Direct sales via a “nonpersonal medium... (direct mail, TV, radio, magazine, newspaper, computer, tablet, or mobile device)... By way of “mail, phone, or fax” ordering. #kinda.old.school

“In the [U.S.], direct-marketing customers are more apt to be middle class. Mail shoppers are more likely to live in areas away from malls.” #flyoverstates

Also, located in metro areas folks would prefer not to drive and/or save time.(cp. QVC, Neiman Marcus, and L.L. Bean)

Advantages and disadvantages (p. 135)

Direct Selling (p. 141-143)

“Direct selling includes both personal contact with consumers in their homes (and other non-store locations such as offices) and phone solicitations initiated by a retailer” (p. 141).

#vacumms

#knives

#timeshares

Sales note: Generates $35 billion annually in the U.S. ($185 billion worldwide)

Vending Machines (p. 143-144)

“A vending machine is a cash- or card-operated retailing format that dispenses goods (such as beverages) and services (such as electronic arcade games)... [eliminating] the use of sales personnel and allows 24 hour sales” (p. 143).

Japanese Vending Machine Culture

Via: interestingengineering.com

$1.50 hasn’t done so hot. Too much coinage.

Electronic Retailing and the World Wide Web (p. 144-153)

“The Internet [as we know] is a global electronic superhighway of computer networks that use a common protocol and that are linked by telecommunications lines and satellites” (p. 144).

Distinctly, the “World Wide Web... is one way to access information on the internet, whereby people work with easy-to-use Web addresses (sites) and pages. Users see words, charts, pictures, and video, and hear audio—which turn their computers, smartphones, and tablets into interactive multimedia centers” (Ibid).

Scope of Web Retailing (p. 145)

“The potential for online retailing is enormous...” <GROUP CAMP HERE>

By the Numbers as of 2016 (Users):

North America = 314 Million

Europe = 604 Million

Asia = 1.6 Billion

Latin American/Caribbean = 344 Million

Africa = 330 Million

Middle East = 123 Million

Note: 90% of U.S. Web users have made at least one online purchase...”

Cont. (p. 145)

“A decade ago, U.S. shoppers generated 75 percent of worldwide online sales; the amount is now one quarter and falling—as online sales; the amount is now one-quarter and falling—as online shopping has grown around the globe.”

“Forrester, a leading research firm, projects that U.S. shoppers will spend $530.1 billion online by 2020. This represents a 57 percent growth from online sales in 2015.”

Cont. (ibid)

“Despite economic challenges worldwide, global online revenues have increased steadily to $2.05 trillion in 2015 and are expected to reach $3.6 trillion in 2019.”

SEE: U.S. DEBT CLOCK

Review Table 6.3 (use projector)

What’s going on on this graph?

What stands out?

Why?

Characteristics of Web Users (p. 147 and Figure 6.8)

Gender

Age

Community

Income

Education

To be continued...