• Shuffle
    Toggle On
    Toggle Off
  • Alphabetize
    Toggle On
    Toggle Off
  • Front First
    Toggle On
    Toggle Off
  • Both Sides
    Toggle On
    Toggle Off
  • Read
    Toggle On
    Toggle Off
Reading...
Front

Card Range To Study

through

image

Play button

image

Play button

image

Progress

1/48

Click to flip

Use LEFT and RIGHT arrow keys to navigate between flashcards;

Use UP and DOWN arrow keys to flip the card;

H to show hint;

A reads text to speech;

48 Cards in this Set

  • Front
  • Back

Target Market (Market Segment)

the market segment(s) toward which the retailer plans to focus its resources and retail mix , Household income is very important for target market

Retail Market

A group of consumers with similar needs and a group of retailers that satisfy those needs using a similar retail channel and format.



Ex. Everyone needs bread

Customer Loyalty

-More than simply liking one retailer over another

-Customers will be reluctant to patronize competitive retailers




Retailers build loyalty by:


-Developing a strong brand for the store or store brands


-Developing clear and precise positioning strategies


-Creating an emotional attachment with customers through loyalty programs


• Loyal people are committed to the company ( Also known as Customer Relationship Management, might have a frequent shopper program with rebates, coupons,etc)

Retail Brand

-Can create an emotional tie with customers that build their trust and loyalty

-Facilitates store loyalty because it stands for a predictable level of quality


-Stores use brand (store’s name and store brands – private label brands) to build customer loyalty




Sam's and Costco have their own in house brands such as Kirkland ( they make the most money on these brands)



Upscale Department Stores

Saks fifth Avenue, Nordstroms, Bloomingdale's, Neiman Marcus

What are the major discounters?

Dollar General, Family Dollar, and Dollar Tree

Department stores are determined by

Square Footage

Store Front is very important

needs to convey what you are trying to say

Luxury Hotel Chain

Ritz Carlton- Known for top customer Service

Long Term Strategy

Has become more important due to:


New competitors, new formats, New technologies, Shifts in customer needs

Facts

-Coach is moving into selling clothing


- Saks fifth avenue is moving into canada


- Sun Bum started just selling sunscreen and now has expanded



IKEA and H&M are from what country?

Sweden, it is the second country with the largest retail sales per person

Carre Four is Walmart's main competitor

both global brands



Este Lauder is the cosmetic leader in the U.S.

**

Net Sales ( Total Revenue) =

Gross Sales + Promotional Allowances – Returns, Discounts, and Credits for Damaged Goods

Gross Margins =

Net Sales – COGs



- Important measure in retailing because it indicates how much profit the retailer is making on merchandise sold without considering operating costs and expenses.




Gross Margin/ Net sales= Gross Margin %

Top Down Management

Corporate tells the stores what to do and then they implement the strategyS

Sephora

Can be free standing or in a store like JCpenney

Input Measures

assess the amount of resources or money used by the retailer to achieve outputs such as sales.

( take information data resources to produce better outcomes in the store)

Free Standing Stores are also known as

Outparcels

What is the oldest type of shopping center?

Strip Center

Age Matters Demographic wise

( why would a college town have more pizza than a retirement community)

Fifth Avenue is

The Place for Fashion

Central Business District

a few streets front or back just not one street

Inner Cities are having a lot of rebuilding going on

This is because there is a lot of traffic, people, employees

Movies and Movie Theaters

used to be a part of strip centers, some are still and some are free standing ( what to put around the theaters, usually you want ice cream or other food places around the movies)

Largest Malls in America:

King Prussia in Pennsylvania

What are category stores?

specialty stores, theme stores ( party stores), lifestyle stores ( spa’s, athletic stores)

What are the main age groups roaming the malls?

18-24

What are pop up stores?

short term leases, usually themed to holidays

Pros of a shopping mall

large and enclosed, food court in the center



* The longer you stay in a mall or store the more money you will spend

Airport Stores

( make very good money, usually you need national brands, a retail site location)

Metro stores

Area has 50,000 or more people

Economies of Scale

can buy more at a lower price at a larger chain than at a smaller stores

Walmart

Biggest retailer in the world based on net sales, its strategy was to go into little towns where there was little to no competition.

Cannibalization

you are borrowing from someone else,

ex. A nearness to another store, competition, putting a similar shoe store next to another or close to it.

Cumulative Attraction

In an enclosed mall, what retailers would Abercrombie & Fitch want to be located near?



American Eagle Outfitter, Ann Taylor, Body Shop, Electronic Boutique?Principle of Cumulative Attractiveness

Cracker Barrel

1/3 of Cracker Barrel profit is in the retail section, they are always by highways

Parasite Stores

would pick customers from another store, or neighboring stores

Small Luxury Stores

Fendi ( italian)


Signature wave on storefront

Which three states have the biggest population?

• California, Texas, and Florida

How does a company tell where to put a new retail location?

can tell by online sales or catalog sales to see where the people live

Huff Gravity Model

looks at store size and travel time to the store



Based on the premise that the probability which a given customer will shop in a particular store or shopping center becomes larger as the size of store or center grows and distance or travel time from customer shrinks

Micro Statistical Area

10,000 people or less

Mcdonalds wants atleast

10,000 people in an area to open one

Hardees will put a store in

a place with less than 10,000 people

Regression Analysis

( trying to figure out where you are going to put a new store or a new site) You take the existing sites, if you have more than one where will the new one go



Multiple Regression Analysis = Factors affecting the sales of existing stores in a chain will have the same impact upon the stores located at new sites being considered.

Primary trading Area

( people will be within so many miles of the store, Secondary trading area, fringe area)