Marketing Ch.16

Trade area

A geographic zone that accounts for a store's sales and customers.

Popup store

A temporary retail space a company erects to build buzz for its productions.
-a way to test new product ideas or even test a neighbourhood for new store.

Shopping Center

A group of commercial establishments owned and managed as a single properties.

Central Business District (CBD)

A traditional downtown business area found in a town or city.
-Morrisville, Downtown Johnson, Church Street

Marquee

The sign that shows a store's name.

Storefront

The physical exterior of a store.

Visual Merchandising

The design of all the things customers see both inside and outside the store.

Traffic Flow

The direction in which shoppers will move through the store and which areas they will pass or avoid.

Atmospherics

The use of color, lighting, scents, furnishings, and other, design elements to create a desired store image.

Store Images

The way the marketplace perceives a retailer relative to the competition.
-Outback compared to Olive Garden

Experiential Shoppers

Consumers who engage in online shopping because of the
experiential benefits they receive.
-Fast then in s store.

Business-to-consumer (B2C) e-commerce

Online exchanges between companies and individual consumers.

Pyramid Schemes

An illegal sales technique that promises consumers or investors large profits from recruiting others to join the program rather than from any real investment or sale of goods to the public.

Multilevel or Network Marketing

A system in which a master distributor recruits other people to become distributors, sells the company's product to the recruits, and receives a commission on all the merchandise sold by the people recruited.

Party Plan System

A sales technique that relies heavily on people getting caught up in the "group spirit," buying things they would not normally buy if they were alone.
-shopping with friends.

Green River Ordinances

Community regulations that prohibit door-to-door selling unless prior permission is given by the household.

Direct Selling

An interactive sales process in which a salesperson presents a product to one individual or a small group, takes order, and delivers the merchandise.

Nonstore Retailing

Any method used to complete an exchange with a product end user that does not require customers to visit a store.

Hypermarkets

Retailers with the characteristics of both warehouse stores and supermarkets; larger and everything from groceries to electronics.
-Walmart

Department Stores

Retailers that sell a board range of items and offer a good selection within each product line.

Factory Outlet Store

A discount retailer, owned by a manufacturer, that sells off defective merchandise and excess inventory.

Warehouse Clubs

Discount retailers that charge a modest membership fee to consumers who buy a broad assortment of food and nonfood items in bulk and in a warehouse environment.

Off-price Retailers

Retailers that buy excess merchandise from well-known manufacturers and pass the savings on to customers.

General Merchandise Discount Stores

Retailers that offer a broad assortment of items at low prices with minimal service.

Variety Stores

Stores that carry a variety of inexpensive items.

Leased Departments

Departments within a larger retail store that an outside firm rents.

Specialty Stores

Retailers that carry only a few product lines but offer good selections within the lines that they sell.

Category Killer

A very large specialty store that carries a vast selection of products in it's category.

Box Stores

Food stores that have a limited selection of items, few brands per item, and few refrigerated items.

Supermarkets

Food stores that carry a wide selection of edibles and related products.
-Hannfords

Convenience Stores

Neighborhood retailers that carry a limited number of frequently purchased items and cater to consumers willing to pay a premium for the ease of buying close to home.

Merchandise Depth

The variety of choices available for each specific product line.

Merchandise Breadth

The number of different product lines available.

Merchandise Assortment

The range of products a store sells.

Supercenters

Large combination stores that combine economy supermarkets with other lower-priced merchandise.

Combination Stores

Retailers that offer consumers food and general merchandise in the same store.

Merchandise Mix

The total set of all products offered for sale by a retailer, including all product lines sold to all consumer groups.

Retail Borrowing

Consumer practice of purchasing a product with the intent to return the nondefective merchandise for a refund after it has fulfilled the purpose for which it was purchased.
-Prom dress; leave tags on to bring back after wear.

Shrinkage

Losses experiences by retailers due to shoplifting, employee theft, and damage to merchandise.

Automatic Reordering System

Retail reordering system that is automatically activated when inventories reach a certain level.

Perpetual Inventory Unit Control System

Retail computer system that keeps a running total on sales, returns, transfers to other stores and so on.

Point-of-sale (POS) Systems

Retail computer systems that collect sales data and are hooked directly into the store's inventory-control system.

Downsizing

When a firm in a mature industry closes or sells off unprofitable stores or entire divisions.

Mergers

When two or more separately owned retail firms combine.

Retail Life Cycle

A theory that focuses on the various stages that retailers pass through from introduction to decline.

Wheel-of-retailing Hypothesis

A theory that explains how retail firms change, becoming more upscale as they go through their life cycle.

Retailing

The final stop in the distribution channel in which organizations sell goods and services to consumers for their personal use.