Chapter retailing and multichannel marketing sixteen Copyright © 2015 McGraw-Hill Education. All...
-
Upload
lora-harper -
Category
Documents
-
view
215 -
download
0
Transcript of Chapter retailing and multichannel marketing sixteen Copyright © 2015 McGraw-Hill Education. All...
chapter
retailing andmultichannel marketing
sixteen
Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
16-2
LEARNING OBJECTIVES
LO 16-1 Discuss the four factors manufacturers should consider as they develop their strategy for working with retailers.
LO 16-2 Outline the considerations associated with choosing retail partners.
LO 16-3 List the three levels of distribution intensity.
LO 16-4 Describe the various types of retailers.LO 16-5 Describe the components of a retail
strategy.LO 16-6 Identify the benefits of stores.LO 16-7 Identify the benefits of multichannel
retailing.LO 16-8 Detail the challenges of multichannel
retailing
16-3
Factors for Establishing a Relationship with Retailers
Managing a
multichannel
strategy
Developing a retail strategy
Identifying types of Retailers
Choosing retailing partners
16-4
Choosing Retail PartnersChannel Structure
Degree of vertical integration
Manufacturers brand
Power of manufacturer and
retailer©M Hruby
16-6
Choosing Retail PartnersChannel Member Characteristics
Larger firms
Less likely to use supply
chain intermediaries
Can gain more control, be
more efficient, and save money.
16-7
Choosing Retail PartnersDistribution Intensity
Intensive
Exclusive
Selective©
Jeff
Gre
en
berg
/Ph
oto
Ed
it
©S
usa
n V
an
Ett
en
/Ph
oto
Ed
it
check yourself
16-8
1.What issues should manufacturers consider when choosing retail partners?
2.What is the difference between intensive, exclusive, and selective levels of distribution intensity?
16-10
Food Retailers
Supermarket SupercenterWarehouse
ClubConvenience
Store
Limited nonfood
Includes discount store
Limited assortment Limited variety
Differentiates different types of foods
Wal-Mart, Meijer, K-Mart, Target
Little serviceIncludes:Costco, Sams, BJ’s
Good locations
Peapod Website
16-11
General Merchandise Retailers
• Broad variety and deep assortmentDepartment Stores
• Broad variety at low pricesFull-line Discount
• Limited merchandise with service in small storeSpecialty
• Specialty for pharmaceutical and heathDrugstores
• Discount with narrow but deep assortmentCategory Specialist
• Full line, limited, very low pricesExtreme value
• Inconsistent assortment of brand name at low pricesOff-Price
16-13
Services Retailers
Firms that primarily sell services rather
than merchandise, are a large and growing
part of the retail industry
Ryan McVay/Getty Images
check yourself
16-14
1.What strategies distinguish the different types of food retailers?
2.What strategies distinguish the different types of general merchandise retailers?
3.Are organizations that provide services to consumers considered to be retailers?
16-15
Developing a Retail Strategy Using the Four P’s: Product
Providing the right mix of merchandise and services
AP Photo/David Kohl
16-16
Price
Price defines the value of both the merchandise and
the service provided
Courtesy DDB - London
Walmart’s Profits Drop
16-17
Promotion
Retailers use a wide variety of promotions, both within
their retail environment and through mass media
Cou
rtesy
Bass
Pro
Sh
op
s
AP P
hoto
/Mark
Hu
mp
hre
y
16-18
Place
Convenience is a key ingredient to success
©M Hruby
The McGraw-Hill Companies, Inc/Jill Braaten, photographer
16-19
Benefits of Stores for Consumers
Browsing
Touching and Feeling
Personal Service
Cash and Credit
Entertainment and Social Interaction
Instant Gratification
Risk Reduction
16-20
Benefits of the Internet and Multichannel Retailing
Deeper and Broader Selection
Personalization
Gain Insights into Consumer Shopping Behavior
Increase Customer Satisfaction and Loyalty
Expand Market Presence