Multichannel RetailingAssignment 1 Ashley Gann

Store Channel• A location where consumers can literally walk in, see the

product, and purchase it right then and there.– Immediate Gratification – No waiting time– Touching and Feeling Products – Using all 5 senses to examine a

product– Personal Service – Salespeople can provide meaningful, personalized

info

• Department Stores– JCPenny, TJ Maxx

• Convenience Stores– Common Cents

• Grocery Stores– Safeway, Family Thrift Center

Internet Channel• Consumers can view products via the Internet

– Deeper and Broader Selection – Extreme variety and assortment from a huge selection of retailers

– More Info Evaluating Merchandise – Vast amount of info available online including reviews or recalls to easily compare

– Personalization – Web pages collect info you provide to market to your taste as well as provide live chats to talk to customer service

• Amazon

• Online Auctions– Ebay

• Most retail stores have a website to order off of as well

Catalog Channel• Printed catalog mailed to consumers displaying products

sold

– Safety – Ability to shop wherever you feel most safe

– Convenience – Ability to choose your shopping location

– Easy to Use – Index for easy navigation

• Avon

• Some Department Stores– JCPenny

Automated Channel• Products are displayed in machines that dispense directly to

consumers– Convenient – Located in high traffic areas– Payment Method – Cash, Credit or Debit Cards– Variety – Nearly anything small can be placed in a vending machine

– Food, Drink, Movies, Tobacco, First Aid, Hygiene products

• Movie Rentals– Redbox

• Hotels– Hygiene products (Combs, Razors, etc)

• Drink Companies– Coke, Pepsi, Powerade

Store vs. Internet

Store Pros

• Touching and Feeling

• Personal Service

• Risk Reduction

• Immediate Gratification

• Entertainment/Social

• Browsing

• Cash Payment

Internet Pros

• Safety

• Convenience

• Broad and Deep Assortment

• Extensive and Timely Information

• Personalization

Store vs. Internet

Store Cons

• High Traffic

• Smaller Variety and Assortment

• Limited Product Information

• No Personalization

• Less Safe

Internet Cons

• No Physical Touch and Feel

• Product Waiting Time

• No Cash Payment

• Limited Customer Service

Store + Direct-Selling • Both methods display the act of a salesperson and

consumer meeting face-to-face to conduct a business transaction

– This would improve newer businesses that don’t have their name out

yet

– Expand market reach

– Sell to less developed countries

– Handicapped or disabled that are unable to go directly to store or shop

online

– Create a more personal, friendly feel to shopping