WHAT IS RETAILING?
all the activities in selling products
or services directly to final consumers for
their personal, non-business use
are businesses whose sales come primarily
According to Kotler: “Retailing includes all the
activities involved in selling goods or services to the
final consumers for personal, non business use”
It is responsible for matching individual demands of
the consumer with supplies of all the
The various processes which help the customers to
procure the desired merchandise from the retail
stores for their end use refer to retail management.
Retail management includes all the steps required
to bring the customers into the store and fulfill their
RETAIL FUNCTIONS IN DISTRIBUTION
A Typical Channel of Distribution
Retailers role in sorting process
Retailer giving maximum local
convenience to customer.
Variety of stocks & brands.
Attracts the consumers.
Provide after sale service.
Last outlet for distribution.
Retailers are absolutely essential in meeting daily
Personal services & wide selection of goods.
Retailers offered durable & costly goods.
Retailers often act as the contact between
manufacturers, wholesalers, & customers.
Retailers communicate with
customers, wholesalers & manufacturers..
Retailers also complete transactions with
customers i.e., having convenient locations, filling
order promptly & accurately, & processing credit
Some retailers also provide customer services such
as gifts wrapping, delivery, & installation.
TYPES OF RETAILERS
carry narrow product lines with deep assortments within
the product lines
carry a wide variety of product lines
carry a limited line of high-turnover convenience goods
offer a large assortment of routinely purchased food
products, no food items, and services
have very large combination food and discount stores
TYPES OF RETAILERS
sell standard merchandise at lower prices by accepting
lower margins and selling higher volume
buy at less than regular wholesale prices and charge
customers less than retail
Independent off-price retailers either are owned and
run by entrepreneurs or are divisions of larger retail
are producer-operated stores
are large warehouse-like facilities with few frills and offer
Retailers who sell over the Internet
BENEFITS OF E-RETAIL TO A BUYER
Wider product availability & wider buying
Ability to shop 24/7 and easy comparison
Quick delivery of digital products
What to sell online
Books and music
Health and beauty
Apparel and clothing
SUCCESSFUL E-RETAILERS ACROSS THE
Amazon – www.amazon.com – Books
Dell – www.dell.com - Computer hardware
Marks and Spencer – www.marksandspencer.com –
Some factors stimulating
globalization of retailing
are the maturation of the
domestic market, the
development of skills and
systems to effectively
operations, and the
removal of trade barriers