tailieunhanh - Lecture Management of retail buying – Chapter 9: Translating plans into purchases

In this chapter, you will learn about: Market locations & buying trips; selecting new items; how items fit into the store’s stock plans; buying job lots, irregulars & off-price merchandise; developing product specifications; environmental considerations. | Ch. 9: Translating Plans into Purchases Market locations & buying trips Selecting new items How items fit into the store’s stock plans Buying job lots, irregulars & off-price merchandise Developing product specifications Environmental considerations Copyright © 2006 by John Wiley & Sons, Inc. All rights reserved This is the topic overview found at the beginning of Chapter 9. Evaluating New Products Is it right for my target customer? Is it consistent with my store’s image? Does it fit the buying plan? Specialty appeal Price line and taste Proven acceptance Current trends Significant and observable differences Continuing utility Good packaging Promotional opportunities Ability to reorder Available shelf space Copyright © 2006 by John Wiley & Sons, Inc. All rights reserved There is no need to be overwhelmed and exhausted by the choices available at trade shows and market events – as long as you stick to the three basic questions and your own set of “selection factors” when viewing new merchandise. What is “Good” Packaging? Protects the merchandise adequately Conserves space, fits well on store fixtures Reasonable weight for type of product Reduces opportunities for theft Attractive, distinctive – has eye appeal Identifies product & its attributes clearly If sealed, still allows reasonable inspection of product Functional – easy to open, close, remove, hang up? Provides adequate info about care & use of product Multiple uses in addition to containing the product Copyright © 2006 by John Wiley & Sons, Inc. All rights reserved Packaging can make or break some types of products, and companies spend small fortunes getting this aspect of marketing just right. As a buyer, this list indicates how to evaluate any product’s packaging. Buying Deeply Discounted Items for Resale Job lots – Bits & pieces of unrelated lines that didn’t sell at regular prices Irregulars –Items with small imperfections or in need of minor repairs Seconds – Items that are useable but with larger or more apparent flaws than irregulars Secondary label – Lower-priced product line made by a name-brand manufacturer Off-price – Any merchandise being offered at a discount from its regular price Copyright © 2006 by John Wiley & Sons, Inc. All rights reserved Like consumers, retail buyers are often tempted by the “low, low prices” of discounted items. These terms are used to describe such merchandise. How Retail Buyers ‘Think Green’ Accurately forecasting prices of finished goods based on current info about raw materials Seeking good substitutions when raw materials are scarce or endangered Eliminating use of hazardous or potentially unhealthful products or ingredients Use of ‘green’ marketing & packaging: biodegradable, nonpolluting, recyclable Copyright © 2006 by John Wiley & Sons, Inc. All rights reserved Environmental and other social concerns can be marketing advantages for retailers who opt to use them in that way.