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Types of Retailers
What is the opportunity?
Environmental Factors: “Story of Stuff” (on blog) Macro- Environment Competitors Customers Micro- Environment Technology Social Issues Ethical/Legal Issues Political Issues Environmental Issues RETAILER
Describing Different Types of Retailers (Retail Mix) Customer Service Store Design & Display Location Communications Mix Merchandise Assortments Pricing Retail  Strategy
General Trends in Retailing ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Describing Different Types of Retailers (Retail Mix) Customer Service Store Design & Display Location Communications Mix Merchandise Assortments Pricing Retail  Strategy Type of Merchandise Variety and Assortment
A Critical Decision Variety Assortment Services Pricing
“ Blockbuster was not concerned about Netflix because its research showed more than 90% of video renters decide on the videos they want to watch the same day they rent them.”
Environmental Factors Macro- Environment Competitors Customers Micro- Environment Technology Social Issues Ethical/Legal Issues Political & Economic Issues Environmental Issues RETAILER
Oops...
Now this?
Apple Looking Less Shiny? Look Again. Text "When Steve came to us with this idea, it was a no-brainer," says Jim Gianopolus, CEO of News Corp.'s (NWS) 20th Century Fox. While he admits there are many other ways to get movies, he thinks Apple can cut through the clutter. "I think this will be a transformative version of the rental model," Gianopolus says.  Holders of Blockbuster (BBI) shares appear to concur. The company's shares plunged 17%  amid concern Apple will eat into its film-rental business. January 16, 2008
Apple’s Strategy: Adding “Transformative”  Service Variety Assortment Services Pricing
Characteristics of Food Retailers
Group Activity Variety Assortment Services Pricing
[object Object],[object Object],[object Object],[object Object],Group Activity Online Services
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Group Activity Online Services
[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],How supermarkets are competing
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Types of General Merchandise Retailers
Department stores in an eroding market ,[object Object],[object Object],[object Object],Royalty-Free/CORBIS
Why Sears Must Engineer Its Own Makeover Text “ With a potential recession on the horizon, retail experts say it is now clear Chairman Edward S. Lampert must engineer a radical makeover of the 121-year-old retailer to prove it can thrive alongside bigger rivals. To halt the sales and profit declines, the company's Sears and Kmart stores must forge new roles for themselves that will distinguish them in customers' eyes from competitors such as Kohl's Corp., J.C. Penney Co., Target Corp. and Wal-Mart Stores Inc. January 16, 2008
Issues in Discount Store Retailing ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],McGraw-Hill Companies, Inc./Gary He, photographer
[object Object],[object Object],[object Object],[object Object],[object Object],Issues in Specialty Store Retailing McGraw-Hill Companies, Inc./Gary He, photographer
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Issues in Drug Store Retailing
[object Object],[object Object],[object Object],[object Object],Category Specialists Ryan McVay/Getty Images
Services vs. Merchandise Retailers Intangibility   -Problems in Evaluating Service Quality   -Performance of Service Provider Simultaneous Production and Delivery   -Importance of Service Provider Perishability   -No Inventory, Must Fill Capacity Inconsistency of the Offering   -Importance of HR Management
Article Summary Assignment #1: Write a two-page paper that addresses these issues ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Customer Service Retail  Strategy Store Design & Display Location Communications Mix Merchandise Assortments Pricing Macro- Environment Competitors Customers Micro- Environment Technology Social Issues Ethical/Legal Issues Political & Economic Issues Environmental Issues RETAILER

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Bus425 Chapter2

  • 2. What is the opportunity?
  • 3. Environmental Factors: “Story of Stuff” (on blog) Macro- Environment Competitors Customers Micro- Environment Technology Social Issues Ethical/Legal Issues Political Issues Environmental Issues RETAILER
  • 4. Describing Different Types of Retailers (Retail Mix) Customer Service Store Design & Display Location Communications Mix Merchandise Assortments Pricing Retail Strategy
  • 5.
  • 6. Describing Different Types of Retailers (Retail Mix) Customer Service Store Design & Display Location Communications Mix Merchandise Assortments Pricing Retail Strategy Type of Merchandise Variety and Assortment
  • 7. A Critical Decision Variety Assortment Services Pricing
  • 8. “ Blockbuster was not concerned about Netflix because its research showed more than 90% of video renters decide on the videos they want to watch the same day they rent them.”
  • 9. Environmental Factors Macro- Environment Competitors Customers Micro- Environment Technology Social Issues Ethical/Legal Issues Political & Economic Issues Environmental Issues RETAILER
  • 12. Apple Looking Less Shiny? Look Again. Text "When Steve came to us with this idea, it was a no-brainer," says Jim Gianopolus, CEO of News Corp.'s (NWS) 20th Century Fox. While he admits there are many other ways to get movies, he thinks Apple can cut through the clutter. "I think this will be a transformative version of the rental model," Gianopolus says. Holders of Blockbuster (BBI) shares appear to concur. The company's shares plunged 17% amid concern Apple will eat into its film-rental business. January 16, 2008
  • 13. Apple’s Strategy: Adding “Transformative” Service Variety Assortment Services Pricing
  • 15. Group Activity Variety Assortment Services Pricing
  • 16.
  • 17.
  • 18.
  • 19.
  • 20.
  • 21.
  • 22. Why Sears Must Engineer Its Own Makeover Text “ With a potential recession on the horizon, retail experts say it is now clear Chairman Edward S. Lampert must engineer a radical makeover of the 121-year-old retailer to prove it can thrive alongside bigger rivals. To halt the sales and profit declines, the company's Sears and Kmart stores must forge new roles for themselves that will distinguish them in customers' eyes from competitors such as Kohl's Corp., J.C. Penney Co., Target Corp. and Wal-Mart Stores Inc. January 16, 2008
  • 23.
  • 24.
  • 25.
  • 26.
  • 27. Services vs. Merchandise Retailers Intangibility -Problems in Evaluating Service Quality -Performance of Service Provider Simultaneous Production and Delivery -Importance of Service Provider Perishability -No Inventory, Must Fill Capacity Inconsistency of the Offering -Importance of HR Management
  • 28.