Retail Marketing Quiz

Retailing Fundamentals

• Retailing: Business activities adding value to products sold directly to consumers.
• Retailer: Business selling products/services to consumers for personal use.
• Wholesale: Selling products in bulk to businesses for resale.
• Supply Chain: Firms involved in making and delivering goods/services to consumers.
• Five Rights of Retail: Right product, price, time, place, and quantity.
• Retail Value Added: Assortment, breaking bulk, inventory holding, and services (layaway, credit, viewing).
• Vertical Integration: Firm performing multiple activities in a retail channel.
• Backward Integration: Retailer taking on distribution and/or manufacturing.
• Forward Integration: Manufacturer engaging in retailing.

Retail Environment

• Macroenvironment: Demographics, economics, political/legal, social/cultural, and technological factors.
• Microenvironment: Suppliers, resellers, public, competitors, and customers.

Competition Types

• Intratype: Competition between similar retailers (e.g., Walmart vs. Target).
• Intertype: Competition between different types of retailers (e.g., Target vs. a clothing boutique).
• Scrambled: Retailers expanding into unrelated product lines (e.g., appliance store selling home décor).

Retail Strategy

• Retail Strategy: Targeting markets, managing product mix, and achieving competitive advantages.

Retail Mix (6 Ps)

• Personnel: Customer service.
• Presentation: Store design, displays.
• Product: Product assortment (breadth and depth).
• Promotion: Communications mix, pricing strategies.
• Pricing: Strategies for setting prices.
• Place: Store location.

Retail Formats

• Supercenters/Hypermarkets: Large, full-line discount stores with supermarkets.
• Warehouse Clubs: Limited assortment, low service, low prices.
• Convenience Stores: Small, focused on quick purchases.
• Online Grocery: Online ordering, delivery.
• General Merchandise Retailers: Diverse product lines.
• Department Stores: Broad and (partially) deep assortment, services.
• Full-Line Discount Stores: Broad variety, lower service, low prices (e.g., Walmart, Target).
• Specialty Stores: Higher depth, narrower breadth; focused on specific segments.
• Category Specialists/Killers: Focus on narrow product categories.
• Outlet Stores: Manufacturer or retailer outlets selling leftover or discounted merchandise.
• Extreme Value Retailers: Low-cost locations, limited service, low prices (e.g., Dollar General, Dollar Tree).
• Off-Price Retailers: Inconsistent assortment of brand-name goods at discounted prices.

Digital and Social Retailing

• Digital Retailing: Online business activities for creating, capturing, communicating, and delivering value to customers.
• Social Retailing: Engaging customers via social media dialogue.
• Channels: Ways retailers deliver merchandise/services (stores, online, catalogs, social media).
• Media: Communication methods (owned, paid, and earned).
• Omnichannel: Seamless customer experience across all channels.
• M-commerce: Mobile-based retail transactions.
• Showrooming: Customers trying items in-store, purchasing online.

Customer Decision-Making

• Customer Decision-Making Process: Need recognition, information search, evaluation, choice/purchase, and post-purchase evaluation.
• Customer Needs: Utilitarian (practical) and hedonic (experiential) needs.