1. Understand how retailers plan their marketing strategies.
2. Know about the many kinds of retailers that work with producers and wholesalers as members of channel systems.
3. Understand the differences among the conventional and nonconventional retailers—including Internet merchants and others who accept the mass-merchandising concept.
4. Understand scrambled merchandising and the “wheel of retailing.”
5. See why size or belonging to a chain can be important to a retailer.
Know what progressive wholesalers are doing to modernize their operations and marketing strategies.
7. Know the various kinds of merchant wholesalers and agent middlemen and the strategies that they use.
8. Understand why retailing and wholesaling have developed in different ways in different countries.
9. See why the Internet is impacting both retailing and wholesaling.
10. Understand the important new terms.
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Chapter 13: Retailers, Wholesalers, and Their Strategy PlanningWhen you finish this chapter, you should13-2Chapter 13 Objectives 1. Understand how retailers plan their marketing strategies.2. Know about the many kinds of retailers that work with producers and wholesalers as members of channel systems.3. Understand the differences among the conventional and nonconventional retailers—including Internet merchants and others who accept the mass-merchandising concept.4. Understand scrambled merchandising and the “wheel of retailing.”5. See why size or belonging to a chain can be important to a retailer. 6. Know what progressive wholesalers are doing to modernize their operations and marketing strategies. 7. Know the various kinds of merchant wholesalers and agent middlemen and the strategies that they use. 8. Understand why retailing and wholesaling have developed in different ways in different countries. 9. See why the Internet is impacting both retailing and wholesaling.10. Understand the important new terms.PriceLocationProduct SelectionSpecial ServicesHelpful SalespeopleFairness in DealingKeyEconomicFactors AffectingConsumers’Retail ChoiceRetailing13-3Exhibit 13-1Conven-tionalofferingsSingle- andlimited-linestoresExpandedassortmentand serviceSpecialty shops anddepartment storesExpandedassortmentand/or reducedmargins/serviceSupermarkets, discounthouses, mass-merchandisers,catalog showrooms,supercentersAdded conveniencehigher marginsless assortmentTelephone/mail order,vending machines,door-to-door, conveniencestores, electronic shoppingExpandedassortmentreduced marginsmore informationInternet13-4Types of RetailersRetail Formats that Focus on ConvenienceConvenience(Food) StoresDoor-to-DoorSellingTelephone and Direct MailAutomaticVending13-5Focusing on Convenience13-6MoreInformationShoppingDifferencesStill inInfancyCompetitionwill bringChangeWideAssortmentNewConvenienceCosts areDeceptiveRetailing on the InternetRetail ChainsMajor Typesof RetailChainsCorporateChainsVoluntaryChainsFranchise ChainsCooperativeChains13-7The New Face of WholesalingNew Strategies Needed to SurviveProgress of FailProducing Profits????????????????????????????????????????13-8Types of WholesalersExhibit 13-613-9Does wholesaler own the products?Limited-functionmerchantWholesalersServicemerchantwholesalersAgent middlemenHow many functions does the wholesaler provide?All the functionsSome functionsYes (merchant wholesaler)No (agent middleman)TypesofMerchantWholesalersRack JobbersGeneralMerchandiseSingle- orGeneral-LineCatalogSpecialtyDrop-ShippersTruckCash-and-Carry13-10Types of Merchant WholesalersAuctionCompaniesBrokersOther types of SpecialistsSellingAgentsTypes ofAgentMiddlemenManufacturers’Agents13-11Types of Agent MiddlemenHypermarketsConvenience (Food) StoresAutomatic VendingDoor-to-Door SellingTelephone/Direct MailWheel of RetailingScrambled MerchandisingCorporate ChainCooperative ChainsVoluntary ChainsFranchise OperationRetailingGeneral StoresSingle/Limited Line StoresSpecialty ShopDepartment StoresMass-Merchandising ConceptSupermarketsCatalog ShowroomsDiscount HousesMass-MerchandisersSupercentersMore13-12Key TermsDrop-ShippersTruck WholesalersRack JobbersCatalog WholesalersAgent MiddlemenManufacturers’ AgentBrokers Export ImportSelling AgentsCombination Export ManagerAuction CompaniesWholesalingWholesalersManufacturers’ Sales BranchesMerchant WholesalersService WholesalersGeneral Merchandise WholesalersSingle- or General-Line WholesalersSpecialty WholesalersLimited-Function WholesalersCash-and-Carry Wholesalers13-13Key Terms
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