Retailing
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This document discusses key concepts in retail business operations. It explains that retailers purchase goods in large quantities from manufacturers and wholesalers to sell in smaller quantities for a profit. It also discusses the importance of understanding shopper behavior, developing private label brands, and factors that impact profitability like gross margin, operating expenses, and return on net assets. Additionally, it covers topics like category mix, merchandising, comparable store sales, new stores, operating expenses components like labor and distribution centers, and inventory management factors.
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- Food retailers like convenience stores, supermarkets, superstores, combination stores, supercenters, and limited-line stores.
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The document discusses retailing and wholesaling. It defines retailing and retailers, and describes different types of retailers based on amount of service provided, product lines offered, relative pricing, and organizational approach. Retailers are classified as self-service, limited service, or full service. They can also be specialty stores, department stores, convenience stores, superstores, or category killers. Retailers differ in pricing models such as discount stores, off-price retailers, or warehouse clubs. Major retail organizational types include corporate chains, voluntary chains, cooperatives, franchises, and conglomerates. The document also defines wholesaling and describes wholesaler types and functions.
Retail management
Retail management involves promoting greater sales and customer satisfaction through understanding consumer behavior. Retailing includes selling goods and services for personal use. Retailers sort, break bulk, hold stock, provide additional services, act as communication channels, and facilitate transportation between wholesalers/suppliers and consumers. Factors influencing retail location include the range of merchandise, convenience, travel time, socioeconomic factors, and family lifecycle stage. Setting up a retail business requires considering target markets, positioning strategy, merchandising, format, customer service, and communication.
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This document provides an overview of retailing. It discusses that retailing adds value to products and services sold to consumers and involves more than just in-store sales. It also outlines the role of retailers in distribution channels, acting as the final link between manufacturers and consumers. The document summarizes key functions of retailers like providing assortments, breaking bulk, holding inventory, and offering services. It also covers theories of retail development and the evolution of retail in India.
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The document provides an overview of retailing, including key definitions and concepts. It discusses the main sectors of retailing like department stores, specialty stores, discount stores, and warehouse clubs. Some of the main challenges faced by the retail sector are changes in consumer behavior, legal and security issues, and technological changes. Retail growth can be analyzed using different theories such as the wheel of retailing, retail accordion theory, theory of natural selection, and retail lifecycle theory. Understanding retail consumers involves comprehending their shopping habits, purchasing patterns, and reactions to promotions based on factors like demographics, culture, income, and psychology.
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This document provides an overview of retailing. It defines retailing as the sale of goods or services from a business to consumers for their own use in small quantities. A retailer purchases goods from manufacturers or wholesalers and sells them to consumers. Retailing involves understanding the supply chain to ensure the right products are delivered on time and at an affordable price. There are different types of retailing including store retailing, non-store retailing, corporate retailing, internet retailing, and service retailing. Retailers play important roles like sorting products, breaking bulk, communicating with consumers and manufacturers, and marketing products.
Chapter 16 Managing Retailing, Wholesaling And Logistics Mendoza
This document contains 10 learning questions about retail, wholesaling, and logistics management. It provides definitions and examples of different types of retailers like department stores, discount stores, and supermarkets. It also distinguishes between retailers and wholesalers. Additional topics covered include levels of customer service, types of non-store retailing like direct selling and direct marketing, factors considered in retail marketing decisions, pricing strategies of retailers, private label brands, and decisions regarding inventory management and logistics.
1 Financial Accounting.pptx
The document discusses merchandising activities and key terms. It describes the core activities of merchandising companies as buying inventory from suppliers, storing and pricing products, marketing and selling to customers, fulfilling orders, and providing customer service. It outlines the income components and differences between merchandising and service businesses. Finally, it defines important merchandising terms related to inventory, pricing, vendors, and visual merchandising strategies.
Channel institutions wholesaling
Wholesalers are intermediary firms that purchase goods in bulk from manufacturers and sell them in smaller quantities to retailers. There are three main types of wholesalers: merchant wholesalers, who take ownership of goods and store them; brokers and agents, who facilitate sales but do not take ownership; and manufacturers' sales branches, which distribute their own products. Wholesalers provide benefits like expanding markets, cash flow for manufacturers, and moderating supply and demand fluctuations. New technologies, global competition, and retail consolidation are forcing wholesalers to modify their practices to remain competitive in the changing market.
