Retail marketing & management

473 Pages·5.367 MB·English

by  Gilbert, David

gilbert aw 1/12/07 6:04 PM Page 1
second edition Retail
David Gilbert
Retail Marketing Management Marketing
second edition
Management
Retail Marketing Management covers the key marketing applications of retail R
management by marrying the traditional retail marketing theory with newer retail e
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concepts. a
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This, the second edition, is one of the few retail marketing textbooks that fully integrates
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David Gilbert
the two issues in a concise, readable, up-to-date way.
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Key features: t
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• A clear and accessible writing style
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• Learning Objectives, Illustrations, Examples, Mini Case Studies and Revision Questions
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• A coherent structure, which provides a logical overview of the development of a retail marketing management strategy
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This edition also has expanded coverage of:
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• The retail marketing mix, with a chapter on each area g
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• Retail marketing planning
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• Retail marketing environment and retail communications
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• Segmentation and positioning
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• Electronic retailing t
• International aspects of regulation, control, concessions and particular consumer markets
• Merchandising and floor plans, with floor plan illustrations
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Retail Marketing Management is an invaluable aid to students of Retailing, Retail Marketing and Retail Marketing
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Management at undergraduate level. HND students of Retail Marketing will also find the text useful. v
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David Gilbert is a Professor of Marketing at the Surrey European Management School, University of Surrey. G
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Cover: Armani shop interior by James Morris ©Axiom
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second edition
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Retail Marketing Management
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Retail Marketing Management
David Gilbert
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First published 1999
Second edition 2003
© Pearson Education Limited 2003
All rights reserved. No part of this publication may be reproduced, stored
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ISBN 0273 655116
British Library Cataloguing-in-Publication Data
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Typeset in 10/12.5pt Sabon by 35
Printed and bound by Bell & Bain Limited, Glasgow
The publisher’s policy is to use paper manufactured from sustainable forests.
Contents
About the contributors ix Understanding motivation – Maslow’s
hierarchy model 65
Preface xi
Demographic factors 67
Acknowledgements xii Socio-economic categories 71
Role and family influence 74
1 An introduction to retailing as an activity 1 Social influence 82
Hayley Myers and David Gilbert Conclusion 83
The retail environment 1 Exercises 84
The growing importance of the retail industry 2 References and further reading 85
The study of retailing 6
Retail definition 6
4 The management of service and
The dynamic nature of retail change 8
quality in retailing 87
The structure of retailing in the UK and Europe 15
What constitutes retailing? 88
Conclusion 16
The service–product concept 89
Exercises 17
The intangible–tangible product continuum 90
References and further reading 18
A classification of service and quality 92
Implementation of service management 97
2 An introduction to retail marketing 20
Why there is growing emphasis on control
Retailing and marketing 20
of quality 100
Need for a strategic approach 21
What are the key terms for quality? 101
The development of marketing 27
Characteristics of quality 102
Definitions and concepts of marketing 31
Quality auditing systems 104
The differences between marketing and selling 34
Is quality a cost or a long-term benefit? 106
Marketing management tasks 35
Conclusion 109
The adoption of marketing 36
Exercises 109
The marketing environment of the company 37
References and further reading 110
Alternative business philosophies 39
Marketing orientation 41
Conclusion 43 5 The retail marketing mix and the
Exercises 44 retail product 112
References and further reading 45 What is the marketing mix? 113
The marketing mix for services – are the four
3 Consumer behaviour and retail Ps sufficient? 113
operations 46 Target markets 116
Consumer behaviour in the retail context 46 The retail product 118
Comparison of behaviourist and cognitivist A breakdown of retailing as a product 118
approaches 51 Store layout 124
The main theories of consumer behaviour 51 Conclusion 131
The buying decision process and the Exercises 132
implications for retail management 55 References and further reading 133
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Contents
6 Merchandise management 135 Computerized replenishment systems (CRS) 224
James Bell and David Gilbert Corporate replenishment policies 224
What is merchandise management? 135 Internet and direct distribution systems 227
Methods of planning and calculating Conclusion 230
inventory levels 137 Exercises 230
Merchandiser skills and profile 141 References and further reading 231
Category management 144
Range planning 146 10 Methods and approaches to retail
Space allocation 150 strategy and marketing planning 233
Merchandise assortment and support 153 Problems that may arise if retail planning
Negotiating the purchase 154 is ignored 235
Conclusion 154 The purpose of a marketing plan 236
Exercises 155 Reasons for poor planning experiences 237
