Retailing is the process of selling products directly to the end user. It involves buying products in bulk, either from a wholesaler or distributor or directly from the manufacturer at a reduced price, and then selling them individually at a higher price to make a profit. On the other hand, non-retail sales involve selling items directly from sellers to buyers without using a retail outlet. According to the Cambridge Dictionary, a retail sale is one in which goods are sold to the general public.
This type of sale can be carried out through several different sales channels, such as online, in a physical store, through direct sales or by direct mail. The aspect of the sale that qualifies it as a retail transaction is that the end user is the buyer. Department stores like Macy's or The Gap are examples of retailers. Some retail companies sell their own branded products.
Retailing is the distribution process in which a retailer obtains goods or services and sells them to customers for use. This process is explained through the supply chain. Between retailers and retail chains, there has been a great consolidation over the past two decades. Retailers specializing in one brand usually sell only the products of that brand; it's rare to find other brands there, although there are exceptions.
In some parts of the world, the retail sector is still dominated by small family stores, but large retail chains are increasingly dominating the sector, because they can exert significant purchasing power and pass on savings in the form of lower prices. Retail often occurs in retail stores or service establishments, but can also be done through direct sales, for example through vending machines, door-to-door sales, or electronic channels. Market Business News explains that retail outside stores has nothing to do with physical stores, such as supermarkets, but rather refers to external retail. Several academics have advocated expanded marketing, combined with the inclusion of two new P's, namely, staff and presentation, as these contribute to the customer's unique retail experience and are the main basis for retail differentiation. Once the strategic retail plan is in place, retailers design the retail mix that includes product, price, location, promotion, staff and presentation.
For example, a tourism provider could have a retail division that books travel and accommodation for consumers, in addition to a wholesale division that buys blocks of lodging, hospitality, transportation and sightseeing that are then packaged into a vacation tour to be sold to travel agencies retailers. But they can also sell products after purchasing them from a retail distributor for distribution to a retail company. Under this concept, retail companies value and seek to improve customer relationships since customer relationships lead to maintaining stability in today's competitive retail market and are also the future of retail companies.
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