Marketing Ch 15 Retailing & Multichannel Marketing

Big box retailers
Discount stores that offer a narrow but deep assortment of merchandise.
Cannibalization
Customers who formerly made purchases through one retail channel switch to a different retail channel without increasing the overall sales to the retailer.
Category killers
A specialist that offers an extensive assortment in a particular category, so overwhelming the category that other retailers have difficulty competing.
Category specialists
A retailer that offers a narrow variety but a deep assortment of merchandise.
Close-out retailers
Stores that offer an inconsistent assortment of low priced, brand name merchandise.
Convenience stores
Type of retailer that provides a limited number of items at a convenient location in a small store with speedy check-out.
Conventional Supermarket
Type of retailer that offers groceries, meat, and produce with limited sales of nonfood items, such as health and beauty aids and general merchandise, in a self-service format.
Cookie
Computer program, installed on hard drives, that provides identifying information.
Department stores
A retailer that carries many different types of merchandise (broad variety) and lots of items within each type (deep assortment); offers some customer services; and is organized into separate departments to display its merchandise. (Macy’s, JCPenney, Kohl’s Nordstroms, Dillards, Neiman Marcus)
Distribution intensity
The number of supply chain members to use at each level of the supply chain.
Drugstores
A specialty store that concentrates on health and personal grooming merchandise, though pharmaceuticals may represent more than 60 percent of its sales.
Exclusive distribution
Strategy in which only selected retailers can sell a manufacturer’s brand.
Extreme value retailers
A general merchandise discount store found in lower-income urban or rural areas.
Factory outlets
Outlet stores owned by manufacturers.
Full-line discount stores
Retailers that offer low prices, limited service, and a broad variety of merchandise.
Home improvement center
Category specialist that offers home improvement tools for contractors and do-it-yourselfers.
Intensive distribution
A strategy designed to get products into as many outlets as possible.
Irregulars
Merchandise with minor construction errors.
Limited assortment supermarkets
Retailers that offer only one or two brands or sizes of most products (usually including a store brand) and attempt to achieve great efficiency to lower costs and prices. (also known as Extreme Value Food Retailers)
Mobile commerce (M-commerce)
communicating with or selling to consumers through wireless handheld devices such as cellular phones.
Multichannel strategy
Selling in more than one channel (e.g., stores, Internet, catalog).
Off-price retailers
A type of retailer that offers an inconsistent assortment of merchandise at relatively low prices.
Online chat
Instant messaging or voice conversation with an online sales representative.
Opt in
The option giving consumer complete control over the collection and dissemination of his/her personal information, usually referred to in an Internet setting.
Opt out
The option whereby consumer must actively choose to prevent personal information from being used or shared with third parties, usually referred to in an Internet setting.
Outlet stores
Off-price retailers that often stock irregulars, out-of-season merchandise, or overstocks from the parent company.
Retailing
The set of business activities that add value to products and services sold to consumers for their personal or family use; includes products bought at stores, through catalogs, and over the Internet, as well as services like fast-food restaurants, airlines, and hotels.
Selective distribution
Lies between the intensive and exclusive distribution strategies; uses a few selected customers in a territory.
Service retailers
A firm that primarily sells services rather than merchandise.
Share of wallet
The percentage of the customer’s purchases made from a particular retailer.
Specialty stores
A type of retailer that concentrates on a limited number of complementary merchandise categories in a relatively small store.
Stock keeping unit (SKU)
Individual items within each product category; the smallest unit available for inventory control.
Supercenters
Large stores combining full-line discount stores with supermarkets in one place.
Warehouse clubs
Large retailers with an irregular assortment, low service levels, and low prices that often require membership for shoppers.