References and further reading 156 The structure of the marketing plan 240
The corporate mission and goals 240
7 Retail pricing 157 Understanding the forces of industry
Understanding price as a concept 157 competition 242
Price sensitivity 158 External and internal audit 245
Further factors influencing pricing 161 Business situation analysis 246
Approaches to pricing the retail product 162 Providing an effective marketing mix strategy 271
Pricing and the relationship to value 167 Monitoring the plan 272
Markdown policy considerations for retailers 170 Conclusion 273
Conclusion 172 Exercises 273
Exercises 172 References and further reading 274
References and further reading 173
11 Retail location strategies and decisions 276
8 Retail communication and promotion 175 Geographic location decisions 278
Setting objectives 175 Explanations for the spatial distribution
Communication effects 178 of retail activities 282
Advertising 179 Location site and types of retail development 287
Sales promotion 186 Locational techniques 292
Relationship marketing and loyalty schemes 188 Catchment area analysis 294
Personal selling 199 Regression analysis 296
Public relations 201 Retail property development 299
Other important promotional tools 204 The leasing of a retail outlet 300
Characteristics of promotions 206 Conclusion 301
Conclusion 207 Exercises 302
Exercises 208 References and further reading 302
References and further reading 209
12 The management of a retail brand 304
9 Retail distribution and supply chain Definition of a brand 306
management 211 The role of the brand 307
Channels and channel flows 212 Brand loyalty 308
The supply channel 213 Positioning of a brand 309
Growth of channel relationships and Personality of a brand 312
partnerships 215 Consumers’ concept of ‘self-image’ 316
Distribution logistics and stock control 217 Brand proposition 317
Retail logistics 217 Brand name 318
Retail logistics – the cost structure 219 Brand awareness 319
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Contents
Managing brands over their life cycles 320 Product misuse and safety issues 384
Successful brands 321 Green issues 385
Brand updating 323 The acceptability of a societal marketing
Counterfeit or copycat brands 325 approach 387
Own-brands 325 Corporate social responsibility 389
Corporate branding 329 Conclusion 393
Types of brand extension 330 Exercises 394
Conclusion 334 References and further reading 394
Exercises 334
References and further reading 335 15 International retailing 396
Hayley Myers and David Gilbert
13 The applications of IT to retail The move to international retailing 396
marketing 337 The development of international retailing 397
Joshua Bamfield and David Gilbert International retailing: a definition 400
The growing role of information technology International retail structures 404
in retailing 337 Motives and reasons for internationalization 406
Information technology – some explanations Direction of expansion 414
and definitions 338 Market-entry methods 417
IT for competitive advantage 339 Typologies of international expansion 421
Capturing and transmitting data at the point Conclusion 422
of sale 346 Exercises 423
Database marketing, data mining and References and further reading 423
business intelligence 348
Business e-commerce and data 16 The future of retailing 426
communications 350 Improved understanding of the key changes 427
Electronic retailing 354 More emphasis placed upon brand, image
Future trends 365 and positioning 433
Conclusion 368 Emerging trends in IT 435
Exercises 368 The physical aspects of retailing 437
References and further reading 369 Company learning curves 439
Conclusion 441
14 Consumerism and ethics in retailing 372 Exercises 441
The different pressures for a company to References and further reading 441
be socially responsible 373
Criticism of marketing activity 378 Index 443
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About the contributors
David Gilbert, BA, MA, DipM, PhD, is Professor of Marketing in the School of
European Studies at the University of Surrey. Prior to working in academia he was
employed as a marketing manager for Rank Leisure. He also has experience of working
with Littlewoods on various aspects of their strategic planning and was retained as a
Research Director of major studies into image, promotion awareness and change of cor-
porate identity. He has extensive consultancy experience, having worked on an assign-
ment for M&S in the restructuring of their marketing, has carried out location studies,
and acted as lead consultant in the improvement of retail outlets in museums, zoos
and other leisure attractions. Dr Gilbert has published extensively in applied marketing
journals and is very involved in the fields of tourism marketing, consumer behaviour and
relationship marketing.
Joshua Bamfield, MA, MPhil, MBCS, is Director of the Centre for Retail Research based
in Nottingham and Professor of Management. He runs his own consultancy and has car-
ried out work over the last twenty years for a range of large and medium-sized retailers,
mainly dealing with EPOS and IT as well as strategic innovation. He has also conducted
a number of studies into the costs of crime and the use of technology to combat theft.
James Bell, BA, CertEd, MBA, is a Senior Lecturer in Retail Management in the School
of Management Studies for the Service Sector at the University of Surrey. Before starting
an academic career, he worked for a number of years in food retail operations. Current
research interests include the management of retail service quality and of consumer
co-operatives.
Hayley Myers, BA, PhD, is currently Director of European Retail Research with Retail
Intelligence, Mintel International Group and Visiting Fellow at the University of Surrey.
Previously she spent three years as a Lecturer in Retail Management in the School of
Management Studies at the University of Surrey, where her teaching and research inter-
ests included the international activity of retailers. Prior to this she completed a PhD,
which focused upon the internationalization of European food retailers.
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