Share On

Retail is sale that occurs when a business sells its service or product to an individual consumer. It can occur through a number of different sales channels which could be online, direct sales, mail or in a brick-and-mortar storefront.

Different kinds of Retail Businesses

There are a large number of retail establishments across the world, from salons to gas stations and restaurants to stores.

There are four kinds of retailers; they come under these categories, food, consumables, hard goods and softliners.

Different types of retail stores exist within these categories, the ones that are most common are: the department stores. It is mostly the largest and oldest place where shopping is done under one roof for a variety of products. The best example to be cited is Target and Macy’s. The discount stores are outlets where discounted items and lower priced brands are stocked. The best examples are K-mart and Wal-mart. The local storefronts and corner stores, which are smaller in size and run by individuals, popularly known as Mom-and-Pop stores are often niche stores. The Big Box Store that specializes in selling one type of product, such as electronics. Some of the best examples are Beyond and Best Buy. Another common type is the Warehouse stores that require one to be a member in order to access their low prices. Costco is an example. The internet holds its ground in retail with the E-tailers. It refers to the retailers that sell online, delivering their products to the consumer’s doorstep. These e-tailers do not have physical stores, Amazon is an example. 

Inner Working of Retail Industry

The retail supply chain constitutes the activities of the manufacturer, wholesaler, retailer, and the consumer.  The retail process begins with the products being sold by the manufacturers to the wholesaler. In the next step, these products are sold by the wholesaler to the retailer, and then the retailer resells these products to the end consumer. At all these link-ups, the selling-buying activity takes place.  For each step within a chain, a specific profit margin is associated. Before the product is sold, the cost of making a product is calculated by the manufacturer and a profit percentage is added.  The profit percentage is added by the wholesalers to the amount they paid for the products. Finally, the consumer buys the product from the retailer who adds his own profit margin to the cost of the product. 

In a retail sale, the sale is completed, when traditionally the retail stores would have their customer bring purchases to a cash register and subsequent tallying of the cost. This principle has undergone a subtle improvement with the online buying and supermarkets that have self-check-out lanes.

Significance of Retail

The significance of retail is evident from the supply chain, because the final ‘selling-buying’ activity is between the retailers and the consumers. Retailing helps the manufacturers in focusing on the core competence—manufacturing of the product rather than chasing the end users to buy the product.

Retailers make buying a product an easy process for the customers. This explains the need for sales people, the customer service instant chat pop-ups on websites, and the photos, descriptions, toll free numbers found in catalogs. 

On a whole retailers gives the customer needed service by providing the product asked for.  

Online Reviews: Are they helping or hurting your business?

White Paper By: Retailer Web Services

Online reviews are essential for the reputation of local businesses. When a company provides a service or a product, the customer is either satisfied or dissatisfied. In the digital world today, customers often take their experience straight to the web.  Online business reviews will no longer be a source of embarrassment or anxiety—they’ll be an incredible asset to your...

Developing Complex Solutions in Mobile, Web, Embedded, and UX/UI Areas

White Paper By: Archer Software

Development of interfaces and applications meeting the current requirements, both in terms of ergonomics and design and in terms of reliability and performance (UI, UX) is a daunting task. This whitepaper focuses on automotive space demonstrating a wide range of software development edges: building Telematics and ADAS systems, helping clients creating prototypes, creating retail and...

How to Win the Digital Retail Race with Effective API Design Management

White Paper By: digitalML

Helping retailers provide a seamless digital experience Continuing innovations in store technology that transform the retail experience, powered by mobile apps, API design management, interactive displays, and other elements are designed to fit together with digital services and big data insights into a cohesive whole. This whitepaper provides insights on how leaders can be successful by...

Personalisation In Retail

White Paper By: Apptus

Personalization in online retail – Let’s cut through the noise and improve the customer experience. There’s no doubt that personalization is an important element to any online retail store, but personalization is not an end in itself. It exists to help retailers meet their aims. This whitepaper discusses about the types of personalization software, and offers some...

Selecting Personalisation Software - An Overview

White Paper By: Apptus

Although ecommerce is now a relatively mature industry, the software solutions that form the basis for the industry are still very much evolving. So, if you’re in the process of selecting personalization software where should you begin and what questions should you ask? This whitepaper offers some simple advices to help you through the process so that you can select the...

Shipping Nirvana: A Guide to Efficient Shipping

White Paper By: Ship Station

Shipping process has changed dramatically over the past few yearsĀ and there are many reasons a customer may be ticked off. When you're first starting to build out your shipping process, it's easy to just do what gets the orders out the door and never re-visit how to make your processes more efficient. This whitepaper helps eCommerce companies become more efficient shippers. Key...

follow on linkedin follow on twitter follow on facebook 2018 All Rights Reserved | by: www.ciowhitepapersreview.com