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, in small or individual lots for direct consumption by the purchaser. Retailing may include subordinated services, such as delivery. Purchasers may be individuals or businesses. In commerce, a "retailer" buys goods or products in large quantities from manufacturers or importers, either directly or through a wholesaler, and then sells smaller quantities to the end-user. Retail establishments are often called shops or stores. Retailers are at the end of the supply chain. Manufacturing marketers see the process of retailing as a necessary part of their overall distribution strategy. The term "retailer" is also applied where a service provider services the needs of a large number of individuals, such as a public utility, like electric power. Shops may be on residential streets, shopping streets with few or no houses or in a shopping mall. Shopping streets may be for pedestrians only. Sometimes a shopping street has a partial or full roof to protect customers from precipitation. Online retailing, a type of electronic commerce used for business-to-consumer (B2C) transactions and mail order, are forms of non-shop retailing. Shopping generally refers to the act of buying products. Sometimes this is done to obtain necessities such as food and clothing; sometimes it is done as a recreational activity. Recreational shopping often involves window shopping (just looking, not buying) and browsing and does not always result in a purchase. Retail comes from the Old French word retailer (compare modern French retailler), which means "to cut off, clip, pare, divide" in terms of tailoring (1365 ). It was first recorded as a noun with the meaning of a "sale in small quantities" in 1433  (from the Middle French retail, "piece cut off, shred, scrap, paring"). Like the French, the word retail in both Dutch and German (detailhandel and Einzelhandel, respectively) also refers to the sale of small quantities of items.  Types of retail outlets A marketplace is a location where goods and services are exchanged. The traditional market square is a city square where traders set up stalls and buyers browse the merchandise. This kind of market is very old, and countless such markets are still in operation around the whole world. In some parts of the world, the retail business is still dominated by small family-run stores, but this market is increasingly being taken over by large retail chains. Retail is usually classified by type of products as follows: Food products Hard goods ("hardline retailers") - appliances, electronics, furniture, sporting goods, etc. Soft goods - clothing, apparel, and other fabrics.
There are the following types of retailers by marketing strategy: Department stores - very large stores offering a huge assortment of "soft" and "hard goods; often bear a resemblance to a collection of specialty stores. A retailer of such store carries variety of categories and has broad assortment at average price. They offer considerable customer service. Discount stores - tend to offer a wide array of products and services, but they compete mainly on price offers extensive assortment of merchandise at affordable and cut-rate prices. Normally retailers sell less fashion-oriented brands. Supermarkets - sell mostly food products; Warehouse stores - warehouses that offer low-cost, often high-quantity goods piled on pallets or steel shelves; warehouse clubs charge a membership fee; Variety stores or "dollar stores" - these offer extremely low-cost goods, with limited selection; Demographic - retailers that aim at one particular segment (e.g., high-end retailers focusing on wealthy individuals).
Example: SPAR supermarket. Mom-And-Pop : is a retail outlet that is owned and operated by individuals. Pennyful and Ebay. Retailers can opt for a format as each provides different retail mix to its customers based on their customer demographics. This involves adding a markup amount (or percentage) to the retailer's cost. Examples include ZoomShops and Redbox. The operating cost is comparatively less than other retail formats. However it is important for the customer to be wary about defective products and non secure credit card transaction.a small store often with extended hours. Other retail format stores are forced to reduce the prices if a category specialist retail store is present in the vicinity. The stores accept credit cards and are usually open 24/7. Convenience stores: is essentially found in residential areas. Another common technique is suggested retail . A good format will lend a hand to display products well and entice the target customers to spawn sales. malls and grocery stores. The supermarkets can be anywhere between 20. The range of products are very selective and few in numbers. They may adopt a Hi-Lo or an EDLP strategy for pricing. Category killers or Category Specialist: By supplying wide assortment in a single category for lower prices a retailer can "kill" that category for other retailers.700 m2). while others are "mid-range" or "high end". General store . These stores are seen in local community often are family-run businesses. typically in a rural area. and warehouse stores. stocking everyday or roadside items. robotic kiosks located in airports. A pet store that specializes in selling dog food would be regarded as a specialty store. depending on what income level they target. lifestyle and purchase behaviour. branded stores also come under this format. They accept the payment for the product but the customer receives the product directly from the manufacturer or a wholesaler. Example: Amazon.000 and 40. *Supermarkets: is a self service store consisting mainly of grocery and limited products on non food items. Here the retailers use drop shipping technique. food and entertainment under a roof.a rural store that supplies the main needs for the local community. This store is ideal for emergency and immediate purchases. general merchandise. They provide limited amount of merchandise at more than average prices with a speedy checkout.000 square feet (3. However. such as electronics. The square feet area of the store depends on the store holder. For example if a customer visits a Reebok or Gap store then they find just Reebok and Gap products in the respective stores. Convenience store . General store . Vending Machines: This is an automated piece of equipment wherein customers can drop in the money in machine and acquire the products.  Retail pricing The pricing technique used by most retailers is cost-plus pricing. Big-box stores encompass larger department. Other types of retail store include: Automated Retail stores are self service. Hypermarkets: provides variety and huge volumes of exclusive merchandise at low margins. Specialty stores: A typical speciality store gives attention to a particular category and provides high level of service to the customers. They endow with products. E-tailers: The customer can shop and order through internet and the merchandise are dropped at the customer's doorstep.a store which sells most goods needed. This format is ideal for customers who do not want to travel to retail stores and are interested in home shopping. the products are displayed at the centre of the store and sales person will be available to address customer queries and give suggestions when required. Some stores take a no frills approach. discount. For few categories. Malls: has a range of retail shops at a single outlet.
