1. R ETAILING - 3 MKT 405: Distribution Management M Wahidul Islam Summer 2014

2. Elements of Distribution Management Planning, Forecasting & Budgeting Sales Force Management Product Pricing and Promotion Product Visibility Distribution Channels Channel Information Systems Warehousing and Logistics

3. D IFFERENT V ARIATION OF R ETAILS BATA, TITAN ? AGORA, K-MART ARGOS UK AMAZON Nike BATA Vegetables Walmart Shwapno Coca-cola Right around the corner. For daily needs Convenience Retail Specializes on a specific product types Specialty Shop / Boutique Shop Slightly bigger in size than convenience store Goods usually kept in different sections Departmental Store Bigger in size. Product Stock high Products organized in terms of category Superstore Sells through catalogues with inventory store backing up Catalogue Shop Usually sells additionally (i.e. export-surplus) produced items Sometimes for a cut price Factory Outlet Buying in bulk from the producer and selling at a discounted price Discount Stores Kiosks / Vending Machines Common for Bangladesh Hawkers Smaller set-up of retail function No sales person ?

4. Price Location Product Selection Special Services Helpful Salespeople Fairness in Dealings How does a customer decide from which retailer to buy?

5. Price Location Product Selection Image in Customer’s Mind Store Design Critical Factors in Retail Strategy

6. R ETAIL G ROWTH S TRATEGY Market Penetration Market Penetration Format Development Market Expansion Market Expansion Diversification (unrelated / related) ExistingNew Existing Target Markets Retail Format

7. R ETAIL G ROWTH S TRATEGY M ARKET P ENETRATION Directing efforts towards existing customers by using the present retail format Attracting customers who do not shop or increase frequency of visits Approaches Opening more stores Keeping stores open for longer Displaying merchandizing to increase impulse purchase Cross-sell

8. R ETAIL G ROWTH S TRATEGY M ARKET E XPANSION Employs existing retail format in new market segments New geographic locations New product variety

9. R ETAIL G ROWTH S TRATEGY R ETAIL F ORMAT D EVELOPMENT Different format / different retail mix to the same target market Can also be adding new categories Exploring new way of retailing

10. R ETAIL G ROWTH S TRATEGY D IVERSIFICATION New retail format for a market segment not currently served Can be, Related Has some common elements, like using same channel, same vendor, same distributor Unrelated Lacks common elements Vertical / Backward Integration When retail also starts gets into wholesaling or manufacturing Forward Integration Manufacturer performing retailing or other channel members role

11. R EFERENCES Chapter 10 – Channel Institutions: Retailing Havaldar K. and Cavale V. M. (2011) Sales and Distribution Management – Text and Cases (2 nd Edition) Delhi: Tata McGraw-Hill Education Private Limited Chapter 5 – Retail Market Strategy Levy M. and Weitz B. A.(2004) Retailing Management (5 th Edition) New York: McGraw- Hill Companies, Inc.

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