What does retail marketing focus on in terms of product and pricing?
The retailer's assortment and price.
What does consumer marketing focus on regarding product and promotion?
The manufacturer's product and promotion.
What components does trade marketing combine to coordinate manufacturer-retailer relations?
Category management, promotional offers, merchandising, and logistics.
What challenges do retailers face in today's market?
Omnichannel development, product standardization, multicultural demand, ageing population, family fragmentation, inflation, supply difficulties, corporate social responsibility, and competition.
What defines the primary catchment area of a store?
It directly surrounds the store, has the highest customer density, and accounts for 60% to 80% of customers.
What percentage of customers does the secondary catchment area provide?
15% to 25% of additional, more dispersed customers.
How are catchment areas distinguished by travel time?
Primary isochrone is 5 minutes, secondary is 10 minutes, tertiary is 20 minutes.
What is the formula for annual demand in a catchment area?
Annual demand equals number of inhabitants times annual expenditure per inhabitant or number of households times annual expenditure per household.
How is forecast sales calculated for a catchment area?
Forecast sales equal annual area demand minus competitors’ forecast sales plus purchases by non-residents minus spending leakage outside the catchment area.
What role does distribution play between producers and consumers?
It transmits consumer information upstream so producers can adapt supply.
How does distribution select products and suppliers?
According to consumer expectations.
What services does distribution provide besides product selection?
Delivery, loyalty cards, advice, information, and refunds.
What defines a distribution channel?
The set of independent organizations through which products or services reach consumers and users.
What does a distribution channel include besides organizations?
The route from conception to final consumption.
From which retail forms did modern retail evolve before the 19th century?
Fairs, markets, and shops.
Which retail format emerged in the 19th century?
Department stores.
What retail format appeared from 1929 onwards?
Mass retail.
When did specialized distribution begin?
In the 1970s.
What retail innovation started around 2010?
Phygital ecosystems.
Who founded the first department store, Le Bon Marché?
Aristide Boucicaut.
What defines a hypermarket in terms of sales area?
More than 2,500 square metres.
What is integrated commerce in retail business?
One organization performs both wholesale and retail functions directly between producer and consumer.
What defines succursalism in retail companies?
Companies owning at least 10 retail outlets with centrally determined commercial policy.
Who often manages branches in succursalism?
Branches are often managed by salaried employees.
What principle governs member equality in a distribution cooperative?
One person, one vote.
How is surplus distributed in a distribution cooperative?
According to members’ purchases.
What is a franchise in retail business?
A contractual vertical organization where a franchisee uses an established brand and concept for royalties proportional to sales.
Who retains the final decision in a franchise?
The franchisor.
What characterizes intensive distribution in product placement?
It places a product in the greatest number of outlets to maximize geographic coverage.
Which distribution strategy uses a restricted number of distributors for technical qualities or brand image?
Selective distribution.
What is the goal of exclusive distribution regarding reseller service quality?
To control the reseller’s service quality by giving exclusive rights to few distributors.
How is numeric distribution calculated?
Number of stores carrying the brand divided by number of stores selling the category.
How is value distribution calculated?
Sales of stores carrying the brand divided by total sales of stores selling the category.
How does multichannel differ from omnichannel in customer experience?
Multichannel separates channels, omnichannel merges them into one unified experience.
What does an omnichannel strategy use to improve customer experience?
All channels and customer touchpoints within a single ecosystem.
What is the main goal of Efficient Consumer Response (ECR)?
To serve consumers faster, better, and at lower cost by optimizing logistics and demand.
What does experiential marketing concern according to Roederer, 2008?
The interaction between a person and a consumption object in a given situation.
What defines retailer positioning in consumers' minds?
The place occupied by an outlet based on price, services, quality, and assortment.
What was the private-label penetration rate in France in 2026 according to Institut Ipsos?
94%.
What market share value did private labels represent in France in 2026?
35.9%.
Into which segments are private labels divided?
Economy brands, mainstream retailer brands, and thematic brands.
What distinguishes high-low pricing from everyday low pricing?
High-low pricing uses temporary offers; everyday low pricing maintains permanent low prices.
What distinguishes known shrinkage from unknown shrinkage in retail?
Known shrinkage is intentional price reduction; unknown shrinkage is inventory loss from errors, breakage, or theft.
What percentage of sales does unknown shrinkage represent in France?
2.06% of sales.
Which source accounts for the largest part of unknown shrinkage in France?
Customer shoplifting at 43%.
What are the six retailing rights?
Right information, product, place, time, quantities, and price.
What is cross merchandising?
Placing complementary products together to encourage cross-selling.
Which shelf level is most effective for sales?
The level of the eyes.
What is the formula for gross margin?
Selling price excluding tax minus purchase price excluding tax.
What are key success factors in e-merchandising?
Easily found products, relevant characteristics, detailed and up-to-date information, and attractive visuals.
What does site architecture represent in digital retail?
The organization of a digital support’s content and functionalities.
What is the foundation of a fluid, ergonomic user experience in digital retail?
Site architecture.
What is retail media in digital advertising?
The monetization of retailers’ digital advertising spaces.
What market share does retail media represent globally?
Nearly 15% of the global advertising market.
What does retail media allow advertisers to do?
Target consumers during shopping.
How is linear yield calculated in retail metrics?
Gross profit divided by developed linear shelf space.
What is retail marketing built around?
The retailer's retailing mix: assortment, price, distribution, merchandising, and communication.
What activities does distribution involve besides selling?
Purchasing large quantities, storing products, and supplying other intermediaries.
What is collaborative consumption?
Horizontal consumption between consumers, sometimes mediated by collaborative platforms.
What needs does collaborative consumption meet?
Using objects without owning them and social connection.
Where and when was the hypermarket concept invented?
Carrefour in Sainte-Geneviève-des-Bois in 1963.
What characterizes an isolated independent retailer?
Performs wholesale and/or retail functions alone without using a group or association.
What does internalization allow manufacturers like Zara and Apple to control?
The entire value chain through dedicated distribution.
What are Oasis's numeric and value distribution percentages in the example?
50 numeric distribution and 75 value distribution.
What are Fanta Still's market share and distribution figures in the example?
9.2% market share, 60 numeric distribution, and 30 value distribution.
Name three examples of omnichannel touchpoints.
Store, smartphone push notification, and social networks.
Why is electronic data interchange crucial for ECR?
Because barcode data inform manufacturers in real time about product flow.
How do retailers create experiences for consumers?
Through services and events like wellness, cooking classes, training, and sensory atmospheres.
How is the attractiveness index calculated?
Purchase index divided by passage index.
Which tools are included in digital in-store tools?
Digital terminals, virtual shelves, dynamic screens, virtual try-ons, and connected phones or tablets for sales assistants.
Test your knowledge with 35 questions on Retail Distribution and Marketing.
1. Which activity is primarily managed through retail marketing rather than consumer marketing?
2. What is the central purpose of trade marketing?
Review the complete course in the study sheet for Retail Distribution and Marketing.
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