The Nature of Retailing

Definition and Role

Retailing involves the selling of goods and services directly to consumers.
It plays a vital role in the supply chain, acting as the final link between manufacturers or wholesalers and consumers.
Retail organisations can range from small, independent businesses to large, multinational corporations.

Supermarkets offer a wide variety of goods including food, drink, household items, and often clothing.
Department stores sell a broad range of products organised into different sections or ‘departments’ within the same shop.
Speciality stores, or boutiques, focus on selling a specific type of product, like electronics, clothing or books.
Convenience stores provide easy access to everyday items and typically have longer opening hours.
Online retailing, or e-commerce, has grown rapidly with businesses selling goods directly to consumers through websites and apps.

Brick and mortar stores refer to physical retail outlets where consumers come in person to buy products.
Online retailers sell products over the internet, offering home delivery or ‘click and collect’ services.
Omnichannel retailing is a multi-channel approach where retailers provide a seamless shopping experience, whether the customer is shopping online or in a physical store.

Retailers face intense competition, both from other retailers and online stores.
They need to continuously respond to changing consumer demands and expectations.
The rise of e-commerce presents both a challenge, in the form of increased competition, and an opportunity to reach more customers.
Other challenges include keeping up with technological advances, managing supply chain issues, and dealing with environmental and ethical concerns.
Opportunities can arise from market trends, such as the increasing consumer preference for sustainable and ethical products.