Transcript BUS222day22
CHAPTER Day 21 BUS 222 Agenda • Questions? • Assignment 6 posted Due • Marketing plans Due May 10 – 5 min presentation on May 8 – Marketing plan guidelines and example.pdf • Quiz 5 corrected – 5 A’s, 5 B’s, 7 C’s, 1 D and 1 F • Next Quiz is April 23 • Discussion on Retailing and Multichannel Marketing 15-2 Remaining Schedule • Today • Apr 30 – Assignment 6 Due – Chap 16 Retail and Multichannel Marketing • Apr 19 – Chap 18 Personal Selling and sales management – Assignment 7 due? • May 3 – Chap 17 Integrated Marketing Communications • • Apr 23 – Quiz 6 • Apr 26 – Chap 18 Advertising, Public relations and sales, promotion – Quiz 7 May 8 @ 10 AM – Marketing plan presentations • May 10 – Completed marketing plans due @ 3 PM 15-3 CHAPTER RETAILING AND MULTICHANNEL MARKETING McGraw-Hill/Irwin 16 Copyright © 2012 by The McGraw-Hill Companies, Inc. All rights reserved. Retailing and Multichannel Marketing LEARNING OBJECTIVES LO1 Discuss the four factors manufacturers should consider as they develop their strategy for working with retailers. LO2 Outline the considerations associated with choosing retail partners. LO3 List the three levels of distribution intensity. LO4 Describe the various types of retailers. LO5 Describe the components of a retail strategy. LO6 Identify the benefits of stores. LO7 Identify the benefits of multichannel retailing. LO8 Detail the challenges of multichannel retailing. 15-5 Barbie Megastore Imaginechina via AP Images http://cn.barbie.com/ 15-6 Factors for Establishing a Relationship with Retailers 15-7 Choosing Retail Partners Channel Structure Degree of vertical integration Manufacturers brand Power of manufacturer and retailer ©M Hruby 15-8 Choosing Retail Partners Customer Expectations 15-9 Choosing Retail Partners Channel Member Characteristics Larger firms Less likely to use supply chain intermediaries Can gain more control, be more efficient, and save money. 15-10 Choosing Retail Partners Intensive ©Jeff Greenberg/PhotoEdit Distribution Intensity Selective ©Susan Van Etten/PhotoEdit Exclusive 15-11 Distribution Intensity Why might Birkenstock choose an exclusive distribution intensity? Courtesy Birkenstock USA 15-12 Check Yourself 1. What issues should manufacturers consider when choosing retail partners? 2. What is the difference between intensive, exclusive, and selective levels of distribution intensity? 15-13 Courtesy wwwadbustersorg Retailer’s Reaction? How do you expect retailers would respond to this? 15-14 Types of Retailers 15-15 Food Retailers Supermarket Limited nonfood Supercenter Warehouse Club Includes Limited discount store assortment Wal-Mart, Differentiates Meijer, different K-Mart, types of foods Target Convenience Store Limited variety Little service Includes: Good Costco, Sams, locations BJ’s Peapod Website 15-16 General Merchandise Retailers Department Stores Full-line Discount Specialty Drugstores Category Specialist Extreme value Off-Price •Broad variety and deep assortment •Broad variety at low prices •Limited merchandise with service in small store •Specialty for pharmaceutical and heath •Discount with narrow but deep assortment •Full line, limited, very low prices •Inconsistent assortment of brand name at low prices 15-17 Kmart and Sears 15-18 GNC Private Brands Courtesy GNC Corporation Courtesy GNC Corporation 15-19 Check Yourself 1. What strategies distinguish the different types of food retailers? 2. What strategies distinguish the different types of general merchandise retailers? 3. Are organizations that provide services to consumers considered to be retailers? 15-20 Developing a Retail Strategy Using the Four P’s: Product AP Photo/David Kohl Providing the right mix of merchandise and services 15-21 Price Courtesy DDB - London Price defines the value of both the merchandise and the service provided Build-a-Bear Workshop Commercial 15-22 Courtesy Bass Pro Shops AP Photo/MarkHumphrey Promotion Retailers use a wide variety of promotions, both within their retail environment and through mass media 15-23 Place ©M Hruby Convenience is a key ingredient to success The McGraw-Hill Companies, Inc/ Jill Braaten, photographer 15-24 Wal-Mart Faces Biggest Civil Rights Suits 15-25 Benefits of Stores for Consumers Browsing Touching and Feeling Personal Service Cash and Credit Entertainment and Social Interaction Instant Gratification Risk Reduction 15-26 Benefits of the Internet and Multichannel Retailing Deeper and Broader Selection Personalization Gain Insights into Consumer Shopping Behavior Increase Customer Satisfaction and Loyalty Expand Market Presence 15-27 Courtesy LL Bean How does the Internet Improve Multichannel Shopping? 15-28 Retailers can do more online… Zafu Website 15-29 Perceived Risk in Internet Shopping Courtesy Zafu 15-30 Effective Multichannel Marketing Integrated CRM Brand Image Pricing Supply Chain 15-31