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Chapter 3 Store-Based Retailing. By: TeamPerfectlyAwesomeWolfGang. Chapter Overview. Section 3.1- Types of Store-Based Retailers Becoming familiar with the types of store-based retailers allow you to know which retailer will best satisfy a shopping need. Chapter Objective

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chapter 3 store based retailing

Chapter 3Store-Based Retailing

By: TeamPerfectlyAwesomeWolfGang

chapter overview
Chapter Overview
  • Section 3.1- Types of Store-Based Retailers

Becoming familiar with the types of store-based retailers allow you to know which retailer will best satisfy a shopping need.

  • Chapter Objective

-Identify the types of store-based retailers.

-Explain the importance of service retailers.

-Identify the types of service retailers.

shopping for retailers
Shopping for Retailers
  • Just as retailers sell merchandise and products from more than one NAICS category, you can purchase the same products from several types of retail stores. Different kinds of store-based retailers serve particular customers’ needs and wants.
what are store based retailers
What Are Store-Based Retailers
  • A store-based retailer operates and conducts business from a fixed location. A store-based retailer opens its doors to walk-in customer traffic. Many stores have beautiful and useful things beckoning so you will enter the store, touch the merchandise, and buy a little of that magic to take home.
  • Store-based retailers are still the most prevalent form of retailing. Each of the different types of store-based retailers has distinguishing characteristics.
general merchandise retailers
General-Merchandise Retailers
  • A General-Merchandise Retailers sells a large variety of merchandise. These retailers also offer different kinds of customer services.
  • The customer service offerings will depend on the type of retailer. We will look at some of the customer services as we discuss each type of store-based retailer.
department stores
Department Stores
  • A Department Storesseparates various merchandise lines into different departments, or sections.
  • They sell a variety of merchandise. Originated in main shopping areas of large cities.
  • It is convenient for customers to use the customer service and to use the alterations of products.
junior department stores
Junior Department Stores
  • A Junior Department Store also sells more than one line of merchandise. Like their bigger counterparts, junior department stores separate merchandise into departments.
  • Junior department stores offer most of the same service as a department store. Junior department stores can specialize in higher-priced merchandise or more moderately priced merchandise, depending on the particular store.
  • Malls usually have one to two anchor stores, which are large retail stores that draw customers to the mall.
specialty stores
Specialty Stores
  • A specialty store sells a limited type of merchandise. Many of the small retailers you visit at the mall are specialty retailers.
  • Many shoppers prefer the environment of a smaller store that offers a wider variety of one type of merchandise.
  • Specialty retail stores usually have one cash register and checkout station. They also offer customer services. They will likely be able to mail packages for you and wrap gifts. Specialty stores accept major credit cards and, in some cases, offer their own credit cards.
category specialty stores
Category Specialty Stores
  • Category specialty stores carry a complete assortment of merchandise at discounted prices. Their offerings can dominate a category and, therefore, draw customers away from department stores by charging lower prices. Circuit City and Toys “R” Us are examples of category specialists.
discount department stores
Discount Department Stores
  • A discount department storesells its merchandise at low prices. This kind of store sells from separate departments. Discount department stores are usually self-service and have a centralized checkout area.
  • Discount retailers are able to sell their merchandise at lower prices, in part because they buy goods in large volumes and, in part, because they do not have to support a large staff.
variety stores
Variety Stores
  • A variety storeis a retail outlet that sells different kinds of merchandise. These stores usually sell low-priced items including cosmetics, small housewares, souvenirs, postcards, and stationery. These stores are not as common as they once were.
off price stores
Off-Price Stores
  • This type of store sells merchandise at prices lower that those at department or specialty stores. An off-price retailerbuys merchandise directly from the manufacturer. They buy end-of-season items, overproduced items, and items returned from other retailers.
outlet stores
Outlet Stores
  • An outlet storeis usually owned by the manufacturer of the merchandise being sold or a well-known retailer. Outlet stores sell merchandise that has been produced in too great a quantity, has not been purchased by, or has been returned by other retailers.
warehouse and wholesale clubs
Warehouse and Wholesale Clubs
  • A Warehouse clubis a very large store that offers volume discount retailing, less variety, and minimal presentation and service.
  • The stores often cover thousands of square feet. You may have to pay a membership fee to join the warehouse club. This type of retailer sells in bulks, or large quantities.
  • A supermarket is probably the first place that comes to mind when you think about buying groceries. Supermarkets are the department stores of food retailing.
  • Supermarkets have centralized cash registers and are self-service establishments. Some supermarkets may even have a self-checkout line with an electronic scanner.
convenience stores
Convenience Stores
  • A convenience storeis a retail outlet that sells snack food items such as candy as well as staples like bread.
  • It’s not unusual for these stores to be open for extended hours, up to 24 hours a day, seven days a week.
  • These stores are usually operated in conjunction with gasoline stations.
  • A supercenter is a combination of a large discount department store and a discount supermarket. There is a growing trend for supercenters to also sell gasoline.
  • Supercenters are housed in large buildings and stock many products.
  • Supercenters provide their customers with the convenience of shopping for discount department store items while buying their groceries at the same place.

Characteristics of General-Merchandise Retailers

conclusion continued
Conclusion continued.

Characteristics of food retailers