Learn the meaning of retail marketing covering the four components including product, price, promotion and place necessary for success.
The Retail Marketing Definition
Retail marketing is different from other forms of marketing as it deals with selling products to the consumers directly. The consumers get to buy products through sales channels in retail market like stores, kiosks, malls, vending machines or other outlets.
Main Marketing Components
There are four main components that must be implemented in order to achieve excellent business results. They are known as the 4 P’s of retail marketing strategy or mix and are described as follows:
1. Product: The first component is the product. A retail business typically starts business with a specific category of product, such as women’s jewelry. The retailer must determine factors like price range, designs and selection of the jewelry pieces. If the retailer is able to assume the factors well then he will be able to attract his target customers.
2. Place: The place where the retail items will be sold is an important component of retail marketing too. The selling point should be located at a place where the targeted customers are more likely to come. The place should be clearly visible and must have easy access and exit.
3. Price: Price is a very important component of retail market as it determines whether a prospective customer will buy the product or not. If the products are priced high then the customer will refuse to buy them, and if they are priced low then they will suspect the product quality. So it is important to aptly tag prices on the product.
4. Promotion: Just like in any other marketing method, promotion is an important component of retail marketing too. The business should look out for effective ways of promotion that would attract customers towards its points of sales. The amount spent in promotion should be turned into additional sales in order to help business make large profits.