This document discusses retailing and wholesaling. It defines retailing as selling goods directly to consumers, and a retailer as a business that primarily generates sales through retailing. There are two types of retailing: store retailing like supermarkets and department stores, and non-store retailing like online sales. Retailers are also classified based on their level of customer service, product line, relative prices, and organizational approach. The document then discusses retailers' marketing decisions around target markets, positioning, product assortment, prices, promotion, and place. It concludes by discussing trends in retailing like the growth of non-store formats and the challenges wholesalers face moving into the 21st century.

1. Good governance & Social
Responsibility:
Understanding Retailing
and wholesaling
BY: GROUP 4
PROFESSOR: HOLDEN ALCARAZEN

2. What is Retailing & Retailer?
RETAILING
 All activities involved in selling goods or services directly to final consumers for
their personal, non-business use.
RETAILER
 is a business whole sales come primarily from retailing.

3. 2 TYPES OF RETAILING:
STORE RETAILING
Supermarkets, Department Stores, Restaurants..

4. NON-STORE RETAILING:
via Internet, door-to-door sales, vending machines, mail-order business.

5. CLASSIFICATIONS:
 1. AMOUNT OF SERVICE
SERVICE LEVEL CUSTOMER SERVICE PRICE EFFECT TYPE OF GOODS
SELF-SERVICE
RETAILERS
“locate-compare-
select”
LOWER (DISCOUNTS) CONVENIENCE AND
BRANDED SHOPPING
GOODS
LIMITED-SERVICE
RETAILERS
SALES ASSISTANCE
AND INFORMATION
HIGHER (INCREASED
OPERATING COSTS)
SHOPPING GOODS
FULL-SERVICE
RETAILERS
FULL ASSISTANCE HIGHER (HIGHER
OPERATING COSTS)
SPECIALTY GOODS

6. 2. PRODUCT LINE SOLD
 SPECIALTY STORE
Carries a narrow product line with a deep assortment within that line.

7. DEPARTMENT STORE
Carries a wide variety of product lines-typically clothing, home furnishing,
and household goods; each line is operated as a separate department.

8. SUPERMARKETS
Large, low-cost, low-margin, high-volume, self-service store
that carries a wide variety of food, laundry, and household
products.

9. CONVENIENCE STORE
Small, located near a residential area, that is open long hours
days a week and carries limited line of high-turnover
convenience goods.

10. 3. RELATIVE PRICES
 DISCOUNT STORE
A retail institution that sells standard merchandize at lower prices by accepting
lower margins and selling at higher volumes.
 OFF-PRICE RETAILER
Buys at less-than-regular wholesale prices and sells at less than a retail examples
ae factory outlets, independent and warehouse clubs.

11. 4. ORGANIZATIONAL APPROACH
 CHAIN STORES
Two or more outlets that are owned and controlled in common have centrals
buying and merchandizing, and sells similar lines of merchandise.

12.  FRANCHISE
A contractual association between a manufacturer, wholesale, or service
organization (a franchiser) and independent business people (franchises) who buy
right to own and operate one o more franchise.

13. RETAILER MARKETING DECISIONS
RETAILER STRATEGY RETAILER MARKETING MIX
TARGET MARKET
RETAIL STORE
POSITIONING
PRODUCT AND SERVICE
ASSORTMENT
PRICES
PROMOTION
PLACE (LOCATION)

14. PRODUCT ASSORTMENT AND SERVICES
DECIOSIONS
 3 MAJOR PRODUCT VARIABLES
1. Product Assortment
2. Service Mix
3. Store Atmosphere

15. TARGET MARKET AND POSITIONING
DECISION
 Retailers first must define the markets and then
decide how will position themselves in these
markets

16. PRODUCT ASSORTMENT AND SERVICES
DECISION
 The retailer’s product assortment should differentiate the retailer while matching
target expectations.
 The service mix can also help set one retailer apart from another.
 The store must plan an atmosphere that suits the target market and moves
customer to buy.

17.  Price decision :
Price decision A retail’s price policy must fit its target market and positioning,
product and service assortment, and competition.
 Promotion decision :
Promotion decision Retailers use any or all of the promotion tools-advertising,
personal selling, sales promotion, public relations and direct marketing to reach
consumers.
 Place Decision :
Place Decision Retailers often point three critical factors in retailing success: location,
location, location

18. FUTURE OF RETAILING
 Retailers operate in a harsh and fast changing environment,
which offers threats as well as opportunities.
 Growth of non-store retailing.
 Retail convergence
 Rise of Megaretailers

19. WHOLESALING
 Wholesaling
All activities involved in selling goods and services to those buying for resale or
business use.
 Wholesaler
A firm engaged primarily in wholesaling activity.
 Merchant wholesaler
Independently owned business that take title in the merchandise it handles.

20. FUNCTIONS OF WHOLESALING
 Selling and promotion
 Buying and assortment building
 Bulk-breaking
 Warehousing
 Transportation
 Financing
 Risk bearing
 Market information
 Management Services and advices

21. TYPES OF WHOLESALER
 Full-service wholesaler
 Wholesale merchants
 Industrial distributors
 Limited-service wholesalers
 Cash-and-carry wholesalers
 Truck wholesalers (or truck
jobbers)
 Drop shippers
 Rack jobbers
 Producers’ cooperatives
 Mail-order wholesalers
 Brokers and agents
 Brokers
 Agents
 Manufacturers’ agents
 Selling agents
 Purchasing agents
 Commission merchants
 Manufacturers’ and retailers’
branches and offices

22. WHOLESALER MARKETING DECISIONS
WHOLESALER STRATEGY WHOLESALER MARKETING
MIX
TARGET MARKET
SERVICE POSITIONING
PRODUCT AND SERVICE ASSORTMENT
PRICES
PROMOTION
PLACE (LOCATION)

23. TRENDS IN WHOLESALING
 AS THE WHOLESALING INDUSTRY MOVES INTO THE
TWENTY-FIRST CENTURY, IT FACES CONSIDERABLE
CHALLENGES.