Need DQ Answer for each separately 300 words, no palgiarism, use 3 references and in-text citation and turn it in for the content.
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CH017.pptm
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CHAPTER
17
Outlet Selection and Purchase
1
17-2
PART IV: CONSUMER DECISION PROCESS
2
| Describe how retailing is evolving |
| Discuss the Internet and mobile as part of multi- and omni-channel shopping |
| Explain the retail and consumer attributes that affect outlet selection |
| Summarize the in-store and online influences on brand choice |
| Understand how purchase plays a role in the shopping process |
Learning Objectives
L03
L05
L01
L04
L02
Internet Retailing
Characteristics of Online Shoppers
Barriers to Internet Shopping
Store-based Retailing
The Internet as Part of a Multi-Channel Strategy
Mobile as Part of an Omni-Channel Strategy
17-4
The Evolving Retail Scene
4
The following Video Clip demonstrates how M&Ms gets personal with its multichannel strategy!
17-5
Video Application
5
17-6
6
Internet retailing continues to evolve and grow as a strong retail channel:
Internet Retailing
17-7
The Evolving Retail Scene
7
Consumers shop online for reasons similar to those for shopping from catalogs:
17-8
The Evolving Retail Scene
8
Six shopping segments identified by Experian:
Characteristics of Online Shoppers
15-9
The Evolving Retail Scene
9
A recent study found the following reasons among those who are online who have never made a purchase:
Barriers to Internet Shopping
17-10
The Evolving Retail Scene
10
The following are the results of a Roper survey asking consumers why they don’t like shopping in stores:
Store-based Retailing
17-11
The Evolving Retail Scene
11
In-store shopping is perceived as neither fun nor efficient by many. Retailers are trying to enhance the experiential component through layout, music, personal shoppers, etc.
Store-based Retailing
Brand stores add value by providing a fun shopping environment
17-12
The Evolving Retail Scene
12
Most retailers utilize multiple retail channels, such as physical stores, Internet, catalogs, etc.
This approach can take many forms and can be successful for a number of reasons, such as a regional in-store retail utilizing online to become national/international in scope.
Multi-channel shoppers are consumers who browse and/or purchase in more than one channel.
The Internet as Part of a Multi-Channel Strategy
17-13
The Evolving Retail Scene
13
Multi-Channel Shoppers Browse in One Channel and Purchase in Another
17-14
The Evolving Retail Scene
14
17-15
Mobile as Part of an Omni-Channel Strategy
The Evolving Retail Scene
YouTube Spotlight
SPS Helps Retailers Survive in an Omni-Channel World
Omni-channel shoppers are consumers who browse and/or purchase in more than one channel simultaneously. They are
Digital savvy, with heavy reliance on mobile shopping apps.
Younger Gen Yers, upscale and tech savvy Gen X and older Gen Y
Spend 15%-30% more with a retailer than multi-channel shoppers!
15
Mobile as Part of an Omni-Channel Strategy
17-16
The Evolving Retail Scene
16
Outlet Image
Retailer Brands
Retail Advertising
Outlet Location and Size
Retail outlet selection involves a comparison of the alternative outlets on consumer’s evaluative criteria:
17-17
Attributes Affecting Retail Outlet Selection
17
Bricks-and-Mortar Image
Outlet Image
17-18
Attributes Affecting Retail Outlet Selection
18
Outlet Image
Online Image
17-19
Attributes Affecting Retail Outlet Selection
19
Store brands are closely related to store image, and at the extreme, the store or outlet is the brand.
Traditionally, retailers carried only manufacturers' brands, and only a few, such as Sears and Wards, developed their own brands.
Increasingly retailers such as Walmart and Target are developing and promoting high-quality brands with either the store’s name or an independent name.
The key to success of store brands--high quality at a reasonable price.
Retailer Brands
17-20
Attributes Affecting Retail Outlet Selection
20
Expenditure of Individuals Drawn to a Store by an Advertised Item
Retail Advertising
17-21
Attributes Affecting Retail Outlet Selection
21
Location and size play an important role in store choice.
All else equal, consumers generally select the closest store.
Outlet size is also important. Generally, customers prefer larger outlets over smaller outlets.
The retail attraction model, or the retail gravitation model, is used to calculate the level of store attraction based on store size and distance from the consumer.
Outlet Location and Size
17-22
Attributes Affecting Retail Outlet Selection
22
Perceived Risk
Shopping Orientation
Two consumer characteristics that are particularly relevant to store choice:
17-23
Consumer Characteristics and Outlet Choice
23
17-24
Consumer Characteristics and Outlet Choice
24
Shopping Orientation Segments
Apathetic Shoppers
16%
Destination shoppers 21%
Basic Shoppers 22%
Bargain Seekers 20%
Enthusiastic Shoppers 22%
Supermarket Decisions: Two-Thirds Are Made In-Store
17-25
In-Store and Online Influences on Brand Choices
25
Point-Of-Purchase Materials
Price Reductions and Promotional Deals
Outlet Atmosphere
Stockouts
Website Functioning and Requirements
Mobile Apps
Sales Personnel
Strategies used by manufacturers and retailers to influence in-store and online decisions:
17-26
In-Store and Online Influences on Brand Choices
26
Shelf-Based Point-of-Purchase Materials
Point-Of-Purchase Materials
17-27
In-Store and Online Influences on Brand Choices
27
Price reductions and promotional deals
coupons
multiple-item discounts, and
gifts
are generally accompanied by the use of some point-of-purchase materials.
Price Reductions and Promotional Deals
17-28
In-Store and Online Influences on Brand Choices
C. Borland/Photo Link/Getty Images
28
Outlet Atmosphere
17-29
In-Store and Online Influences on Brand Choices
29
17-30
In-Store and Online Influences on Brand Choices
Stockouts
Stockouts affect a consumer’s purchase decision.
Three types of perceived costs:
Substitution costs
Transaction costs
Opportunity costs
30
Consumers often research online then buy in traditional stores. However, losses also occur during the online shopping process.
A DoubleClick study found the following reasons for shopping cart abandonment:
Web Site Functioning and Requirements
17-31
In-Store and Online Influences on Brand Choices
31
Mobile marketing is clearly seen as next horizon for marketers
local mobile search is changing how consumers find stores and brands within stores
mobile apps increasingly play role in how consumers shop, find the best deals, etc.
Mobile and Mobile Apps
17-32
In-Store and Online Influences on Brand Choices
32
The effectiveness of sales efforts is influenced by the interaction of
the salesperson’s knowledge, skill, and authority
the nature of the customer’s buying task
the customer-salesperson relationship
In the online context, marketers are testing online sales clerks, called avatars, that interact with customers as they shop on their website.
Sales Personnel
17-33
In-Store and Online Influences on Brand Choices
33
