with a deep assortment, such as apparel stores, furniture stores, bookstores etc.b. Department Store: Several Product lines. typical clothing, home furnishings and household goodsc. Super market: Relatively large, low cost low margin, high volume, self service operation designed to serve total needs for food, laundry and household maintenance products
d. Convenience Store: Relatively small store located near residential area, open long hours seven days a week carrying a limited line of high turnover convenience products at slightly higher pricese. Discount store: Standard merchandise sold at lower prices with lower margins higher volumesf. Off-Price Retailer: Merchandise bought at less than regular wholesale price sold at less than retail; often left over goods, overruns and irregulars obtained at lower prices.
Retail Services Retailers can position themselves as offering one of four levels of service:a. Self-service: It is corner stone of all discount operations.b. Self selection: Customers find their own goods, although they can ask for assistance
c. Limited service: These retailers carry more shopping goods and customers need more information and assistance d. Full Service: Sales people are ready to assist in every phase of the locate- compare-select process.
Non StoreRetailing:1. Direct Selling.: Multilevel Selling or network Selling. Eg Amway etc2. Direct Marketing.: Telemarketing, Internet Marketing, mailing etc.3. Automatic Wending.: Kiosks.4. Buying Service. Eg Sodexo pass.:
Retail positioningstrategies :By combining these different service levelswith different assortment breadths, we candistinguish the four broad positioningstrategies available to retailers .
Trends in Retailing Departmental stores to malls, one-stop shopping Marketing channels are increasingly becoming professionally managed and programmed. New store formats launched Technology as a competitive tool for inventory management, fund transfer etc. Retailers with unique formats and strong brand positioning are moving to other countries like McDonalds etc Rise in establishments that provide a place for people to
Conclusion: Retailing business owner use strategic planning, advanced information system, and sophisticated marketing tools. They measure performance more on return on investement basis than on profit margin basis. They segment their market, improve their targeting and positioning.