MKT3610 Buying and Mdse Chap 4 Mdse Characteristics

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MKT3610 Buying and Merchandising : 

MKT3610 Buying and Merchandising Chapter 4 Merchandise Characteristics

Learning Objectives: 

Learning Objectives Defining Merchandise Characteristics Major break is Consumables vs. Durables See next slide Knockoffs vs. Counterfeit Branded vs. Private Label (Private Branding)

Major Merchandise Characteristics: 

Major Merchandise Characteristics Soft Goods/Consumables Pg 93 Hard Goods/Durables Pg 93 Convenience Goods Pg 93 Shopping Goods Pg 93 Impulse Goods Pg 93 Specialty Goods Pg 93 Destination (Cat Mgmt) Routine (Cat Mgmt) Occasional/Seasonal (Cat Mgmt) Convenience or Impulse (Cat Mgmt)

Merchandise Pricing: 

Merchandise Pricing Price Levels OR Price Points Ranges of acceptable prices based on consumer perception of the goods as well as the retailer positioning Walmart vs. Target Must be acceptable to the retailers Revenue and Gross Margin requirements Dependent on Competition, Convenience C- Store - Supermarket

Merchandise Quality: 

Merchandise Quality Major consideration in product Assortment Attributes Functional – Features & Benefits Intangibles Consumer Perceptions & Belief

Positioning: 

Positioning Quality Price

Consumer-Based Category Roles: 

Consumer-Based Category Roles Determine if your category is a Destination Routine Occasional/Seasonal Convenience/Impulse

Consumer-Based Category Roles: 

Consumer-Based Category Roles Destination: To be the primary category provider and help define the retailer as the store of choice by delivering consistent, superior target consumer value Example: Prepared Foods in Wegman’s

Consumer-Based Category Roles: 

Consumer-Based Category Roles Routine: To be one of the preferred category providers and help develop the retailer as the store of choice by delivering consistent, competitive target consumer value Example: Dish soap, laundry detergent

Consumer-Based Category Roles: 

Consumer-Based Category Roles Occasional / Seasonal: To be a major category provider, help reinforce the retailer as the store of choice by delivering frequent, competitive target consumer value Example: charcoal

Consumer-Based Category Roles: 

Consumer-Based Category Roles Convenience / Impulse To be a category provider and help reinforce the retailer as the store of choice by delivering good target consumer value Example: shoe and leather care

Major Merchandise Characteristics: 

Major Merchandise Characteristics Explain for Merchandise Quality, the Functional and Extrinsic features – Pg 98 What is a trademark? Pg 100 What is the definition of a Brand Pg 101 What is a Knockoff? Pg 101. What are Store Brands/Private Label? Pg 106

MKT3610 Buying and Merchandising : 

MKT3610 Buying and Merchandising Chapter 4 Merchandise Characteristics