where the salesperson sometimes travels with the goods for sale. In the case of a nonprofit shop. This simply involves charging the amount suggested by the manufacturer and usually printed on the product by the manufacturer.  Transfer mechanism There are several ways in which consumers can receive goods from a retailer: Counter service. ChallengesTo become a truly flourishing industry. which are where a person can place an item in a store and if it sells. Self-service. so . Door-to-door sales. Corporations and independent store owners alike are always trying to get the edge on their competitors. Taxation. Another example would be the practice of discounting for youths. a customer may have to pay more if the seller determines that he or she is willing and/or able to. Alternatively. and cumbersome local laws. for immediate service (especially for pizza delivery). Lack of trained work force. Ordering by telephone is now common. In Western countries. Mail order from a printed catalog was invented in 1744 and was common in the late 19th and early 20th centuries. Another form is the pawnshop. which favours small retail businesses. constant threat of product obsolescence and low margins  Sales techniques Behind the scenes at retail. There are also "consignment" shops.g. Regulations restricting real estate purchases. jewelry) and controlled items like medicine and liquor.. Direct marketing. where the sale price is dependent upon who the customer is. Low skill level for retailing management. students. Lack of Retailing Courses and study options Intrinsic complexity of retailing – rapid price changes. started gaining significant market share in developed countries in the 2000s. where goods may be handled and examined prior to purchase  Second hand retail See also: Charity shop Some shops sell second-hand goods. This type of retail is common for small expensive items (e. Often prices are fixed and displayed on signs or labels. One way to do this is to hire a merchandising solutions company to design custom store displays that will attract more customers in a certain demographic. including telemarketing and television shopping channels. The nation's largest retailers spend millions every year on in-store marketing programs that correspond to seasonal and promotional changes. As products change.pricing. where goods are out of reach of buyers and must be obtained from the seller. when prices are not clearly displayed. newspaper. the public donates goods to the shop to be sold. It was common before the 1900s in the United States and is more common in certain countries like India. are also used to generate telephone orders. television advertisement or a local restaurant menu. there is another factor at work. either from a catalog. retail prices are often called psychological prices or odd prices. where goods are shipped directly to consumer's homes or workplaces. or senior citizens. the person gives the shop owner a percentage of the sale price. there can be price discrimination. In give-away shops goods can be taken for free. For example.[which?] Delivery. retailing needs to cross the following hurdles: Automatic approval is not allowed for foreign investment in retail. The advantage of selling an item this way is that the established shop gives the item exposure to more potential buyers. in which goods are sold that were used as collateral for loans. Absence of developed supply chain and integrated IT management.
worldwide 40'788 mergers & acquisitions with a total known value of 2'255 bil.000 in the advanced one. It is a measure of consumer spending. It has been published by the US Census Bureau since 1951. When a customer enters the store. . generating foot traffic.9 bil. an important indicator of the US GDP. USD have been announced. A destination store is one that customers will initiate a trip specifically to visit. Giving the customer full.5 bil.  Consolidation Among retailers and retails chains a lot of consolidation has appeared over the last couple of decades. it is important that the sales associate does everything in his power to make the customer feel welcomed. Retail firms provide data on the dollar value of their retail sales and inventories.000 firms is included in the final survey and 5. and make sure he leave the store satisfied.will a retail landscape. Retailers can also use facing techniques to create the look of a perfectly stocked store. important. sometimes over a large area. which is capitalized upon by smaller retailers. undivided attention and helping him find what he is looking for will contribute to the customer's satisfaction.  Customer service Customer service is the "sum of acts and elements that allow consumers to receive what they need or desire from your retail establishment. A sample of 12." It is important for a sales associate to greet the customer and make himself available to help the customer find whatever he needs. USD in 2005 . These stores are often used to "anchor" a shopping mall or plaza. The largest transactions with involvement of retailers in/from the United States have been: the acquisition of Albertson's Inc. even when it is not.  Retail Sales US Retail Sales 1992–2010 The Retail Sales report is published every month. and the merger between Kmart Holding Corp and Sears Roebuck & Co with a value of 10.now Macy's. USD in 2004. the merger between Federated Department Stores Inc with May Department Stores valued at 16. Between 1988 and 2010. for 17 bil. The advanced estimated data is based on a subsample from the US CB complete retail & food services sample. USD in 2006.
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