What is Retailing?

• buying products from wholesalers

• pricing the products

• keeping the store in good condition

• displaying the products

• employing sales assistants

• providing necessary product information to customers

• providing after sales service

Retailing Methods

Telephone

Retail Store

Internet

Vending machines

Direct Mail

Types of Retail StoresTypes of Retail Stores

Specialty Store

Convenience Store

Department Store

SupermarketHypermarket

Specialty Store

Specialty stores sell a specific range of products and related items such as clothing, accessories, shoes and bags, books and stationery, and medicine and toiletries.

Specialty Store

• Cater to a specific market

• Have a distinct image

• Offer a wide selection of specific range of products

• Offer personalised service

• Offer expert product knowledge

Convenience Store

Convenience stores are small stores that sell a limited variety of fast-moving basic food and non-food products.

Convenience Store

These products include:• food such as drinks, bread, instant noodles, biscuits and snacks;

• printed materials such as newspapers and magazines and

• healthcare and beauty items such as soap, shampoo, medicine and plasters

Convenience StoreConvenience StoreSome other characteristics are:• Sell products that are purchased daily or frequently used by customers

• Sell products that are usually inexpensive

• Located in neighborhood areas, along busy roads or petrol stations

• Usually open for long hours for seven days a week

Department Store Department Store

Department stores are large retail stores with many different departments selling a wide variety of products.

Department stores provide shoppers with a ‘one-stop’ shopping experience. This means that customers can probably buy most of the things they need within the same department store.

Department StoreDepartment Store

Some other characteristics are:• Located in major shopping centres

• Have more than one floor • Provide a wide range of customer services such as delivery, alteration of clothing and gift wrapping

• Provide special staff expertise in various product departments

Supermarket Supermarket

Supermarkets are large stores that sell groceries, fresh produce, dairy products and household items.

Supermarkets are bigger in size in comparison to convenience store and sell their products at cheaper prices.

SupermarketSupermarket

Some other characteristics are:• Sell mainly food products• Offer competitive prices• Encourage self-service

Hypermarket Hypermarket

Hypermarkets are markets that combine the features of a supermarket, a department store and specialty store. They carry an enormous range of products under one roof. These products include a full range of groceries, household products and apparel.

… is the overall impression that customers have of the

store.

Presentation of Merchandise

Store Layout

Store Design

LightingFixtures

Product Selection

Product Price Customer Service

… … is the appearance of the store. is the appearance of the store. It is the most important element It is the most important element to consider when making a store to consider when making a store

look attractive. look attractive.

Store Design Store Design

Exterior of the Store Exterior of the Store Interior of the Store Interior of the Store

Exterior of the Store Exterior of the Store Store Signage

Entrance

Display

Window

Display WindowDisplay Window… is the visible area located beside the store entrance. It is used to showcase the merchandise the store is selling.

Store Signage Store Signage

… shows the store name and/or logo. A store name should be easy to read and remember. It should also reflect the store image.

Store Entrance Store Entrance

… must make the customer feel welcome. Most stores have wide, open and inviting store entrances. This allows the attractive interior to be seen.

Interior of the Store Interior of the Store

… consists of the ceiling, flooring and walls. The general design must be in harmony with the exterior to present the right image.

Interior of the Store Interior of the Store

It affects the customers’ buying mood and influences his/her decision to buy the products.

Interior of the StoreInterior of the Store

… white flooring gives the impression of cleanliness… wooden flooring improves

the quality image of the store

A store layout is needed to show the arrangement and location of things within the store such as

fixtures, products, cashier counters and fitting rooms.

Store Layout Store Layout

The retailer must consider:

• how to allocate more space to products that are profitable and sell well

• how the products should be displayed

• what types of fixtures to use

• where the fixtures should be located

• where the cashier counters should be located

• where the fitting rooms and store rooms should be located

Store Layout Store Layout

The layout of the store will determine how a customer will walk within a store. It is important that the store be designed to allow enough space for the customers to browse and view the products.

Grid Pattern LayoutGrid Pattern Layout

The most common type of floor layout is the grid pattern layout. It is a straightforward arrangement of fixtures that makes use of good space. It also makes it easy for customers to walk about, encourages self-service and discourages shop lifting.

Products that are bought or sold in businesses

On the selling floor

On the fixtures

In the window

Steps

1. Decide on a theme for the window. You can base it on the merchandise or an event.

2. Select suitable merchandise and props according to the theme.

Steps

3. Arrange the merchandise and props to attract customers’ attention.

4. Make sure there is enough lighting on the merchandise and props so customers can see them clearly.

Steps1. Divide all the merchandise into various categories.2. Think about how the customers will shop for he various

categories of merchandise.3. Decide where to put the various categories of merchandise.4. Use the cross-presentation idea to present your

merchandise.

Cross presentation is the putting related products together to encourage

customers to buy more.

Steps1. Use merchandise

fixtures such as racks, hang bars, shelves and tables.

2. Select a suitable fixture to match the merchandise.