BU352 Chapter Notes - Chapter 13: Homesense, Personal Grooming, Category Killer
Document Summary
Consider channel structure, where target customers expect to find products, and channel member characteristics. From perspective of store, need to know target market, what they want. Same from perspective of manufacturer, where does your target market shop. The larger the channel member, less likely to use intermediaries. The bay, for example: drugstores: specialty store that concentrates on health and personal grooming. Suffer from low margins on prescriptions, have to focus on non-pharmaceuticals (foods, cosmetics: off-price retailer: winners, marshalls, homesense: inconsistent assortment of merchandise at relatively low prices. Treasure hunt environment: extreme-value retailer: subset of off-price, general merchandise discount store found in lower-income or rural areas. Laundromat, haircuts, goodlife, banks, hotels, insurance, universities, spas, movie theatre, hospital. Today"s consumers shop at retail stores that they feel provides best value for their money. Lines between blurring (drug stores moving to grocery, etc) Need to segment your consumers, understand their attitudes, preferences.
