Subj: Marketing Management - GC1

Professor: Doc. Sergie Domingo Adlawan

Presented by: Yolanda C. Encanto
January 9, 2016
Topics: Retailing and Wholesaling &
Location Strategy
ref:/authors: Philip Kotler, Keller, Armstrong & Bert Rosenbloom

What is Retailing?

All the activities involved in selling goods or services

directly to final consumers for their personal, non-business
use.

Retailers businesses whose sales come primarily from

retailing.

Retailers can be classified as:

- Store retailers (e.g. sari-sari store)
- Nonstore retailers such as telephone and internet

Classification by product line

Store Type
1)

2)

3)

4)

5)

Specialty Stores retailers that sell a very narrow selection of products

but have a deep array of variations within each of those product

lines, recently increased in popularity (e.g., North Face, Steve
Madden, Apple).
Department Stores these stores carry a large variety of different
product lines and are viewed as a more flexible version of specialty
stores, often
Supermarkets these retailers are the most frequently visited and
operate on mostly self-service as they are designed to fulfill
consumers grocery and household items needs with their high
volumes of product.
Convenience Store retailers that carry a low volume of
convenience goods that have accommodating locations and hours
for consumers but have relatively higher prices on items.
HyperMarket S&R

Retail Organizations (Features of corporate

retailing)

Greater purchasing power

Achieve economies of scale

Wider brand recognition

Better trained employees

Types of Non-Store Retailing

Direct Marketing (Med Rep)

Direct Selling (Mx3 products sold directly to consumers

Automatic Vending (coffee vending m/c)

Home & Office parties (Tupperware party)

Retailer Marketing Decisions

Retailer
Retailer Strategy
Strategy
Target Market
Retail Store
Positioning

Retailer
RetailerMarketing
Marketing
Mix
Mix
Product and
Service
Assortment
Prices
Promotion
Place (Location)

Location Decision

General business districts

Regional shopping centers

Community shopping
centers
Strip malls

Location within a larger

store

Indicators of Sales Effectiveness

Number of people passing by

% who enter store
% of those who buy
Average amount
spent per sale

Factors of Success:

Listen to the customers

Treat employees as partners

Big sign reading (Satisfaction guaranteed), (we sell for less)

Customers often welcome by greeter

Low price and speed stock replenishment

Expanded their stories to diff sites.

What is Wholesaling?

All the activities involved in selling goods and services to

those buying for resale or business use.

Wholesaler those firms engage primarily in wholesaling

activity.

Types of Wholesalers

Merchant Wholesaler independently owned business that

takes title to the merchandise it handles.
Brokers/ Agents they dont take title to the goods, and
they perform only a few functions.
Manuifacturers sales branches and offices wholesaling by
sellers or buyers than thru independent wholesalers.

Wholesaler Marketing Decisions

Same as Retailer Marketing Decisions; theyve
Wholesaler Strategy

Wholesaler Marketing Mix:

4 Ps (Product, Prices,
Promotion
and Place/location)

Location Strategy

Why there is a need for a location Strategy?

Location often plays a significant role in a companys profit
and overall success.
A location strategy is a plan for obtaining the optimal
location for a company by identifying company needs and
objectives, and searching for locations with offerings that
are compatible with these needs and objectives.
Generally,
this means the firm will attempt to maximize opportunity
while minimizing costs and risks.

Formulating a location Strategy involves the

following factors:
Facilities
Feasibility
Logistics
Labor
Community and Site
Trade zones
Political risk
Governmental regulation
Environmental regulation
Incentives

Factors for finding the right site

Many companies choose particular locals as the homes of new
engineering, R & D and design sites, particularly in low-cost
countries, multinationals must weigh five factors and we call
them five Cs.
1.
Cost attractiveness of location based on required
expenditures for setting-up engineering centers and
operating activities.
2.
Capacity availability of engineers and technical universities
3.
Capability presence of specific engineering skills and
expertise.
4.
Communications ability to seamlessly share information
between the new site and company headquarters without
cultural and language obstacles.
5.
Culture ability of the location to attract talent, measured by
the accessibility of airlines, railroads & highways, etc.

Thank
You !!