Chapter 6
? To Examine Characteristics of Non-
Store Retail Strategy Mixes
? To Explore Emergence of Electronic
Retailing
? To Discuss Two Other Nontraditional
Forms of Retailing
? Sold Through Nonpersonal Medium
? Two Categories
– General
– Specialty
? Reduced Costs
? Lower Prices
? Shopping Convenience
? Market Segmentation Easy
? Geographic Expansion
? Limited Product Examination
? Underestimated Entry Costs
? Less Than 10% Purchase
? Clutter
? Prices and Styles Difficult to Plan
? Industry Bad Name
? Mail
? TV
? Radio
? Magazine
? Newspaper
? Phone Directory
? Fax
? Evolving Attitudes and Activities of Direct
Marketers
? Changing Consumer Life-Styles
? Increased Competition Among Firms
? Greater Use of Dual Distribution Channels
? Newer Roles for Catalogs and TV
? Technological Advances
? Mounting Interest in Global Direct Marketing
Business
Definition
Generating
Customers
Media
Selection
Presenting
the Message
Customer
Contact
Customer
Response
Measuring
Results &
Maintaining
the Data Base
Order
Fulfillment
? People Dislike
? Customer Privacy
? Dual Distribution Requires Consistency
? Rising Postal Rates
? Legal Environment
? Personal Contact in Homes
? Phone Solicitations
? Strategy Mix
– Convenient Shopping
– Personal Touch
? Working Women
? Small Applicant Pool
? Low Sales Productivity
? High Sales Force Turnover
? Above Average Prices
? Legal Restrictions
– High Pressure Sales
? Poor Image
? Product Types
? Pricing
? Most Common Places for
Purchase
? Internet
? World Wide Web
? Project a Retail Presence
? Generate Sales
? Enhance Image
? Geographic Diversity
? Provide Information
? Customer Service
? Add Personalization
? Cost-efficient
? Customer Feedback
? Special Offers
? Job Opportunities
? Brand Identity
? Convenience
? Cross-Merchandising
? Culture
? Customer Service
? Design
? Free Shipping
? Fashion
? Fulfillment
? Fun and Entertainment
? Information Integration
? Personalization
? Public Relations/Marketing
? One-Click Ordering
? Selection
Stage 1,
Brochure Web Site
Stage 2,
Commerce Web Site
Stage 3,
Web Site Integrated w/
Existing Processes
Stage 4,
The,Webified” Store
Stage 5,
Site Integrated w/
Manufacturer Systems
? Finding Things
? Seeing Purchases
? Customer Service
? Dual Distribution Continuity
? Customer Privacy
? Video Kiosks
? Airport Retailing
? The Characteristics of,
– Direct Marketing
– Direct Selling and Vending Machines
– Vending Machines
? Electronic Retailing Through the
World Wide Web
? Video Kiosks
? Airport Retailing
Questions?
Questions?