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Retail Sales Introduction, Products, Services, Channels

Retail sales is the purchases of finished goods and services by consumers and businesses. These goods and services have made it to the end of the supply chain. ... The middle of the supply chain is wholesale sales. They distribute the goods and services to retailers. The retailers sell them to the consumer.

Retail sales capture in-store sales, as well as catalog and other out-of-store sales of both durable (last for more than three years) and non-durable goods (those with a short life span). These are broken down into a number of different categories including (but not limited to):

Apparel

Department stores

Food and beverage stores

Electronics and appliances

Furniture stores

Gas stations

Car dealers

Retail is the process of selling consumer goods or services to customers through multiple channels of distribution to earn a profit. Retailers satisfy demand identified through a supply chain. Retail, by definition, is the sale of goods or service from a business to a consumer for their own use. A retail transaction handles small quantities of goods whereas wholesale deals with the purchasing of goods on a large scale.

A retailer is a person or business that you purchase goods from. Retailers typically don’t manufacture their own items. They purchase goods from a manufacturer or a wholesaler and sell these goods to consumers in small quantities.

Retailing is the distribution process of a retailer obtaining goods or services and selling them to customers for use. This process is explained through the supply chain.

Common retail types

Retail comes in many shapes and sizes; each one comes with its own pros and cons. Depending on the type of business, one retail model may be a better fit than others.

Independent Retailer: An independent retailer is someone who builds his/her business from the ground up. Usually, the owner does it all, but he/she may have assistants or hire someone extra.

Existing Retail Business: An existing retail business is, as the name suggests, a retail business that is up-and-running. Typically, someone inherits or buys an existing business and takes over its ownership and responsibilities.

Franchise: A franchise is an existing business plan, including a trademarked name, an already determined set of products, and established business concepts. If a retailer wants to become part of a franchise, they are granted permission to use all of the above elements. The tradeoff to purchasing the rights to a franchise is that there typically are ground rules and processes that must be followed in order to retain rights to the franchise, as well as fees that must be paid to the franchise owner.

Dealership: A dealership is a cross between a franchise and an independent retailer. A retailer that works with a dealership has the license to sell a brand of products (usually there is a variety of brands). Unlike a franchise, there are no fees to the licensor.

Network Marketing: Network marketing, or multi-level marketing, is a business model where the selling of products depends on the people in the network. On the one hand, a person is selling products, but at the same time, other salespeople are being recruited to sell the same goods.

A business premise or facility for selling products to CONSUMERS. A retail outlet may take the form of a SHOP or store that buyers visit to make purchases, or it could be an AUTOMATIC VENDING machine or kiosk located in a hotel or restaurant

Retail Sales Techniques

Products and Services

A product is a tangible item that is put on the market for acquisition, attention, or consumption, while a service is an intangible item, which arises from the output of one or more individuals. ... In fact, a majority of products carry with them an element of service.

It is tangible.

Quality standards can be attained.

It may be an asset sometimes,. e.g., fridge, television set, etc.

Physical possession is possible.

It can be stored.

It can be transported.

The producer and the seller may be different persons.

Assembling is very important.

Skill of the seller alone cannot determine sale.

Production and distribution need not take place simultaneously.

Packing plays a crucial role in the marketing of any product.

Both Brand name and Trade name are important in the marketing of any product.

Labelling is an integral part of marketing. It is required as per law.

It is intangible

It is very difficult to attain quality standards.

It involves expenditure without any tangible return benefit.

Physical possession is not possible.

It cannot be stored.

It cannot be transported.

The producer of service is the seller too, e.g., medical and legal services.

Assembling has no relevance at all.

Skill of the service provider is the deciding factor in most cases, e.g., legal, catering and medical services.

Production and distribution of service will have to be done simultaneously, e.g., provision of electricity.

It has no relevance in the marketing of service.

Brand mark and Trade name are important in the marketing of services.

It has no relevance.

Retail Channels

People buy consumer goods through a variety of channels. In this lesson, we'll examine different types of retail channels such as stores, online, catalogs, direct sales, television home shopping, and automated retailing.

SHOPS

A shop is a building or part of a building where things are sold.

a retail store, especially a small one.

a building or room stocked with merchandise for sale

a small retail establishment or a department in a large one offering a specified line of goods or services

a commercial establishment for the making or repair of goods or machinery

CATALOGUES

A catalogue is a list of things. ... A catalogue — also spelled catalog — can be a list of anything, arranged in some order, and when you list things, you catalogue them

A catalogue is a book or magazine containing details and pictures of items currently being offered for sale, especially as used by companies that do much of their business by mail order.

A catalog merchant (catalogue merchant in British and Canadian English) is a form of retailing. ... Unlike a self-serve retail store, most of the items are not displayed; customers select the products from printed catalogs in the store and fill out an order form.

The four types of library catalogues are listed below.

Card catalogue.

Book catalogue.

COM catalogue.

On-line Public Access Catalogue (OPAC)

Online Selling

E-Commerce, also known as electronic commerce or internet commerce, refers to the buying and selling of goods or services using the internet, and the transfer of money and data to execute these transactions.

Online Business or e-business is any kind of business or commercial transaction that includes sharing information across the internet. Commerce constitutes the exchange of products and services between businesses, groups and individuals and can be seen as one of the essential activities of any business.

Flea Markets

a market, often in a street, where old and used goods are sold

A flea market is a facility that rents space to anyone that offers for sale to the general public merchandise, products, items, services and all other legal needs of the buying public. These renters are known as vendors. Flea markets are w worldwide business that has been around for hundreds of years and could be considered as a multi-billion dollar worldwide industry that has never been and probably never will be truly defined.

Showrooms

a type of large shop where customers can look at goods such as cars, furniture and electrical items that are on sale

A showroom is a large space used to display products for sale, such as automobiles, furniture, appliances, carpet or apparel. It is a retail store of a company in which products are on sale in a space created by their brand or company

A showroom model presents clothes for a clothes retailer or designer's clientele in a private setting of their own store or boutique in a more informal and relaxed atmosphere, than at a runway show with all the bells and whistles.

Door-to-door trading

If someone goes from door to door or goes door to door, they go along a street calling at each house in turn, for example selling something. They are going from door to door collecting money from civilians.

A transport service covering carriage from seller´s premises to the buyer´s premises.

Door-to-door is a canvassing technique that is generally used for sales, marketing, advertising, or campaigning, in which the person or persons walk from the door of one house to the door of another, trying to sell or advertise a product or service to the general public or gather information.

Super Markets

A large retail market that sells food and other household goods and that is usually operated on a self-service basis. any business or company offering an unusually wide range of goods or services: a financial supermarket that sells stocks, bonds, insurance, and real estate.

A supermarket is a self-service shop offering a wide variety of food, beverages and household products, organized into sections. It is larger and has a wider selection than earlier grocery stores, but is smaller and more limited in the range of merchandise than a hypermarket or big-box market.

The super market is a large-scale retail institution specialising in necessaries and convenience goods. They have huge premises and generally deal in food and non-food articles.

"A super market is a departmentalized retail establishment having four basic departments viz. self-service grocery, meat produce, dairy products plus other household departments, doing a maximum business. It may be entirely owner-operated or have some of the departments leased out on a concession basis.”

Created By
Parle Kalyan Chakravarty
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Credits:

Created with images by Gerry Roarty - "Shopping mall cafeteria meeting place with people" • Bernard Hermant - "Big market in Ubud, Indonesia" • Pepi Stojanovski - "Daily Essentials" • Marvin Meyer - "untitled image" • Maksim Larin - "untitled image" • Simon Bak - "Amazon Go"