CHAPTER 16
MANAGING RETAILING,
WHOLESALING, AND
LOGISTICS
BY: CHARLYN B. PANUNCIAR
OBJECTIVES
• Know what major types of marketing intermediaries
occupy this sector
• Know what marketing decisions these marketing
intermediaries make
• Know what major trends are with marketing
intermediaries
RETAILING
includes all the activities involved in selling goods or
services directly to final consumers for personal,
nonbusiness use.
Types of Retailing
• Store Retailers
• Non-Retailing
• Corporate Retailing & Franchising
TYPES OF STORE RETAILERS
• Specialty store
• Department store
• Supermarket
• Convenience store
• Drug Store
•
•
•
•
Discount store
Off-price retailer
Superstore
Catalog showroom
TYPES OF STORE RETAILERS
Specialty store
Department store
Supermarket
TYPES OF STORE RETAILING
Convenience Store
Discount Store
Drug Store
TYPES OF STORE RETAILERS
Off-price retailer
Superstore
(factory outlets)
Catalog Showroom
LEVELS OF RETAIL SERVICE
Self-service
Self-selection
Limited service
Full service
NON-STORE RETAILING
Direct Selling
Direct Marketing
Buying Service
Automatic Vending
CORPORATE RETAILING &
FRANCHISING
RETAIL ORGANIZATIONS
Achieve many economies of scale, such as
greater purchasing power, wider brand
recognition, & better trained employees.
TYPES OF CORPORATE RETAIL
ORGANIZATIONS
•
•
•
•
•
•
Corporate chain store
Voluntary chain
Retailer cooperative
Consumer cooperative
Franchise organization
Merchandising conglomerate
CORPORATE RETAILING &
FRANCHISING
Franchising System
is a system of individual franchisees, a tightly
knit group of enterprises whose systematic
operations are planned, directed, and
controlled by the operation’s franchisor.
TRENDS IN RETAILING
ALIBABA THE NEW RETAIL VIDEO
TRENDS IN RETAILING
1. New retail forms and combinations
2. Growth of intertype competition
3. Competition between store-based and
non- store-based retailing
4. Growth of giant retailers
5. Growing investment in technology
6. Global presence of major retailers
7. Growth of Market Shoppers
MARKETING DECISION
in Retail Environment
WHOLESALING
All the activities involved in selling goods
or services to those who buy for resale
or business use.
WHOLESALING
Wholesalers’ Functions
•
•
•
•
•
•
•
•
•
Selling and promoting
Buying and assortment building
Bulk breaking
Warehousing
Transportation
Financing
Risk bearing
Market information
Management services and counseling
MAJOR WHOLESALER TYPES
• Merchant wholesalers
• Full-service wholesalers
• Limited-service wholesalers
• Brokers and agents
• Manufactures’ and retailers’ branches
and offices
• Specialized wholesalers
TRENDS IN WHOLESALING
1. Sought clear agreement about their
expected function in the marketing
channel
2. Gained insight into the manufacturers’
requirements by visiting their plants
3. Fulfilled commitments by meeting volume targets
4. Identified and offered value-added services to
help their suppliers
MARKET LOGISTICS
INTEGRATED LOGISTICS SYSTEMS
Utilize technology to enhance efforts in linking
materials management, material flow systems, and
physical distribution
MARKET-LOGISTICS OBJECTIVES
Getting the right goods to the right places at the right
time for the least cost
MARKET LOGISTICS DECISIONS
ORGANIZATIONAL LESSONS
market-logistics strategies must be derived from
business strategies, rather than solely from cost
considerations