Retail Foundations
What is retailing?
The sale of goods or services directly to consumers for personal or household use
What is a planogram?
A visual diagram that shows product placement on shelves to maximize sales and space use
Define "inventory turnover"
How often inventory is sold and replaced over a period (often measured as cost of goods sold divided by average inventory)
What does "upselling" mean?
Encouraging customers to buy a higher-end version or add improved features.
Name two entry-level retail roles and one key responsibility for each.
Sales associate - assist customers and process transactions
Stock clerk - receive and organize inventory
Name two types of retailers (based on merchandise breadth or ownership)
Specialty store, department store, supermarket, discount store, online-only retailer
Ownership types: independent, chain, franchise
List three duties typically included in opening or closing store procedures
Security checks, cash drawer reconciliation, restocking, cleaning, setting displays, unlocking/locking doors.
What is the purpose of safety stock?
Safety stock is extra inventory held to protect against demand variability or supply delays
Provide two examples of ways to personalize the in-store customer experience.
Personalized greetings using loyalty data, tailored product recommendations, targeted promotions, assisted fitting
What is professional development and why should retail employees pursue it?
Training and learning to improve skills, stay current, and increase advancement potential
Define "target market" and explain why it matters to a retailer.
The specific group of consumers a retailer aims to serve; it guides product mix, pricing, promotion and store design
Explain the difference between visual merchandising and display merchandising
Visual merchandising focuses on store-wide look and atmosphere (fixtures, signage). Display merchandising focuses on specific product group presentations.
Explain the difference between push and pull supply chain systems
Push systems forecast demand and push inventory forward; pull systems reorder based on actual demand signals
Describe how point-of-sale (POS) data can be used to improve sales
POS data reveals sales patterns, peak times, popular SKUs and customer preferences - informs pricing, staffing and promotions.
Describe how goal setting (SMART goals) can improve an associate's performance
SMART goals are Specific, Measurable, Achievable, Relevant, Time-bound. They make progress trackable and actionable
What is gross margin and why is it important to retail profitability?
Gross margin = sales revenue minus cost of goods sold; it indicates how much a retailer retains to cover operating expenses and profit.
What factors should a retailer consider when choosing store layout
Customer traffic flow, product types, security, visibility, accessibility, and brand experience
How does SKU rationalization help inventory management?
SKU rationalization reduces slow-moving or redundant items, lowering carrying costs and simplifying ordering
Explain the benefits of omnichannel retailing for customers.
Provides seamless shopping across online, mobile, and in-store channels, improving convenience and retention
What skills should a candidate highlight when applying for a department manager role?
Leadership, merchandising knowledge, inventory control, problem-solving, communication skills
Describe the role of retail trends and give one recent example that affects store strategy
Growth in e-commerce and curbside pickup influencing store fulfillment
Describe how category management improves merchandising decisions and customer experience
Category management groups products by consumer need, uses data to set assortments, pricing and promotions to maximize category performance.
Outline the steps of a basic replenishment cycle from sales to restock.
Sales reduce on-hand inventory, POS sends demand data, reorder decision placed, supplier ships, good received and stocked
Mrs. B
Explain how networking and mentorship can support long-term career growth in retail and give one example activity for each
Attending industry events, join associations. Mentorship