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  1. 1. TOP 10 Learning Concepts Chapter 16: Managing Retailing, Wholesaling, and Logistics Jerold I. Saddi May 10, 2012
  2. 2. Outline:Top 10 Concepts of Managing Retailing, Wholesaling, and Logistics To manage effectively, one should know the following: 1. Major Retailer Types 2. Levels of Retail Service 3. Retail Positioning Map 4. Nonstore Retailing 5. Retailer’s Marketing Decision
  3. 3. Outline:Top 10 Concepts of Managing Retailing, Wholesaling, and Logistics Plus.. 6. Retailer Services Mix 7. Location Decision 8. Major Wholesaler Types 9. Market Logistic Decisions 10. Transportation Factors
  4. 4. Concept 1: Major Retailer TypesTo demonstrate I will use banks as example…Specialty StoreDepartment StoreSupermarketConvenience Store
  5. 5. Also…Discount StoreOff-price retailerSuperstoreCatalog Showroom
  6. 6. Concept 2:Retailers can offer one of thefour levels of service..In opening a bank account you may choose yourpreferential bank…Where  Self – Selection begins…
  7. 7. Concept 2:You may either choose some of the banks service features..If you’re always on the go, choose BDO for you can find BDOATMs anywhere… Self-Service
  8. 8. Concept 2:If you want extra mile of service, choose BPI.. FULL SERVICE
  9. 9. Concept 2:If you often sends Telegraphic transfers abroad,choose HSBC but with LIMITED SERVICE DUE TO ITS Limited Branches in the country…
  10. 10. Concept 3:Retail Positioning Map broad Breadth of Product Line Narrow Low High Value Added
  11. 11. Concept 4:Nonstore RetailingTo market clients, Banks would do the following: Direct Selling Managers will convince you to get a credit card.. Direct Marketing Put posters in their branches..
  12. 12. Concept 4:Non Store Retailing Automatic Vending Buying Service
  13. 13. Concept 5: Retailer’s Marketing DecisionBank’s position their branches basedon their.. TARGET MARKET PRODUCT ASSORTMENT
  14. 14. Concept 5:Retailer’s Marketing Decision PROCUREMENT PRICES Determine rates.. SERVICES Determine the manpower needed…
  15. 15. Concept 5:Retailer’s Marketing Decision Store Atmosphere Store Activities Communications Locations
  16. 16. Concept 6: Retailer Services MixTo convince you to open an account, managersmay invite you for a coffee break..  Prepurchase services  Postpurchase Services Managers will deliver your passbook to your doorsteps..
  17. 17. Concept 6: Retailer Services Mix  Ancillary ServicesIf you incur overdraft on yourchecking account, they will waiveit the charges…
  18. 18. Concept 7: Location Decisions Banks will strategize to position their branches to get a substantial market share on the deposits…Central Business DistrictsRegional Shopping Centers
  19. 19. Concept 7:Location DecisionsCommunity Shopping CentersShopping StripsLocation within a larger store
  20. 20. Concept 8:Major Wholesaler Types Merchant Full-Service
  21. 21. Concept 8:Major Wholesaler Types Limited Service Brokers and Agents
  22. 22. Concept 8:Major Wholesaler Types Manufacturers Specialized
  23. 23. Concept 9Market Logistics Decisions In making a decision, he should answer the following: How should orders be handled? Where should stock be located? How much stock should be held? How should goods be shipped?
  24. 24. Concept 10Transportation Factors In transporting stocks, he must Speed think of the capabilities of an “Eagle”… Dependability Capability Availability Frequency Traceability Cost
  25. 25. TOP 10 Learning Concepts Chapter 16: Managing Retailing, Wholesaling, and Logistics Jerold I. Saddi May 10, 2012
  26. 26. Managing Retailing,Wholesaling, and Logistics Mary Antonette B. Viray May 10, 2012
  27. 27. Outline• What is retailing?• What are the 8 major types of retailer?• What are the 8 steps in retail category management?• What is franchising?• What is wholesaling?• What is Market logistics?
