San Juan de Dios Market in Guadalajara, Jalisco
Inside a supermarket in Russia
Walnut Market in Katra, Jammu & Kashmir, India
A marketplace is a location where goods and services are exchanged. The
traditional market square is a city square where traders set up stalls
and buyers browse the merchandise. This kind of market is very old, and
countless such markets are still in operation around the whole world.
In some parts of the world, the retail business is still dominated by
small family-run stores, but this market is increasingly being taken
over by large retail chains.
Retail is usually classified by type of products as follows:
Food products
Hard goods or durable goods ("hardline retailers") - appliances,
electronics, furniture, sporting goods, etc. Goods that do not quickly
wear out and provide utility over time.
Soft goods or consumables - clothing, apparel, and other fabrics. Goods
that are consumed after one use or have a limited period (typically
under three years) in which you may use them.
There are the following types of retailers by marketing strategy:
Department stores - very large stores offering a huge assortment of
"soft" and "hard goods; often bear a resemblance to a collection of
specialty stores. A retailer of such store carries variety of categories
and has broad assortment at average price. They offer considerable
customer service.
Discount stores - tend to offer a wide array of products and services,
but they compete mainly on price offers extensive assortment of
merchandise at affordable and cut-rate prices. Normally retailers sell
less fashion-oriented brands.
Warehouse stores - warehouses that offer low-cost, often high-quantity
goods piled on pallets or steel shelves; warehouse clubs charge a
membership fee;
Variety stores - these offer extremely low-cost goods, with limited selection;
Demographic - retailers that aim at one particular segment (e.g., high-end retailers focusing on wealthy individuals).
Mom-And-Pop : is a retail outlet that is owned and operated by
individuals. The range of products are very selective and few in
numbers. These stores are seen in local community often are family-run
businesses. The square feet area of the store depends on the store
holder.
Specialty stores: A typical speciality store gives attention to a
particular category and provides high level of service to the customers.
A pet store that specializes in selling dog food would be regarded as a
specialty store. However, branded stores also come under this format.
For example if a customer visits a Reebok or Gap store then they find
just Reebok and Gap products in the respective stores.
General store - a rural store that supplies the main needs for the local community;
Convenience stores: is essentially found in residential areas. They
provide limited amount of merchandise at more than average prices with a
speedy checkout. This store is ideal for emergency and immediate
purchases as it often works with extended hours, stocking everyday;
Hypermarkets: provides variety and huge volumes of exclusive merchandise
at low margins. The operating cost is comparatively less than other
retail formats.
Supermarkets: is a self-service store consisting mainly of grocery and
limited products on non food items. They may adopt a Hi-Lo or an EDLP
strategy for pricing. The supermarkets can be anywhere between 20,000
and 40,000 square feet (3,700 m2). Example: SPAR supermarket.
Malls: has a range of retail shops at a single outlet. They endow with products, food and entertainment under a roof.
Category killers or Category Specialist: By supplying wide assortment in
a single category for lower prices a retailer can "kill" that category
for other retailers. For few categories, such as electronics, the
products are displayed at the centre of the store and sales person will
be available to address customer queries and give suggestions when
required. Other retail format stores are forced to reduce the prices if a
category specialist retail store is present in the vicinity.
E-tailers: The customer can shop and order through internet and the
merchandise are dropped at the customer's doorstep. Here the retailers
use drop shipping technique. They accept the payment for the product but
the customer receives the product directly from the manufacturer or a
wholesaler. This format is ideal for customers who do not want to travel
to retail stores and are interested in home shopping. However it is
important for the customer to be wary about defective products and non
secure credit card transaction. Example: Amazon, Pennyful and eBay.
Vending Machines: This is an automated piece of equipment wherein
customers can drop the money in the machine and acquire the products.
Some stores take a no frills approach, while others are "mid-range" or "high end", depending on what income level they target.
Other types of retail store include:
Automated Retail stores are self-service, robotic kiosks located in
airports, malls and grocery stores. The stores accept credit cards and
are usually open 24/7. Examples include ZoomShops and Redbox.
Big-box stores encompass larger department, discount, general merchandise, and warehouse stores.
Retailers can opt for a format as each provides different retail mix to
its customers based on their customer demographics, lifestyle and
purchase behaviour. A good format will lend a hand to display products
well and entice the target customers to spawn sales.
Source : http://wulandariplace.blogspot.com/2013_03_01_archive.html
