by the end of this lesson students….

Recap-Retail

 “Retail involves a business or person that sells goods to the consumer. A wholesaler sells to a business.” Types of store Physical Online (eRetailing)

Today we will be covering

     Sub-sectors Size Location Ownership Format 

How do the above terms relate to retail?

Retail involves

Size

(Small 0-50, Medium 50 250, Large 250+)

Channels Location

(Local, Regional, National, Online)

Ownership

Independent, Multiple, Franchise)

Sub-sector

 Retail sub sectors are the different categories of product types.

 Sub sectors of a main business, say a car dealership, might be (1) car sales, (2) car maintenance, (3) parts & spares 

What sub-sectors do Tesco have? What ‘groups’ of products do the sell?

Sub Sectors

 Sub Sectors Product-related ‘sub-divisions’ of the retail industry, e.g. clothing, electrical goods, food and grocery, footwear, DIY, music and video, Insurance etc Tesco has many sub-sectors within their supermarkets and company as a whole. The sub-sectors of Tesco could be: Fruit and Veg, Dairy, Electrical, Gaming, Entertainment, Hair and Beauty Household, Bank, Insurance

Size

The size of a business is usually catagorised by the number of employees within the company. SMALL 0-49 MEDIUM 50-249 LARGE 250+

Retail Format

 This is the general nature of the retail mix in terms of range of products and services, pricing policy, promotional programmes, operating style or store design and visual merchandising.

       Independent Department store (John Lewis, Debenhams) Supermarket (Tesco, Morrison's) Hypermarket (Sports Direct, Tesco, Asda) Shopping centre's (Westfield's) Wholesalers (Cosco) E-retailing

Location

TASK; Which of the below is a

Producer, Wholesaler or Retailer?

 A retail store sells individual items directly to the consumer. A wholesaler sells to a retailer, often bulk items at a reduced cost.

Ownership

   Independent Multiple retailers are businesses with more than ten branches Which company matches the correct ownership?

Franchise

Franchise

 Franchised retailers are granted selling rights in a geographical area. The

franchisee

pays a fee based on sales or an annual rent to the

franchisor

operate their business model.

to

Against the clock

You have 5 minutes in groups (against the sand timer!) to list: What is retailing?

What is a retail format?

Size?

Now feedback to the class

Pick three organisations and apply your knowledge.

Size Format Sub-sectors Ownership

Task- P1

 Describe the sub-sector, channels, format, size, ownership and location of two retail businesses operating in different sub-sectors. (P1)