Managing retailing logistics

Objectives
Retailing
Wholesaling
Market Logistics

Four Levels of Retail Service
Self-service
Self-selection
Limited-service
Full-service

Retail Positioning Map
Bloomingdale’s
Kinney
Shoe
Wal-Mart
Tiffany

Classification Of Retailer Types
Specialty Stores
Department Stores
Supermarkets
Convenience Stores
Off-Price Retailer
Superstores
Catalog Showroom
Store Type Length and Breadth of Product Assortment
Discount Stores

Types of NonStore Retailing
Direct Selling
Direct Marketing
Buying Services
NonStore Retailing Accounts for More Than 12% of All Consumer Purchases, and is trending up.
Automatic Vending

Low Price
Low Status
Low Margin
Mid Price
Mid Status
Mid Margin
High Price
High Status
High Margin
New Entrants
Wheel of Retailing

Why are Wholesalers Used?
Management
Services & Advice
Selling and
Promoting
Market
Information
Buying and
Assortment Building
Risk Bearing
Bulk Breaking
Transporting
Financing
Warehousing

Goals of the Logistics System

Inventory
When to order
How much to order
Just-in-time
Costs
Minimize Costs of
Attaining Logistics
Objectives
Warehousing
Storage
Distribution
Order Processing
Submitted
Processed
Shipped
Logistics
Functions
Logistics Systems

Transportation Modes

Checklist for Choosing
Transportation Modes

Rating Transportation Modes
Rail 3 4 2 2 3
Water 4 5 1 4 1
Truck 2 2 3 1 4
Pipeline 5 1 5 5 2
Air 1 3 4 3 5
Source: See Carl M. Guelzo; Introduction to Logistics Management Englewood Cliffs, NJ:
Prentice Hall, 1986), p. 46.