Fundamentals of Retailing
Assignment - A
1. What is retailing? Describe the evolution, growth and future of retailing in India.
2. Write a short note on the retailing format and their various different types of formats with an example of it.
3. "Location of retail store is a critical point to consider for the success of retailing." Elaborate this statement with supportive examples.
4. What is store design and store layout? Explain the concepts of visual merchandising.
5. What is merchandising management? Describe the various factors affecting the merchandising management.
6. What is vendor management? How do we select a vendor for our retailing business?
7. What is pricing? Explain the factors affecting the retailing for the product.
8. Describe the concepts of the retail communication. Explain the elements of retail communications and the retail advertisement.
Assignment - B
Case Detail:
HOMESHOP18
The Company
HomeShop18 is online and on-air retail marketing and distribution venture, India’s first 24-hour home shopping TV channel. HomeShop18 operates in a multimedia environment including, television, web, catalogue and print, to reach high-quality products and services directly to customers across the country. The company uses a 24-hour sales and customer service centre allowing customers to call in and book orders as per their convenience with free home delivery across India. Today, HomeShop18 has close to 833 executives with an efficient IT infrastructure that manages nearly 62,000 inbound calls, 5,000 outbound calls & 300 short messenger service (SMS) interactions.
Motivation for Change
The company was using a third-party outsourced sales and customer service centre to manage incoming calls from prospective and existing customers for sales booking and service queries. There were also a growing number of outbound calls both to restart conversations with those customers who were disconnected while exploring the voice portal menu or for new sales orders and promotional campaigns. New channels were set up, driven by market and customer needs, such as SMS-based channels for customer interaction. On average, the centre managed a significant number of outbound calls and inbound calls per day along with a plethora of SMS interactions. Managing these disparate processes efficiently was turning into a major task for the organization.
In addition, business was growing, both in terms of scale of operations, as well as volume of business driven by the increasing popularity of the HomeShop18 brand. Moreover, while the company was also looking to minimize lost sales (through abandoned calls) by keeping track of incoming calls, database and information management, as well as analysis of that information was becoming complex and burdensome. Existing infrastructure was already up to capacity and could not cope with this demand. The company needed a larger contact centre set up, one that would deliver the efficiencies and the scalability it needed.
Why Aspect
The company chose to set up an in-house contact centre instead of continuing to use its outsourced contact centre. The new contact centre at Noida in the National Capital Region of India has the capability to scale more than 200 percent of the original capacity to accommodate the growing call traffic.
After a review of a number of vendors, HomeShop18 chose to implement Blended Interaction, a unified communication application for the contact centre from Aspect. The company found Aspect rated better than other solutions on the following major features: unified solution, quality management and voice logging capabilities.
Specifically, the reason for choosing Blended Interaction was to eliminate the need to integrate multiple point products for managing different contact channels. Blended Interaction unites inbound, outbound and blended multi-channel contact with workforce management in a single, scalable technology platform. In addition the application also delivers the voice portal, recording and quality management functionality that HomeShop18 required to improve agent performance and deliver an enhanced customer experience through speech enabled self-service.
HomeShop18 also selected Blended Interaction™ because of its open platform, enabling them to seamlessly integrate their existing technology investments and back-end customer relationship management (CRM) systems with the new solution. Additionally, the company saw the value and expertise that Aspect® Professional Services could bring to bear during the implementation process. HomeShop18 worked with Aspect partner, Wipro Technologies for the implementation of the solution. The implementation was completed in eight weeks with complete involvement of Aspect specialists who made the deployment and integration very smooth.
Results
HomeShop18 also selected Blended Interaction™ because of its open platform, enabling them to seamlessly integrate their existing technology investments and back-end customer relationship Following the implementation, HomeShop18 immediately improved productivity using the Blended Interaction application. The voice portal capability of the application enabled HomeShop18 to offer product selling, promotional offers, billing related issues, and refunds via an automated menu. Customers could book their order through the portal and also through the contact centre. As most of these types of transactions are now automated, agents have time to address more complex customer issues.
The universal queue feature within the application organizes incoming contacts across all communication channels in a single queue and routes them to the most appropriate agent, taking wait times, incoming traffic volumes and service levels into consideration. This enables HomeShop18 to make changes to the provisioning rules without stopping and starting systems, campaigns or services. Through direct routing of data to the sales agent, SMS call response time has reduced from 12 hours to only in some minutes. The call routing features and automated voice portal menus also helped increase the company’s call handling rate from 9 to 10 calls per hour to 13 to 14 calls per hour.
