Best Practice Merchandising :: GCSE Business Marketing Coursework

Best Practice Merchandising IntroductionRetailing is around us eitherwhere. Whenever you buy some(a)thing, it is usually from a sell outlet. Everywhere that you go, there is a retail outlet begging you to buy a refreshed railroad car or a jumper or a can of cook beans for only 39c. The earthly concern is also full of huge shopping centres and malls jam-packed with retail outlets trying to consume you purchase from their particular store. The competition in the retail industry is tremendous and these outlets all pick out to use veritable techniques to try and make you buy from them. What are these techniques? Why do some retail outlets go bust and others flourish into multi-national organizations positioned all around the world? It all has to do with their retail strategy which includes-Retail faulting and berth within the market-Their merchandise range-Their product selection and set-Their in-store layout-How well their stores are merchandisedCustomer baseCustomers are the people that make retail outlets money. Marketing campaigns are directed at the customers in the anticipate that they can be enticed into the stores so that they will spend money. New customers and ongoing customers are given offers everyday of the week. However studies have shown that current customers fall in to a greater extent revenue than new customers. Existing customers tend to purchase more than new customers and studies show that costs to retain customers are 80% inflict than costs to generate new customers. There are also numerous benefits associated with existing customers. An increase in existing customer satisfaction leads to- change magnitude positive word of mouth-Less reason to offer dear(p) loss-leaders to generate traffic-Existing customers usually spend more than new customers-The profits earned from each individual customer grow the lasting they remain loyal to the firm. (McLaughlin et al 1998)Retail BrandThe retail brand is one thing that customers will always look at. What makes up the retail brand? Everything in the store that makes that particular store different from every other store makes up the retail brand. The lighting, the atmosphere, the music, the colour and the layout all go into making up the brand. The perception that a customer has of the stores image is the retail brand. In todays competitive market where many retailers have a similar product range, the retail brand can be the key to customers.