Retail: What Type?
Costco and Sam’s Club are examples of this membership-based retail format.
Warehouse Club
A retailer’s own brand, such as Costco's Kirkland Signature, is called what?
Private label or store brand
A store beside a busy subway stop benefits from high pedestrian _____.
(Foot) traffic
Buying directly through a retailer’s website is an example of what kind of shopping?
Online retailing/e-commerce
The four Ps are product, price, place, and _____.
Promotion
Sephora focuses mainly on beauty products. What type of store is it?
Specialty store
Lighting, music, and store layout contribute to this part of the shopping experience.
Store atmosphere
A shop opens near the customers it most wants to serve. Which STP decision guides this choice?
Targeting
Customers browse products in a physical store but purchase them online, often to find a better price. What is this behavior called? A. Showrooming B. Webrooming
Showrooming
A retailer sells only through a few carefully selected outlets. Name the distribution strategy.
Selective distribution
A store sells clothing, cosmetics, furniture, and housewares in separate sections. Name the format.
Department store
When a company introduces a new product under an existing brand name in a different product category, what is this strategy called?
Brand extension
A store offers curbside pickup so customers can collect online orders. Which customer benefit improves?
Convenience
A retailer sells through stores, its website, and an app. What broad approach is this?
Multichannel retailing
Unlike a physical product, a haircut cannot be stored for sale next week. Name the service characteristic.
Perishability
A pharmacy begins selling toys, snacks, and seasonal décor. What retailing practice is this? A. Scrambled merchandising B. Exclusive distribution C. Brand extension
Scrambled merchandising
A retailer advertises luxury merchandise but presents it in a bargain-bin environment. What is inconsistent?
Positioning
A retailer opens several stores close together in the same market, potentially taking sales away from its existing locations. What is this called?
Market (or sales) cannibalization
What retailing strategy seamlessly integrates online and physical shopping channels to create a consistent customer experience?
Omnichannel retailing
A retailer adds a cheaper version under the same brand to reach price-sensitive shoppers. What brand strategy?
Line extension
A shoe store carries only footwear, but offers hundreds of styles. Describe its assortment. Options: A. Wide breadth, shallow depth B. Narrow breadth, deep depth C. Narrow breadth, shallow depth
Narrow breadth, deep depth
A retailer expands from three product categories to eight. Which assortment dimension increased? A. Breadth B. Depth C. Inventory Turnover
A. (Assortment) Breadth
Two sites cost the same; one has more visitors, the other more target customers. Which is preferable?
Better target-market fit
A website promises in-store pickup for an item that is actually sold out. What failed?
Inventory integration/inventory accuracy
A premium brand is sold everywhere, including bargain outlets. Which branding concern could arise?
Brand dilution/positioning mismatch