In addition to voice channels, HomeShop18’s contact centre sales agents can continue to take calls or interact with customers via text chat/messaging. Plus, the automatic outbound dialing capability of Blended Interaction enables HomeShop18 to use multiple dialing options, such as predictive, preview, timed preview and manual to deliver a message involving order status when a customer answers his or her phone, to respond automatically to a number of follow-up questions and to route the answering customer to a live agent, if necessary. The solution also has the fully integrated email management capabilities for sending, receiving, routing and auto-responding to emails. And, by using multi-channel recording and quality monitoring, HomeShop18 is able to review interactions between its sales agents and customers, and provide offline or real-time coaching to the sales agents. This ensures that customers are receiving a quality experience, which is very important to HomeShop18.
Overall, Blended Interaction has helped improve operational efficiency, for the company, helping HomeShop18 leverage a universal agent pool for inbound and outbound contacts, increasing agent productivity from 60-66 percent to 85 percent. The company is also seeing a higher sales conversion rate, of 35 to 40 percent against 20 percent in the earlier outsourcing model.
The company’s success stems from its highly efficient operations and the value that it places on its in-house contact centers and the employees who help the company manage call traffic and ensure a positive customer experience.
1. What was the motivation behind HomeShop18 to change its customer service center?
2. What was the change in results after the implementation of Blended Interaction on its business? Discuss in detail.
3. Explain the benefits of implementing the Blended Interaction provided by Aspect to the Homeshop 18.
Assignment - C
1. Which of the following statement about Radio Frequency Identification is not true?
Options
- RFID tags transmit data about a product when scanned.
- "Passive" RFID tags do not require a battery to transmit data.
- RFID tags can be scanned by just being near the scanning device.
- RFID codes are not subject to viruses.
2. An RFID tag that generates and transmits an outgoing signal to a RFID tag reader is known as:
Options
- A semi-active RFID tag.
- An active RFID tag.
- A semi-passive RFID tag.
- A passive RFID tag.
3. Which RFID component is attached to the item to be identified?
Options
- Bar Code
- Antenna
- Reader
- Tag
4. Which document contains the RFID tag data (ePC) and is sent from the vendor to the buyer notifying them that the product has been shipped?
Options
- Product
- Pallet
- PO
- ASN
5. A terminal that is often connected to complex inventory and sales computer systems, is known as the -
Options
- Data
- Sales
- Point-of-sale (POS)
- Query
6. A system that is a small, wireless handheld computer that scans an items tag and pulls up the current price (and any special offers) as you shop, is the -
Options
- PSS
- POS
- Inventory
- Data Mining
7. The Committee of Secretaries has recommended that 51 per cent foreign direct investment (FDI) be allowed in the multi-brand retail sector provided the investment is not less that than -
Options
- $ 100 Million
- $ 200 Million
- $ 250 Million
- $ 500 Million
8. All of the following are examples of non-store retailing except:
Options
- Selling by mail.
- Selling jewelry in a clothing store
- Door-to-door contact
- Selling goods on the Internet
9. Retailers can be classified in terms of several characteristics. Each of the following is found within this retail classification scheme except:
Options
- The profit potential
- Amount of service offered
- The breadth and depth of product lines carried
- The relative prices charged
10. The typical method of retail operation used by supermarkets and nationally branded fast-moving shopping goods is called:
Options
- Self-service Retailing
- Limited-service Retailing
- Full-service Retailing
- Service-Merchandiser
11. Describing retailers by the length and breadth of their product assortment is classification by:
Options
- Amount of Service
- Product Line
- Relative Prices
- Control of Outlets
12. A retail store that carries a narrow product line with a deep assortment within that line, is known as a -
Options
- Shopping Goods Store
- Convenience Store
- Specialty Store
- Department Store
13. The increasing use of market segmentation, market targeting, and product specialization has resulted in a greater need for:
Options
- Specialty Stores
- Convenience Stores
- Shopping Goods Stores
- Department Stores
14. The type of retailer that carries a wide variety of product lines, each managed by specialist buyers or merchandisers, is called a:
Options
- Specialty Stores
- Convenience Stores
- Shopping Goods Stores
- Department Stores
15. If a store sells standard merchandise at lower prices by accepting lower margins and selling at higher volume, the store is classified as being a:
Options
- Specialty Store
- Off-price Retailer
- Discount Store
- Factory Outlet
16. If a retailer buys at less-than-regular wholesale prices and sells at less-than-retail, then the retailer is called a:
Options
- Specialty Store
- Off-price Retailer
- Discount Store
- Sponsor Outlet
17. Dayton-Hudson operates Target (discount stores), Mervyn’s (lower-priced clothing), B. Dalton (bookstores) in addition to its Dayton’s and Hudson’s department stores. As a retail form this ownership arrangement is called a:
Options
- Corporate Chain
- Merchandising Conglomerate
- Franchise
- Retailer Cooperative
18. Retailers have many marketing decisions that compete for their attention. Among the first decisions that any retailer must make is to:
Options
- decide on their price policy
- decide on their name and logo.
