This document provides an overview of retailing objectives, functions, types of retailers, franchising, and strategic issues. It discusses the importance of retailing and various career paths. It also defines different types of retailers like department stores, supermarkets, discount stores, and specialty stores. Additional topics covered include in-store retailing, non-store retailing, strategic issues around location, merchandise, advertising, and consumer behavior.

1. Retailing

5. A Retailing Career Retail Career Salary Career Progression Geographic mobility Women in retailing Societal Perspective

6. Prerequisites for Success Success Hard Work Analytical Skills Creativity Decisiveness Flexibility Initiative Leadership Organization Risk Taking Stress Tolerance Perseverance Enthusiasm

10. Hyper-markets: A Sure - Fire Hit, Bombs . Average size (in square feet ) Employees Annual sales per store (in millions) Gross profit margins Stock-keeping units (Number of different kinds of items stocked) 70,000 200 - 300 $10 - $20 18% - 19% 60,000 - 80,000 150,000 300 - 350 $20 - $50 15% - 16% 100,000 230,000 400 - 600 $75 - $100 7% - 8% 60,000 - 70,000 Discount Store Super Center Hypermarket

13. Category Killers Just For Feet, the category killer in the athletic footware and apparel sector founded in 1977, cruised through the 1990s. However, Just For Feet has suffered financial setbacks from a lack of adapting to changes in the evolving retail landscape.

14. The Wheel of Retailing High : status, margin, price (Specialty store) - retailers usually enter the market with low service, low margin & price operations but evolve into higher service, cost & price merchants. Conventional department stores Mass merchandise retailers Low : status, margin price, service (Wholesale clubs) Maybry’s at the Mall

15. Wheel of Retailing High Prices & Markups, Many services, Expensive Surroundings, Low prices & Low markups, few services, (austere) surroundings Small general stores Department stores 1890 - 1910 Entry of Discount stores Department Stores 1955 - 1970 Factory outlets “ Members Only” discount outlets Category killers Low price s & markups, few services , austere 1990s Enter Department stores

21. On line Retailing (E-Tailing): Advantages Not location bound Interactive Convenient Shopbots Forms of Direct Marketing E-tailing was about 20 billion dollars in 2000 and estimated to rise to over 100 billion by 2005.

22. Percentage of Sales Online by Retail Segment Source: Investor’s Business Daily, Wednesday, September 5, 2001, p. A6.

23. Internet Retailing: Disadvantages Forms of Direct Marketing Examination Privacy/Security

25. Strategic Retailing Issues: The Marketing Mix #1 Customers Product Price Place Promotion Merchandise Assortment Store Atmospherics Customer Service Location, Location, Location! Retail List Price Discounts Credit Advertising Personal Selling Publicity Sales Promotion

32. Strategic Issue #2 Merchandise Assortment Plus: Store Location Store Promotions Store Layout/Image Store Personnel Store Services Store Hours Targeted Customers

33. Many consumers value finding bargains.

48. RESEARCH Knowing Your Customer Level of Customer Service ? High - - - Low Sales Personnel ? Hurried - - - Apathetic Product Selection ? Broad - - - Narrow Store Image ? Conservative - - - Modern? Consumer Profile ? Sex Age Education Income Retail Store Characteristics

49. Dual Wage Earners and Their Effect on Hours Spent Shopping 1965 1980 1995 Year 200% 100% 12 8 4 0 Families with Dual Incomes (1965 - 100%) Shopping Hours per Month Dual incomes rose ... … and shopping hours dropped SOURCE: Vision for the New Millennium . . .(Atlanta: Kurt Salmon Associates, 1997). Used with permission

56. Retail Information System (RIS) and Merchandise Management Issues Company Goals Human Resources Information Accounting and Financial Information Operating Information Promotion Information Merchandise Information System Technology updates: Computer Body Scanner Internet Strategy Database Marketing RFID