Various Forms of the Retail Organization and Services Rendered by Them

Meaning of 'Retailer'

By the term `retailer' is meant such trader who, sifter purchasing the products from the manufacturers or the wholesellers, sells them in small lots or quantities to the final consumers. In our country, the retailers are designated by various names.

Forms of Retail Sales Organizations

(1)   Hawkers. Such retailers don't start any shop anywhere. Rather they go on wandering here and there and thus affect sales of the commodities in piece-meal or smaller quantities, to the consumers. The following are some of their popular names:

                              i.)      Wandering Retail Vendors;

                            ii.)      Vendors of the Foot-Path;

                          iii.)      Vendors of the Fairs and Village Markets.

(2)   Retailers Having Established Shops. The permanent retailers, by setting up their shops on a specific place, resort to the sale of the commodities to the consumers in small quantities, as per their needs.

(3)   Large-Scale Retailers. Some traders or the organizations resort to take up retail trade on large-scale some of which include the following:

                              i.)      Departmental Stores;

                            ii.)      Chain Shops;.

                          iii.)      Mail-Order Business;

                          iv.)      Super-Bazars;

                            v.)      Consumers' Co-operative Stores;

Services Rendered by the Retailers

       I.            Services Towards the Wholesellers

(1)   Helpful in the Sale of Stored Goods. The retailers are helpful in getting the goods, purchased from the wholesellers or the manufacturers, sold off.

(2)   Providing Valuable Market Information. The retailers go on supplying to the wholesellers the information regarding the tastes, fashions, etc. of the masses.

(3)   Economy in Publicity Expenses. Due to the retailers, 'he wholesellers are not required to resort to the publicity or advertisements. Thus, they reduce their publicity expenses.

(4)   No Need of Contacts With Consumers. Due to the retailers, the wholesellers don't feel the need of extending their contacts with the consumers.

    II.            Services Towards Producers

(1)   Selling Goods. Due to the retailers, the manufacturer gets himself relieved of the botheration of sale of goods in smaller quantities personally.

(2)   Availability of Relevant Information Regarding Consumers' Tastes. Whatever information the manufacturers get from the wholesellers regarding the consumers' tastes and interests, is actually furnished by the retail traders.

 III.            Services Towards the Consumers

(1)   Free from the Problem of Storing the Products. The retailer sells the products to the customers in piece-meal or smaller quantities, as per their needs, due to which the  consumers are not required to store the products unnecessarily.

(2)   Closeness to the Customers. The retail shops are mostly situated close to the consumers' localities due to which they don't feel any sort of difficulty.

(3)   Providing the Credit Facility. The retailer also provides the credit facility, i.e. they sell commodities on credit, to the known customers.

(4)   Providing Facility of Returning. On account of the approval-or-return basis, the retail traders also extend to the consumers the facility of returning the products if unapproved.

(5)   Home Delivery of Commodities. Many retailers also extend the facility of delivering the goods at the customers' home: and thus enhance their sales.

(6)   Freedom of Choice of Products. The retail traders, after collecting products of various kinds from different sources, extend the facility of selection of goods to the consumers, out of the stocks available with him.

(7)   Taking Care of Consumers' Needs. The retailers make their whole-hearted efforts to provide to their consumers, the products of their tastes, fashions, size and desired qualities.

(8)   Providing Facility for Purchase in Small Lots. Ordinarily, the retailers extend to the consumers, the facility of purchasing the commodities in small lots as per their needs. -

(9)   Supplying Information Regarding Newly-Manufactured Items. The retailers provide information to the consumers regarding the newly-manufactured items.

(10)  After-Sales Service. Many retailers, after the purchase of goods by the customers, also extend the guarantee for the repairs or replacements of parts, to the customers.