Wholesaling and Retailing - Distribution channels, Principles of Marketing Video Lecture | Principles of Marketing - B Com

retailing and wholesaling by nancy
famiiy the objectives of this
presentation is to understand the roles
of retailers and different types of
retailers I will also be describing the
major retail marketing decisions as well
as type of wholesalers and their
decisions
what is retailing retailing the selling
of the goods and services straight to
the consumers for personal use well who
are the retailer's retailers are the
ones who sell the products in their
source retailers can be classified in
several different ways
such as the amount of service they offer
the depth of their product lines the
relative prices they charge and how
organized they are different types of
customers and products require different
amounts of services to meet these
varying services these retailers may
offer one of these three service levels
let us start by talking about a
full-service retailer a full-service
retailers such as high-end specialty
stores and first-class department stores
assist customers in every phase of their
shopping process full-service stores
usually carry more specialty goods for
which customers need or want assistance
or advice a store such as Apple is with
you every step in the buying process
explaining the product and the features
of the product
we then have limited service retailers
limited service retailers provide more
sales assistance because they carry more
shopping Goods about which customers
need information about their increased
operating costs result in high higher
prices something such as closing stores
I would say is limited service because
salad masters only help the customers
that they seem that they are struggling
with finding a certain outfit then we
have self-service retailers self-service
retailers serve customers who are
willing to perform their own locate
compares select process to save time and
money self-service is the basis of all
discount operations and is typically
used by retail side convenience goods
and nationally branded fast-moving
shopping goods for example we have shop
right it would be considered a
self-service store because you go in
knowing what you want and you don't need
assistance with anything in retailing
there has to be a lot of decisions to be
made
retailers must first segment and define
their target markets and then decide how
they will differentiate and position
themselves in these markets with solid
targeting and positioning a retailer can
be effectively against even the largest
and strongest competitors retailers must
assign on three major product variables
the retailer's product assortment should
differentiate it while managing the
target shoppers expectations one
strategy is to offer merchandise that no
other competitor carries such as store
brand or national brands for which the
retailer or hold exclusive rights to the
service mix can also help set one real
tailor apart from another for example
some retailers mine and buy customers to
ask questions or consult representatives
the store's atmosphere is another
important element and this resellers
product personnel retailers want to
create a unique store experience one
that suits the target market and moves
customers to buy our retailers price
policy must fit its target market and
positioning product and service
assortment the competition and economic
factors most retailers seek either
higher markups on lower volume or lower
markups on higher volume other retailers
practice high-low pricing that is
charging higher prices on everyday basis
coupled with a with frequent sales and
other promotion it's going to increase
the store traffic create a low price
image or attract customers who will buy
other goods at full prints
meteos have five for motor tools that
they can use one is advertising which
may be supported by newspaper inserts
and catalogues then there is store sales
people who greet the customers meet
their needs and build relationships
there's also sales promotions them may
include in-store demonstration displays
sales and loyalty programs PR activities
such as a new store opening special
events news letters and blog store
magazines and public store service
activities are also available to
retailers most retailer enjoy to
interact digitally with customers it is
very important that retailers select the
locations that are accessible to the
target market in areas that are
consistent with the retail positioning
most stores today
cluster together to increase their
customer pulling power and giving
customers the convenience of a one-stop
shop for example the cluster of stores
are known to ask us shopping centers
which is a group of retail businesses
built on a site that is planned develop
owned and managed as one unit
what is wholesaling wholesaling includes
all activities involved in selling goods
and services to those buying for resale
or business use for the wholesalers
wholesalers buy mostly from producers
and sell mostly to retailers industrial
consumers and other wholesalers
just like retailing there's also
different levels of services in
wholesaling let us start with
full-service wholesaler there are two
types of full-service wholesalers
wholesale merchants and industrial
distributors industrial distributors
sell to manufacturers rather than
through retailers provides several
services such as carrying stock offering
credit and providing delivery and they
may carry a broad range of merchandise a
general line or a specialty line
wholesale merchants sell primarily to
retailers and provide a full range of
services general merchandise wholesalers
carry several merchandise lines general
line wholesalers Karen are two lines and
great especially wholesalers specialize
in carrying only part of the line then
there is limited service for sellers
cash holders carry a line of fast moving
goods and sell to small retailers for
cash they normally do not deliver truck
wholesalers or truck drivers carry a
limited line of semi percival
merchandise which is sold for cash as
the liveries are made drop shippers do
not carry inventory or a handle the
product on receiving an order drop
shippers select the manufacturer who
then ships the merchandize directly to
the customer and then drop shippers
operate in both industries rack job was
simply price tickets producer
cooperatives are known to be for our own
members and then the there is mail order
or web who send out catalogues to the
his to the customers and maintain the
websites
wholesalers marketing decisions include
choices of segmentation targeting
differentiation and positioning and the
marketing mix which is product and
service assortments price promotion and
distribution like retailers wholesalers
must decide on product and service
assortments prices promotion and the
place wholesalers add customer value
through their products and service they
offer prices it is an important
wholesaler decision wholesale
wholesalers usually mark up the cost of
goods by standard percentage most
wholesalers are not promotion minded
distribution or location is very
important wholesalers must choose their
locations facilities and web locations
very carefully I hope you got a better
understanding of retailing and
wholesaling