- define their target market and how they will position themselves in these markets.
- decide whether to go international or not.
19. Every store has a physical layout that makes moving around in it either hard or easy. This “feel” is called:
Options
- Store Psychology
- Buyer Enhancements
- Store Atmosphere
- Store Personality
20. The choice between high markups and high volume is part of which of the following retailer marketing decisions?
Options
- Target Market Decisions
- Product Assortment and Services Decisions
- Pricing Decisions
- Promotion Decisions
21. The concept that many retailing forms begin as low-margin, low-price operations that gradually upgrade their offerings until new forms evolve with lower costs and prices is called the:
Options
- Product-life Cycle
- Business-form Cycle
- Wheel of Retailing
- Margin Cycle
22. Which of the following statements is most true about the growth of non-store retailing?
Options
- Non-store retailing has primarily grown in the southern United States.
- More non-store retailing is conducted by “click-and-brick” retailers than by click-only” retailers.
- The primary growth of non-store retailing has been in Europe.
- Non-store retailing has surpassed store retailing as the number one way people shop.
23. When wholesalers buy in carload lots and divide these shipments into smaller quantities for resale, this function is called:
Options
- Assortment Building
- Risk Bearing
- Bulk Breaking
- Bulk Accumulation
24. Which of the following is a recommended strategy for retailers when consumers select the outlet first and the brand second?
Options
- Appropriate Pricing
- Brand Availability Advertising
- Brand Image Management
- Price Special on Brands
25. Which of the following is a recommended strategy for manufacturers when consumers select the outlet first and the brand second?
Options
- Retailer Image Advertising
- More Exclusive Distribution
- Point-of-Purchase Displays
- Price Special on Brands
26. Any source of products or services for consumers is referred to as a -
Options
- Retail Outlet
- Contact Point
- Transaction Point
- Distribution Outlet
27. Consumers acquiring product through mail, telephone, or computer orders is referred to as -
Options
- Outsourcing
- Outlet Shopping
- Non-traditional Shopping
- In-home Shopping
28. Which of the following statements is FALSE regarding Internet retailing?
Options
- Internet retailing is a booming and increasingly competitive business.
- Apparel is one of the largest sales categories on the Internet and one of the fastest growin
- Research has shown that consumers shop online for reasons different to those for shopping from catalogs.
- Catalogs and the Internet appear to work in a complementary fashion.
29. Which of the following is the major reason consumers give for shopping online?
Options
- Unique Merchandise
- Price
- Impulse
- Convenience
30. The major reason people give for not shopping on the Internet is -
Options
- Lack of “Touch”
- Security Concerns
- Too Difficult
- Unfamiliar Merchants
31. Which of the following barriers to online purchasing is related to consumer fears regarding how personal information about them that is gathered online might be used?
Options
- Lack of “Touch”
- Online Privacy Concerns
- Economic Costs
- Opportunity Costs
32. How can firms enhance consumers' control with regard to online privacy concerns?
Options
- Don't ask for information
- Use bots
- Use Bogs
- Use “opt in” approach
33. Which online shopper segment is the most computer literate, does not view online shopping as novel, and aren't usually champions of the practice?
Options
- Suspicious Learners
- Business Users
- Fearful Browsers
- Technology Muddlers
34. Which segment of online shoppers has an appealing income, but they don't purchase from the Internet because they don't like to wait for products to be shipped to them, and they like seeing merchandise in person before buying?
Options
- Business Users
- Fearful Browsers
- Technology Muddlers
- Shopping Avoiders
35. What was the main reason consumers gave in a survey for why they don't like shopping in stores?
Options
- Don't Like Shopping
- Dealing With Crowds
- Salespeople are Poorly Informed
- Parking and Traffic
36. Consumers who browse and/or purchase in more than one channel are known as -
Options
- Cosmopolitan
- Multi-channel Shoppers
- Multi-Taskers
- Market Mavens
37. Which of the following affects consumers' retail outlet selection?
Options
- Outlet Image and Retailer's Brands
- Retail Advertising
- Outlet Location and Size
- All of the above
38. Which of the following is NOT a factor affecting consumers' retail outlet selection?
Options
- Outlet Image and Retailer's Brands
- Retail Advertising
- Outlet Location and Size
- Number of Levels of Distribution
39. A given consumer's or target market's perception of all the attributes associated with a retail outlet is generally referred to as the -
Options
- Store Atmosphere
- Servicescape
- Store Image
- Store Ambiance
40. The “Merchandise” dimension of store image includes -
Options
- Quality and Style
- Selection
- Price
- All of the above