2. “This is the general nature of the retail mix in
terms of range of products and services, pricing
policy, promotional programmes, operating style
or store design and visual merchandising.”
6. Independent Retail…
• Generally operates one outlet
• 98% of all the retail businesses in India, are
managed and run by independents
• Requires low investment and little technical
knowledge.
• Fail due to poor management skills and
inadequate resources.
• Eg: Furniture stores, bookshops, LPG Gas
Agencies, neighbourhood stores etc.
7. Chain Retail…
• Common ownership of multiple units.
• The purchasing and decision making are
centralized.
• They can maintain their prices, thus increasing
their margins, or they can cut prices and
attract greater sales volume.
• Examples: Shoppers stop; Café-Coffee day…
8. Franchising…
• A contractual arrangement between a
“franchiser” and a “franchisee”.
• To conduct a certain form of business under
an established name and according to a
specific set of rules.
• Classic examples of franchising are;
McDonalds, Pizza Hut
9. Co-operatives…
• A group of independent retailers, that have
combined their financial resources and their
expertise in order to effectively control their
wholesaling needs.
• Individual retailers retain their independence,
but agree on broad common policies.
• Amul is a typical example.
10. 2. Store Strategy Mix
Convenience Store
Super markets
Department Stores
Speciality Store
Hyper Markets
11. Convenience Store…
• A small store that stocks a range of everyday
items.
• Differ from general stores and village shops in
that they are not in a rural location and are
used as a convenient supplement to larger
stores.
13. Department Stores…
• A retail establishment with a building open to
the public which offers a wide range of
consumer goods such as clothing,
housewares, furniture and appliances.
• Eg: Pantaloon, Spencers etc.
14. Speciality Store
• Concentrates on the sale of a single line of
products or services
• Eg: Tanishq for jewellery
McDonalds, Pizza Hut for food
services
15. Hyper Markets
• A large superstore, combining a supermarket
and departmental store, offering full lines of
grocery and general merchandise, all under
one roof.
16. 3. Non Store Retailing
Vending Machines
In Home Retailing
Telephone Retailing
Catalog Retailing
Electronic Retailing
17. Vending Machines…
• Products are sold directly to customers/buyers
from machines.
• Dispense products which enable customers to
buy after closing hours.
18. In Home Retailing…
• Door-Door selling.
• Gives the sales person an opportunity to
demonstrate products in a very personal
manner.
• Examples:
Eureka Forbes vaccum cleaners and water
filters.
19. Telephone Retailing…
• Contact between the prospect and the retailer
over the phone
Examples:
A large number of mobile phone service
providers use this method.
Private insurance companies
Credit companies …
20. Catalog Retailing…
• Retailers who mail catalogues to their customers
and maintain showrooms where samples of the
products for sale are displayed; orders are filled
from back-room warehouses.
• Advantages:
Lower operating costs
lower rents
smaller sales staff
absence of shop lifting…
21. Electronic Retailing…
• Retailers communicate with customers and
offer products and services for sale, over the
internet.
• Examples
Amazon.com
E-bay ...
