Whats Retail Table of Contents
Wholesale is one of the channels of distribution used for distributing goods. In wholesale retailing, commodities are sold at wholesale prices and the retailer profits from the difference between the wholesale price and the retail price. For example, if you purchase a shirt from a departmental store and pay $30 for it, the cost of the shirt is its wholesale price and you have made a profit of $30. This example emphasizes the fact that retailing and wholesaling differ greatly. Most wholesale outlets are located in developing countries like China, India and Pakistan where cheap labor is available and the infrastructure to maintain such outlets are relatively less expensive than in developed countries.
A retail outlet is typically located in a commercial street, although this is not always the case, especially in developed countries. The size of the retail outlet also varies. Places of business that typically sell goods in small quantities at high prices include groceries, discount stores, pharmacies and convenience stores. In developed countries, many small-sized retailers to locate in malls, local streets of apartments. Places of business that sell goods in large quantities at very high retail prices are call centers and warehouses.
The supply chain is an important term in business and it is also called as the lifecycle value proposition. The supply chain is a critical component of the supply chain management system that identifies and communicates the details of how raw materials are acquired, converted to goods for sale, delivered, stored, used and finally disposed of or recycled. The supply chain has evolved over time as new technology has enabled manufacturers and suppliers to leverage the existing systems in much faster and more efficient ways. A good supply chain is essential to the long term success of any business and therefore a lot of research and planning should be put into it. It includes four key stages:
An effective supply chain enables manufacturers to get the maximum advantage out of their operational expenses and thereby helps them realize their growth goals more quickly. It is therefore important that all suppliers, manufacturers and even customers have a clearly defined strategic plan that clearly outlines their roles, responsibilities with respect to the supply chain. The strategic plan also needs to include clear instructions about the delivery of raw material, its sources, its destination, its condition after delivery and its use thereafter.
Strategic plans also need to include provisions for contingency plans that may arise anytime within the supply chain. These provisions should include emergency measures, market trends, and consumer behavior and buying habits among other things. The strategic planning should be reviewed and revised on a regular basis to ensure that it is still relevant and useful. It is very important for any business to keep in mind that they should always aim at building a network that is strong, reliable and continuous. The key to this is a consistent application of quality, process improvement and a strong marketing management.
Wholesalers and distributors have an important role to play in the success of an expo booth. Exhibitors must choose their vendors carefully and implement strategies to attract customers to their booths. There are many types of vendors in any trade show or expo. There are also many potential vendors who have not yet had a chance to be noticed by those attending the expo. By keeping these key factors in mind, a successful business display can be achieved.
Wholesale and retail manufacturers often find themselves in competition with other wholesalers and manufacturers in the same industry. While most wholesalers deal directly with the manufacturers of products for sale, some retailers purchase their stock directly from the manufacturers themselves. In either case, the manufacturer has a direct relationship with the retailer; therefore, quality control and service standards must always be of the highest possible standard.
To compete with other wholesalers, manufacturers and retailers must establish a strong distribution channel. Many wholesalers work through distribution channels such as warehouses and sales representatives. While warehouses can provide valuable access to large inventories, these channels typically do not lend themselves to the rapid growth of new product lines. For this reason, most new product lines are introduced in small quantities and then sold in volume to existing retailers. This strategy allows retailers to maintain a consistent inventory of all items currently in stock and gives them a competitive edge on new product introductions.
Retailer is that person who sells products/ Services directly to consumers either for their own private use or non-commercial use. Retailer buy goods/ Services from distributor or wholesaler and sell to end users at normally marked down prices. Retailer can be found in almost every shopping center and mostly in the malls, local shops, supermarkets and other places like malls, corner stores, department stores and other kinds of retail outlets. A customer visits a retailer and looks for a product or a specific kind of service which he thinks he may require in his day-to-day activities. Retailer then looks for the cheapest price for that product or service in his category and puts up or displays the item or service for sale.
In earlier times, when the industry of retailing was not as developed as it is now, the actual retail business was controlled by the bricks and mortar stores. The retail industry basically consisted of wholesale dealers, small specialty stores, department stores, franchises, direct selling companies, manufacturers and brokers. These companies employed thousands of workers. The retailing industry has now changed with the advent of online shopping. There are many retailers who have opted to sell their merchandise through the World Wide Web. Most of the online retailing retailers do not have any physical shop and sell only through the internet.