  28. 28. Retailing are all activitiesActivities
  29. 29. of selling of goods and servicesActivitiesGoods and services
  30. 30. to final consumers for personal or non business useActivitiesGoods and services Final consumerIndividual non business
  31. 31. Retailing includes all activities in selling goods and services directly to final consumers for personal, non business useActivitiesGoods and services Final consumerIndividual non business
  32. 32. There are 8 Major Types of Retailer and these are:Specialty StoreDepartment StoreSupermarketConvenience
  33. 33. And..Discount StoreOff-Price RetailerSuperstoreCatalog Showroom
  34. 34. There are 8 steps in Retail Category Management Define the categoryStep 1Step 2 Figure out its Role
  35. 35. Next steps in Retail Category Management Assess PerformanceStep 3Step 4 Set Goals
  36. 36. Followed by Choose the AudienceStep 5 Figure out TacticsStep 6
  37. 37. And Lastly to..Step 7 Implement the Plan
  38. 38. These are the Retail Category Management StepsStep 1Step 2Step 3Step 4Step 5Step 6Step 7
  39. 39. Franchises is when there isFranchisor Franchisee
  40. 40. Franchisor owns the trade mark and gives licenses to franchiseesFranchisor Franchisee gives licenses
  41. 41. In return for royalty paymentFranchisor Franchisee gives licenses royalty fee
  42. 42. The Franchisor provides its franchisees with a system and the franchisee pays the royalty feeFranchisor Franchisee gives licenses royalty fee
  43. 43. Wholesaling are all activitiesActivities
  44. 44. Wholesaling are all activities in selling goods or servicesActivities
  45. 45. Wholesaling are all activities in selling goods or services for resale or business useActivitiesGoods services Resale business use
  46. 46. Market Logistics includesTo meet customer to meet customer requirements at a profit demand planning implementing controlling to meet customer requirements at a profit
  47. 47. Self-Service Self-SelectionLimited Service Full Service
  48. 48. Automatic Vending Direct SellingDirect Marketing Buying Service
  49. 49. Department Store Specialty Store Supermarket Convenience Store
  50. 50. • Franchisor owns a trade or service• Franchisor provides system for doing business Franchisee pays for the right to be part of the system
  51. 51. Target Market PriceProduct Assortment ServicesProcurement
  52. 52. Central Business District Shopping Center Community Shopping Center
  53. 53. Walls Lighting Floors Signage
  54. 54. Ordering Warehousing Inventory
  55. 55. Selling & Promotions Warehousing Transportation Financing Risk Bearing Market Information
  56. 56. How should orders be handled?Where should Stock be located?How much stock be held?How should goods be shipped?
  57. 57. Managing Retailing, Wholesaling, andLogisticsChapter 16Maynard Anthony A. CruzGroup 5
  58. 58. Types of Major Retailers Specialty Store
  59. 59. Types of Major Retailers Supermarket
  60. 60. Types of Major Retailers Convenience Store
  61. 61. Types of Major Retailers Discount Store
  62. 62. Types of Major Retailers Department Store
  63. 63. Types of Major Retailers Off-price Retailer
  64. 64. Types of Major Retailers Superstore
  65. 65. Types of Major Retailers Catalog Showroom
  66. 66. Levels of Retail Service Full service
  67. 67. Levels of Retail Service Self-selection
  68. 68. Levels of Retail Service Limited service
  69. 69. Levels of Retail Service Self service
  70. 70. Retail Positioning MapBroad Rustan’s SMNarrow High Low
  71. 71. Retail Positioning Map Broad High
  72. 72. Retail Positioning Map Broad Low
  73. 73. Retail Positioning Map Narrow High
  74. 74. Retail Positioning Map Narrow Low
  75. 75. Nonstore Retailing Direct marketing
  76. 76. Nonstore Retailing Vending
  77. 77. Nonstore Retailing Direct selling
  78. 78. Nonstore Retailing Buying Service
  79. 79. Characteristics of Franchises Franchisor owns a trade or service
  80. 80. Characteristics of Franchises In return for royalty payments the trade or service is licensed to Franchisees
  81. 81. Characteristics of Franchises Franchisees pay for the right to be part of the system
  82. 82. Characteristics of Franchises Franchisor provides its Franchisees with a system for the business
  83. 83. Location Decision Central Business District Community Shopping Centers Shopping Strips Regional Shopping Centers Location within a larger store
  84. 84. Location Decision Central Business District
  85. 85. Location Decision Community Shopping Centers
  86. 86. Location Decision Shopping Strips
  87. 87. Location Decision Regional Shopping Centers
  88. 88. Location Decision Location within a larger store
  89. 89. Types of Wholesalers Merchant Specialized Full-service Limited-service Brokers & Agents Manufacturers
  90. 90. Retailer’s Marketing Decisions Target market Product assortment Procurement Prices Services Store atmosphere Store activities Communication Locations
  91. 91. Wholesaling Functions Selling & Promoting Warehousing Transportation Financing Risk bearing Buying Bulk breaking Market information Management services & counseling
  92. 92. Transportation Factors Cost Speed Frequency Capability Dependability Traceability Availability
  93. 93. Managing Retailing, Wholesaling, andLogisticsChapter 16Maynard Anthony A. CruzGroup 5