Retail managment ppt
A retail chain differs from other industries in that it has sales occurring at a large number of locations, requiring inventory, point-of-sale, and accounting systems at each store. The implementation of an ERP system integrated the retail chain's stores, warehouses, and headquarters, allowing daily transactions, inventory updates, automatic price and promotion updates, and reconciliation of financial data across locations. This resolved issues around procurement, stockouts, duplicate sales reporting, and mismatching of cash and expenses.
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Retailing involves the direct sale of products and services to consumers for their personal use. Retail is driven by consumer spending which depends on disposable income and consumer confidence. Global retail sales have nearly doubled since the 1980s, with the US leading, and retail in Asian economies is growing 6-10% annually. Various types of retailers include specialty stores, department stores, supermarkets/hypermarkets, convenience stores, discount stores, and off-price retailers. Operational issues for retailers include supply chain management, pricing, sales channels, and retail strategies.
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Retailing
- 2. A retailer purchases goods or products in large quantities from manufacturers directly or through a wholesale, and then sells smaller quantities to the shoppers for a profit.
- 8. Developing countries becoming more attractive for Global retailers than developed countries.Wal Mart, Carrefour,TESCO & Metro saw double growth in developing vs. developed countries.
- 9. Key For Retail Understanding Understanding Factors of Profitability
- 10. Gross Margin Operating Expenses Operating Income RETURN ON NET ASSETS Indicates how profitable a company is relative to its net assets. Inventory Fixed Assets Net Assets DIVIDED BY
- 11. Gross Margin Operating Expenses Operating Income Critical first step to profitability. Inventory Fixed Assets Net Assets DIVIDED BY
- 13. In the broadest sense, merchandising is any practice which contributes to the sale of products to a retail consumer. At a retail in-store level, merchandising refers to the variety of products available for sale and the display of those products in such a way that it stimulates interest and entices customers to make a purchase. Retailer Creates Mixes of Wants & Needs along with Aspirations – Result Increased Basket Size
- 14. Motivating more shoppers to buy more, more often Retailers use brands to drive traffic in the outlet Private Label is tactic to drive margin Loss leaders used to drive traffic Ultimate mix of traffic drivers and money makers in a bigger basket
- 15. Location Understanding Local Community Purchase vs. lease option
- 17. Financial services allowing cash withdrawals,transfer of payment of utilities etc
- 18. Sales growth is not enough with the leading retailers New way is to think about growth from a financial perspective Increase ROI on new store opening Traffic drive BTL activities are most valuable Not all the retailers have same needs Gross margin is critical first step towards profitability
- 19. Gross Margin Operating Expenses Operating Income RETURN ON NET ASSETS Indicates how profitable a company is relative to its net assets. Inventory Fixed Assets Net Assets DIVIDED BY
- 21. Fast & Efficient Front End Service A close check of pilferage and theft by the labor Company merchandising team (Displaying and managing product on shelves for the retailer) Single biggest operating expense
- 22. High Efficient inventory picking is the key Pallets for bulk and efficiency On Time delivery to retailers and preferred offloading by the retailer for the company is important for both stakeholders
- 23. Gross Margin Operating Expenses Operating Income RETURN ON NET ASSETS Indicates how profitable a company is relative to its net assets. Inventory Fixed Assets Net Assets DIVIDED BY
- 24. Gross Inventory • Value of inventory that the retailer has on hand Net Inventory • Portion of inventory that retailer actually owns (i.e. less trade payables) Two types Of Inventory Always refer to Net Inventory when communicating with retailers
- 25. Retailers are trying to reduce inventory size in the back room Suppliers need to balance their will to push vs. the actual inventory required for satisfactory service levels Modern Traders charge suppliers for out of stock on shelf so suppliers needs to be cautious
- 26. Challenge Maximize in stocks while minimizing inventory, sell more with less Measure of speed at which inventory moves through the stores Suppliers need to improve their promotional planning and forecasting, don’t push stock & understand customers inventory management strategy
- 27. Gross Margin Operating Expenses Operating Income RETURN ON NET ASSETS Indicates how profitable a company is relative to its net assets. Inventory Fixed Assets Net Assets DIVIDED BY
- 28. Invest in warehouse, software updates, new stores and remodeling etc Investing today for future revenues Retailers will manage stores by Reducing number of assets in store e.g. freezers, fixtures Expanding formats Maximizing store space (departmental concepts etc)