Many online retailing retailers do not operate within any particular industry or geographic location. They offer almost all kinds of merchandise and services. They have become very successful and well-known due to their ability to meet consumer requirements at lower prices as well as providing the customers with excellent customer service. There are many retailers operating on the internet who are well-known for providing great quality services at affordable prices. The retailers who provide excellent customer service are known as super retailers.
A consumer is an individual or a group that makes purchases, orders, or performs any transaction of any kind for the purpose of purchasing, receiving, using, selling or insuring any product, service, goods or commodities primarily for personal, family, domestic and other personal needs, and not directly linked to commercial or industrial activities. In simple terms, a consumer includes anyone who buys, spends or purchases goods and services. Although, there are many types of consumers such as business consumers, employment consumers and leisure/vacation consumers; the basic definition of a consumer remains the same. A typical consumer usually seeks pleasure from buying, and the pursuit of happiness. However, consumers have various kinds of preferences and can be categorized as hard money consumers, consumer durable, and consumer in need.
The consumption of products or services produced by the hand or the machine is called personal consumption, while that of goods and services produced by the combination of human effort and technology is known as commercial and industrial consumption. On the other hand, there is a distinction between two different kinds of consumers namely, primary and secondary. A primary consumer generally refers to the individuals who make purchases without any special occasion or motive and are not directed toward any definite end. A secondary consumer is one who purchases a product or service for definite reasons and at specific times, but is directed toward some definite objective. It can be further subdivided into three other types as per the extent of their distribution: immediate, secondary and tertiary.
The process of marketing or advertising of a particular good or service has a direct and definite effect on the sale of a good or service. One of the most important functions of consumers is that of advising others about a good or service that they have already used or want to use. They use marketing or advertising tools and devices to persuade others to buy the products and services produced or offered by a company. In short, all consumers or members of any community directly or indirectly affect the sale of goods and services produced by another through the intervention of marketing or advertising agencies.
Common retail categories are broken down into 5 main groups, which are: Independent retailers, existing retailer businesses, franchise, dealership, and Network Marketing. There is a special type of retailer known as a Independent retailers which typically grows his/her business from the foundation and many other which we'll be discussing below
Independent Retailer offers free monthly issues covering all facets of retailing from suppliers to equipment to marketing, Independent Retailer gives you cutting edge information on retailing trends, developments, and strategies. Each month, dedicated to small business professionals who own or manage a brick and mortar retail establishment and to those who have an on-line store, every issue of Independent Retailer provides cutting-edge information on retailing trends, developments, and strategies.
Through Independent Retailer, independent retailers can develop effective marketing strategies that attract new customers, increase sales, expand their business reach, and improve profitability. The magazine features articles on attracting customers, sales growth, inventory management, marketing trends, quality management, price competition, and much more. Articles about new technologies, such as e-commerce and digital media, are also published. In addition, this magazine covers the latest happenings in the consumer market, such as the ongoing revolution in the home shopping market; the impact of the economic downturn on consumer confidence and spending; the benefits of broadband internet and cell phone services; and the benefits of alternative fuel sources.
In an increasingly competitive retail environment, it is imperative for small businesses to remain on top of emerging trends. Independent Retailer magazine can be a valuable resource because it not only provides cutting-edge information on retailing trends but it also promotes self-sufficiency for owner/operators of brick and mortar establishments. While many people rely on the newspaper and television to learn about important industry events, few publications provide the kind of detailed information on local retail trends and current events that Independent Retailer does. This magazine is a valuable source of information for independent retailers looking to expand and grow their business.
If you have an existing retail business, you can leverage your knowledge and experience to grow your business even further. One key to having a successful retail business is knowing your market and being able to fill the need of your customers. By understanding what type of items people will purchase in your store, and understanding the needs of your customers you can take simple steps to increase your sales. This is how you create an effective Existing Retail Business Plan.
An Existing Retail Business Plan is a strategic document that is designed to guide an independent retailer through the entire startup and growth process. This plan should be written in terms of your income statement, cash flow analysis, balance sheet and profit and loss statement. Proper planning from the very beginning will help you avoid common mistakes and pitfalls and ensure that your business is running smoothly, and generating the income needed to cover expenses and maintain a healthy profit margin.
If you currently own a retail store that has been operating for more than two years, you may qualify for a franchise or associate status. Under this affiliation program, which is provided by many different types of national retailers including Home Depot, Macy's, and Costco, your retail store will have the opportunity to be associated with one of their national stores. This will give your retail store the opportunity to expand into new areas and attract new types of customers that you would not otherwise have in your location.
