WholesalersThe businesses that buy products in BULK (huge amounts) or in large quantitiesfrom manufacturers and producers and sell them in small quantities to retailers. Manufacturers Producers WHOLESALERS Retailer #1 Retailer #2 Retailer #3 Retailer #4 EBS Chapter 2
Telephone Internet Direct Mail Retailing methods (ways to sell a product/ service)Vending Machine Retail Store
TYPES of Retail Stores1. Specialty store2. Convenience store3. Department store4. Supermarket5. Hypermarket Can you give an example for each of them at this point of time?
1. Specialty Store• Cater to specific market• Distinct image• Offer wide selection of a specific range of products• Offer personalised service• Offer expert product knowledge Examples: Esprit , Charles & Keith, Popular, Watsons, Zara, G2000 etc.
2. Convenience Store• Sells limited variety of fast-moving basic food and non-food products• Sell products that are usually inexpensive• Located in neighbourhood areas, along busy roads or petrol stations• Usually open for long hours for seven days a week Examples: Cheers, 7- Eleven
3. Department Store• Provide a one-stop shopping experience• Located in major shopping centres• Have more than one floor• Provide wide-range of customer services such as delivery, alteration and gift wrapping• Provide special staff expertise in various product departments Examples: Robinsons, John Little, TANGS, Metro, Takashimaya, Isetan.
4. Supermarket• Large stores that sell groceries, fresh produce, dairy products and household items• Sell mainly food products• Offer competitive prices• Encourage self-service Examples:Cold Storage, NTUC Fairprice, Prime Supermarket, Shop N Save.
5. Hypermarket• Combination of supermarket, department store and a specialty store• Have extremely large store areas• Use basic display racks• Offer competitive prices• Encourage self-service Examples: Giant, Carrefour
RECAP• What are the 5 types of retail stores?• List down at least 2 examples for each type of retail store.• State 2 characteristics for each type of retail store.
Store Presentation StoreLayout Of merchandise DesignFixtures Lighting The overall impression customers have of the store.Product Product Price Selection Customer Service
STORE DESIGN• Refers to the appearance of the store• Includes both the exterior and interior of a store. Exterior Interior Display window Ceiling Store Signage Flooring Entrance Walls
STORE LAYOUT (refer to page 30 of TB)• Most common type: Grid Pattern Layout• Why?3.Makes good use of space4.Easy for customer to walk about5.Encourages self-service6.Discourages shoplifting
IN THE WINDOW DISPLAY (with the mannequin) WAYS TO PRESENT MERCHANDISEON THE SELLING FLOOR ON FIXTURES
CROSS-PRESENTATION• Putting related products together to encourage customers to buy more Item Cross-presented with Pencil Pencil-case/erasers/rulers Shirts Suits/ties/pants/cuff links Sport shoes Shoe laces/ socks/ shoe spray toothbrush Toothpaste, dental floss, mouth rinse Laptop Printer/ Thumbdrive/laptop cover