Chapter1

AnIntroductiontoRetailing

RETAILMANAGEMENT:ASTRATEGICAPPROACH,

9thEditionBERMAN EVANSRetailingRetailingencompassesthebusinessactivitiesinvolvedinsellinggoodsandservicestoconsumersfortheirpersonal,family,orhouseholduse.Itincludeseverysaletothefinalconsumer.Retailingisthelaststageinthedistributionprocess.IssuesinRetailingHowcanwebestserveourcustomerswhileearningafairprofit?Howcanwestandoutinahighlycompetitiveenvironmentwhereconsumershavetoomanychoices?Howcanwegrowourbusiness,whileretainingacoreofloyalcustomers?ThePhilosophy Retailerscanbestaddressthesequestionsbyfullyunderstandingandapplyingthebasicprinciplesofretailing,aswellastheelementsinawell-structured,systematic,andfocusedretailstrategy.Figure1.1BoomTimesforCostcoAnIdealCandidateforRetailingCareerBeapeopleperson(善于跟人打交道者;受歡迎的人;人緣好的人)

Beflexible(靈活的，變通的)BedecisiveHaveanalytical(分析的)skillsHavestamina(耐力，持久力)Table1.1The10LargestRetailersintheU.S.,2001RankCompany$Sales

(million)#ofstores#ofemployees1Wal-Mart219,8124,4141,383,0002HomeDepot53,5531,348256,3003Kroger50,0983,534288,0004Sears41,0782,960310,0005Target39,3621,381223,5006Albertson’s37,9312,400220,0007Kmart37,0282,150240,5258Costco34,79736964,5009Safeway34,3011,773193,00010J.C.Penney32,0043,770270,000Retailtrendsoftenmirrortrendsinanation’soveralleconomy.Figure1.3TheHighCostsandLowProfitsofRetailingFigure1.4ATypicalChannelofDistributionManufacturerWholesalerFinalConsumerRetailerAllofthebusinessesandpeopleinvolvedinthephysicalmovementandtransferofownershipofgoodsandserivesfromproducertoconsumer.Figure1.5TheRetailer’sRoleintheSortingProcessRetialerscollectandassortmentfromvarioussources,buyinlargerquantity,andsellinsmallamounts.—sortingprocess(分揀過程)Multi-ChannelRetailingAretailersellstoconsumersthroughmultipleretailformatsWebsitesPhysicalstoresFigure1.6J.C.Penneyand

Multi-ChannelRetailingRelationshipManagementAmongRetailersandSuppliersDisagreementsmayoccur:controloverchannelprofitallocationnumberofcompetingretailersproductdisplayspromotionalsupportpaymenttermsoperatingflexibilityDistributionTypesExclusive(獨(dú)家分銷):suppliersmakeagreementswithoneorfewretailersthatdesignatethelatterastheonlyonesinaspecifiedgeographicareatocarrycertainbrandsorproductsIntensive(密集分銷):supplierssellthroughasmanyretailersaspossibleSelective(選擇性分銷):supplierssellthroughamoderatenumberofretailersFigure1.7ComparingDistributionTypesFigure1.8SpecialCharacteristicsAffectingRetailersRetailer’sStrategy

SmallAverageSaleImpulsePurchasePopularityofStoresRetailStrategyAnoverallplanforguidingaretailfirmInfluencesthefirm’sbusinessactivitiesInfluencesfirm’sresponsetomarketforcesSixStepsinStrategicPlanning1.Definethetypeofbusiness2.Setlong-runandshort-runobjectives3.Determinethecustomermarket4.Deviseanoverall,long-runplan5.Implementanintegratedstrategy6.EvaluateandcorrectFigure1.9“PayLess+ExportMore”atTargetAspectsofTarget’sStrategyAppealtoaprimemarketDistinctivecompanyimageFocusStrongcustomerserviceGrowth-orientedobjectivesMultiplepointsofcontactEmployeerelationsInnovationCommitmenttotechnologyCommunityinvolvementConstantlymonitoringperformanceFigure1.10ApplyingtheRetailConceptCustomerOrientationCoordinatedEffortValuedrivenGoalOrientationRetailingConceptRetailStrategyTheTotalRetailExperienceTheTotalRetailExperienceincludesalltheelementsinaretailofferingthatencourageorinhibitconsumersduringtheircontactwitharetailer.Fortheshoppersegmenttowhichitappeals,thetotalretailexperiencemustbeaimedatfulfillingthatsegment’sexpectations.Figure1.11Eliminating

ShopperBoredomCustomerServiceActivitiesundertakenbyaretailerinconjunctionwiththebasicgoodsandservicesitsells.(identifiablebutsometimesintangible)StorehoursParkingShopper-friendlinessCreditacceptanceSalespeopleFigure1.12ACustomer

RespectChecklistDowetrustourcustomers?Dowestandbehindwhatwesell?Iskeepingcommitmentstocustomersimportanttoourcompany?Dowevaluecustomertime?Dowecommunicatewithcustomersrespectfully?Dowetreatallcustomerswithrespect?Dowethankcustomersfortheirbusiness?Dowerespectemployees?RelationshipRetailingSeektoestablishandmaintainlong-termbondswithcustomers,ratherthanactasifeachsalestransactionisacompletelynewencounterConcentrateonthetotalretailexperienceMonitorsatisfactionStayintouchwithcustomersEffectiveRelationshipRetailingUseawin-winapproachItishardertogetnewcustomersthantokeepexistingoneshappyDevelopacustomerdatabaseOngoingcustomercontactisimprovedwithinformationonpeople’sattributesandshoppingbehaviorApproachestotheStudyofRetailingInstitutionalFunctionalStrategicTypesofretailersandtheirdevelopmentactivitiesDefining,settingobjectivesappealingto,developing,implem