Marketing in Action
Specialty Stores
The Gap’s product
lines are limited to
clothing and
accessories for
men, women, kids,
and babies. In
addition to regular
sizes, petite and
tall sizes are
available in a
variety of clothing
items.
http://www.gap.com/browse/home.do
Copyright 2007, Prentice-Hall, Inc.
11-1
Let’s Talk!
Would you consider Lowe’s to be a
category killer? Why or why not?
Copyright 2007, Prentice-Hall, Inc.
11-2
Relative Prices Classification
 Discount stores
 Off-price retailers
– Independent off-price
retailers
– Factory outlets
• Factory outlet malls
• Value-retail centers
– Warehouse club
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11-3
Marketing in Action
Factory Outlet Malls
Factory outlet malls and
value-retail centers have
blossomed in recent
years, making them one of
the hottest growth areas
in retailing.
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11-4
Organizational Classification
 Corporate chain
stores
 Voluntary chain
 Retailer
cooperative
 Franchise
 Merchandising
conglomerates
Copyright 2007, Prentice-Hall, Inc.
True Value is an example
of a voluntary chain.
11-5
Marketing in Action
Retailing Franchise Opportunities
Not all
franchise
opportunities
are in fast
food. In fact,
franchises
now account
for 40 percent
of all retail
sales in the
United
States.
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11-6
Organizational Classification
 Merchandising
Conglomerates
– Corporation that
combines several
diversified retailing
lines and forms
under central
ownership, as well as
some integration of
their distribution and
management
functions.
Limited Brands operates six retail
brands. Visit the Web site for
details.
www.limitedbrands.com
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Figure 11-1
Retailer Marketing Decisions
Copyright 2007, Prentice-Hall, Inc.
11-8
Marketing in Action
Amazon Targets Its Market
Online retailer
Amazon uses a
sophisticated
database to
track customer
purchases and
individually
target buyers
by suggesting
other items
that fit past
purchase
profiles.
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11-9
Marketing in Action
Experiential
Retailing
Mall of America
pioneered the
experiential
retailing concept
and remains the
#1 retail tourist
attraction in the
nation.
www.mallofamerica.com
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11-10
Types of Shopping Centers
 Regional shopping





center or mall
Community
shopping center
Neighborhood
shopping center
(strip mall)
Power center
Megamalls
Lifestyle centers
Copyright 2007, Prentice-Hall, Inc.
Which form of shopping
center appears to be
represented by the photo?
11-11
Marketing in Action
What’s Next for Mall of America?
Megamall superstar, the Mall of America, has begun
a billion dollar Phase II expansion that will include a
world class casino, concert and performing arts hall,
multi-cultural exhibits, indoor golf course, NHL-sized
ice rink, themed hotel rooms, and of course, highend retail stores.
Copyright 2007, Prentice-Hall, Inc.
11-12
Marketing in Action
Wholesalers
Grainger, the leading
wholesaler of
maintenance, repair,
and operating (MRO)
supplies, succeeds by
making life easier for
the entire marketing
channel.
Copyright 2007, Prentice-Hall, Inc.
11-13
Figure 11-2
Wholesaler Marketing Decisions
Copyright 2007, Prentice-Hall, Inc.
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