Jeopardy! Retail Management Challenge

Strategy & Location

100

What is a target market?

A target market is the market segment towards which the retailer plans to focus its resources and retail mix.

200

What is a convenience store?

A store that provides a limited variety and assortment of merchandise at a convenient location with speedy checkout.

300

What is an anchor? Define and explain its role using an example.

A major retailer within a shopping centre, such as Macy's, Walmart, etc, that attract a significant number of consumers and consequently make the centre more appealing for other retailers.

400

What is positioning? And how can it be communicated through perceptual map?

Positioning is the design and implementation of a retail mix to create an image of teh retailer in the customer's mind relative to its competitors. Perceptual maps use various dimensions, such as price, quality, traditional/fashion forward, etc to demonstrate where the company sees/positions itself.

500

What is Retail format development? Describe using an example.

A retailer develops a new retail format with a different retail mix- for the same target market. Eg. The UK based retailer Tesco operated several different food store formats that all cater to essentially the same target market: Tesco Express, Tesco Metro, Tesco Superstore.

Layout, Design and Visual Merchandising

100

What is the term for the equipment used to display merchandise in the stores?

Fixtures

200

What are the three main layout types?

Grid, Racetrack, Free-form.

300

Name at least 4 types of fixtures used for visual merchandising in stores.

Straight rack Rounder Four-way fixture Gondola Table

400

Name at least 6 feature areas that may be used to influence the buying behaviour of consumers?

Windows Entrance Free-standing displays Mannequins End Caps Promotional aisle/area walls dressing rooms cash wraps

500

Describe at least 5 presentation techniques.

Item and size presentation colour presentation price lining vertical merchandising tonnage merchandising frontal presentation

Supply Chain Management

100

What is stockout?

A stockout occurs when an SKU that a customer wants is not available in the store.

200

Define EDI and describe its use in supply chain management.

ELectronic Data Interchange - a system in which teh communication between vendor and retailer occurs electronically, allowing to automate collection of information (save time and effort) .

300

Briefly outline the stages of merchandise flow from the vendor to the customer.

Vendor -> Distribution Centre -> Store -> Customer or Vendor -> Store -> Customer

400

Distinguish between push and pull supply chain strategies.

Pull supply chain - a supply chain in which requests for merchandise are generated at the store level on the basis of POS data Push supply chain - in which merchandise is allocated to the stores on the basis of central demand forecasts.

500

Describe at least 5 functions of a Distribution Centre

1. Management of Inbound logistics 2. Receiving and Checking 3. Storing and Cross-Docking 4. Getting merchandise floor ready 5. Preparing to ship merchandise to a store 6. Management of Outbound Transportation.

CRM

100

What is customer loyalty?

Customer loyalty means that customers are committed to purchasing merchandise and services from the retailer and will resist the activities of competitor attempting to attract their patronage.

200

Define Customer Relationship Management.

CRM is a business philosophy and set of strategies, programs, and systems that focuses on identifying and building relationships with a retailer's valued customers.

300

Outline the four stages of the CRM process.

Stage 1. Collecting customer data. Stage 2. Analyzing customer data and identifying target customers. Stage 3. Developing CRM programs. Stage 4. Implementing CRM programs.

400

Name at least 5 ways to make Frequent shopper programmes more effective.

Offer Tiered Rewards ;Treat high CLVs as VIPs; Incorporate Charitable Contributions; Offer Choices; Reward all Transactions; Make the Program Transparent and Simple.

500

Draw on the board and explain the Customer Pyramid.

Most profitable customers - Platinum - most profitable and loyal. Price is not so important. Gold - buy a significant amount of merchandise from retailer, but still patronise some of the competitors. Price plays a role. Iron - purchase modest amount of merchandise, spending not substantial for special treatment. Lead - Least profitable customers - make negative contribution to the firm's income. Demand a lot of attention but do not buy much. Mostly buy on sale.