Franchising is a well known marketing concept that has been used by many companies as a model for business expansion. A franchise agreement provides the basic structure of a business and is the starting point for the company's brand recognition, customer base and brand value. By buying into a franchise opportunity, the company ensures that they are building a brand that will resonate with the consumer and attract investment capital to finance the company's growth and success. The franchisee will receive advice from the franchisor on how to improve the company's performance and develop new opportunities for growth within the franchise agreement.
A franchise must commit to the franchise agreement in order to become a franchisee, and many will attempt to circumvent this requirement by purchasing a small business already established and paying the franchisor to become the company's stakeholder, rather than the actual business owner. This is a risky business because the business owner may have already exhausted their financial resources to build the small business, or they may have an idea for a new venture that would generate sufficient revenue to make it worthwhile. For the franchisee, therefore, committing to a long-term franchise relationship is essential in order to build equity and ensure the sustainability of the franchise.
Franchisees are provided with a unique opportunity to own their own outlet or shop where they can promote and sell their own products. The franchisor provides them with a large amount of advertising dollars so that their outlet is seen by the largest percentage of potential customers in their local market. However, in order to become a franchisee, you must also agree to purchase your own merchandise to sell in your own outlet and make sure that it meets all state and local laws. The franchisor will assist you in every way possible so that you can maintain your total sales.
Network marketing, also known as pyramid selling or multi-level marketing is an extremely controversial selling technique for the sale of goods or services where only the leader of the MLM business receives any kind of compensation from the sales of the downlines. That means that every person you recruit into the business is an additional potential sales representative and therefore should be compensated appropriately for his work. It's no secret that 97% of all MLM businesses fail in the first two years, primarily because the distributors do not have enough sales to keep them going. These companies eventually disintegrate and fold, leaving the distributors with the disappointment that comes with not being paid for their efforts. While it is true that there are many pyramid scams out there that can take advantage of others, there are many real network marketing opportunities as well.
There are different ways to recruit people into your multi-tier network marketing operations. You could start out by acquiring a list of business contacts through referrals, cold calling or by using a direct mail or telephone solicitation. Most people would view these as poor ways to recruit others into your business because there is an element of risk involved where you are actually depending on others to help you make money. On the other hand, by recruiting others into your business through a referral system or by cold calling, you eliminate the element of risk and you make it much easier for you to make money.
The best way to make money with network marketing is through the combination of direct sales with affiliate marketing programs. You can simply locate a company in which you wish to promote a product, such as a nutritional supplement or a fitness program, and then join up with them as an affiliate. In the process of doing so, you will gain exposure for your products - by making sales - and you can earn commissions for people who visit through your own link. Many MLM companies offer a very high income potential for those who are willing to combine their home business opportunity with affiliate marketing.
An apprenticeship within a dealership in retail or consumer service provides many benefits. Firstly, it gives you an opportunity to gain valuable customer service skills which are vital in your role. If you're looking for a career change that will see you up and walking in the door at every store, then a dealership in retail can provide a fantastic foundation upon which you build your career. Whether you already work within the auto industry, or you are completely new to the job market, a dealership in retail is a great place to start as you will have a variety of experiences to draw from and hone in on.
An onsite garage is another advantage which a dealership in retail provides. This provides the opportunity to be part of a closed system of people who share a common goal of customer care. Rather than having to deal with 'fly by night' operators who may not be interested in servicing your particular vehicle or have little experience of the job, you will be able to build a strong relationship with the other members of your team as you learn to work together. You also gain a valuable understanding of the business side of running a dealership. As a member of an onsite team, you'll know exactly where to go for any type of service or part replacement, as opposed to simply relying on having a 'click here to learn more' sign on the front of your shop window.
The second biggest advantage for those looking for a dealership in retail, is the access to a rural market which only an onsite garage provides. Because a vehicle is generally broken down there before it makes its way to the customer, a dealership provides you with the opportunity to quickly assess the problem and fix it, all before the vehicle makes its way to the customer! For many people who live in small communities where access to repair facilities may be few and far between, this can be a huge advantage. Because a dealership will often provide you with a mechanic who can take care of all of the broken down vehicles at one location, your entire lot becomes suddenly much more accessible and usable to customers.
Scroll down to read our indepth Ecommerce Platforms guide. What you should know, Ecommerce Platforms features, price plans and support. Pros and Cons of Ecommerce Platforms as a ecommerce, everything is explained below.
Shopify is a software company that specialises in ecommerce software for small to enterprise level businesses.
Shopify is listed as the best ecommerce software related to Ecommerce Platforms. Shopify was founded in 2006 in Ottawa, Canada and currently has over 6,124 employees registered on Linkedin.