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MARKETING MANAGEMENT
12th edition
16
Managing Retailing,
Wholesaling, and Logistics
Kotler
Keller
Chapter Questions
What major types of marketing
intermediaries occupy this sector?
 What marketing decisions do these
marketing intermediaries make?
 What are the major trends with marketing
intermediaries?

16-2
Retailing
Includes all the activities involved in
selling goods or services directly
to final consumers for personal,
nonbusiness use.
16-3
Table 16.1 Major Retailer Types
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Specialty store
Department store
Supermarket
Convenience store
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Discount store
Off-price retailer
Superstore
Catalog showroom
16-4
Levels of Retail Service
Self-service
 Self-selection
 Limited service
 Full service
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16-5
Nonstore Retailing
Direct selling
 Direct marketing
 Automatic vending
 Buying service
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16-6
Major Types of Corporate Retail
Organizations
Corporate chain store
 Voluntary chain
 Retailer cooperative
 Consumer cooperative
 Franchise organization
 Merchandising conglomerate
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16-7
Retailers’ Marketing Decisions
Target market
 Product assortment
 Service/store atmosphere
 Price
 Communication
 Location
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16-8
Retail Category Management
Define the category
Figure out its role
Assess performance
Set goals
Choose the audience
Figure out tactics
Implement the plan
16-9
Retailer Services Mix
Prepurchase services
 Postpurchase services
 Ancillary services

16-10
Location Decision
General business districts
 Regional shopping centers
 Community shopping centers
 Strip malls
 Location within a larger store
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16-11
Indicators of Sales Effectiveness
Number of people passing by location
 Percentage who enter store
 Percentage of those who enter who also
buy
 Average amount spent per sale

16-12
Trends in Retailing
New retail forms and combinations
 Growth of intertype competition
 Competition between store-based and
non-store-based retailing
 Growth of giant retailers
 Decline of middle market retailers
 Growing investment in technology
 Global presence of major retailers
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16-13
Wholesaling Functions
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Selling and promoting
Buying and
assortment building
Bulk breaking
Warehousing
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Transportation
Financing
Risk bearing
Market information
Management services
and counseling
16-14
Major Wholesaler Types
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Merchant
Full service
Limited service
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Brokers and agents
Manufacturers
Specialized
16-15
Wholesalers’ Marketing Decisions
Target market
 Product assortment
 Price
 Promotion
 Place

16-16
Market Logistics Planning
Deciding on the company’s value
proposition to its customers
 Deciding on the best channel design and
network strategy
 Developing operational excellence
 Implementing the solution

16-17
Market Logistics Decisions
How should orders be handled?
 Where should stock be located?
 How much stock should be held?
 How should goods be shipped?
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16-18
Transportation Factors
Speed
 Frequency
 Dependability
 Capability
 Availability
 Traceability
 Cost
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16-19