MRKTNG Chapter 15

becoming a destination store

reducing the number of salespeople

moving to an isolated location.

attracting customers from nearby competitors.

direct retailing.

online retailing.

off-price retailing.

in-store retailing.

Online retailing resells pre-owned items bought back from customers, while the click-and-collect process sells only new items.

Online retailing does not allow customers to provide themselves with products without the intervention of a service employee, while the click-and-collect process allows customers to provide themselves with products.

Online retailing ensures greater speed of delivery, while the click-and-collect process takes longer to deliver a product.

Online retailing enables customers to have items directly delivered to their doors; whereas in the click-and-collect process, customers travel to a physical store location to take delivery of the merchandise.

They offer consumers very limited service and carry a vast assortment of well-known, nationally branded goods such as toys, housewares, and clothing.

They price products lower than specialty discount stores.

They carry a wide range of products and specialty goods, including apparel, cosmetics, housewares, electronics, and sometimes furniture.

They carry a deeper but narrower assortment of merchandise within a single category of interest.

It requires representatives to sell products door-to-door, in offices, or at in-home sales parties.

It employs outbound and inbound telephone contacts to sell directly to customers.

It enables consumers to make their purchases online and pick up their orders from physical stores.

It allows customers to shop over the Internet and have items delivered directly to their door.

Off-price retailers replenish inventory items that are sold, while specialty shops never replenish inventory items that are sold.

Off-price retailers employ a hybrid retail operating model, while specialty shops employ a mass merchandising retail operating model.

Off-price retailers focus on lean inventory management, while specialty shops are supported by an agile approach to inventory.

Off-price retailers adopt a high-service approach, while specialty shops de-emphasize customer service and product selection.

It is an agreement where two parties agree to share the ownership of a business.

It is owned by a person or a group with singular stores being operated within a local community.

It sells products under the brand name of a larger supporting organizational structure.

It is a group of brand names owned and operated by a single organization.

It allows retailers to offer competitive prices across various outlets.

It increases redundancies in inventory and transportation.

It determines which product to stock and at what price.

It focuses on understanding how a brand's target consumers behave in different channels.

increasing total sales.

increasing costs of goods sold.

decreasing returns on equity.

decreasing store traffic.

Direct retailing shoppers are less bound by traditional shopping situations, while direct marketing shoppers are bound by traditional shopping situations.

Direct retailing employs inbound telephone contacts to sell directly to consumers, while direct marketing employs outbound telephone contacts to sell to consumers.

Direct retailing allows customers to shop over the Internet, while direct marketing does not allow customers to shop over the Internet.

Direct retailing representatives sell products door-to-door, while direct marketing allows consumers to shop from home.

decreases the time that the service is available.

maximizes the time customers wait in a line.

increases the costs of providing the service.

adds to customer convenience.

retailer

franchisor

consumer

investor

supermarket

drugstore

warehouse club

factory outlet

supermarket

specialty store

supercenter

drugstore

Discount stores

Convenience stores

Drugstores

Supermarkets

Back stock

Floor stock

Intangible assets

Tangible assets

big data analysis

shopper marketing

market-basket analysis

shopper analytics

Suggestion selling

Trading up

Brand cannibalization

Microtargeting

brand cannibalization

big data analytics

retail channel omnification

click-and-connect

Retail channel omnification

Click-and-collect

Shopper marketing

Mass customization

microtargeting

click-and-collect

shopper marketing

retail channel omnification