CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The...

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CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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Page 1: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

CHAPTER SEVENTEEN

Outlet Selection and PurchaseOutlet Selection and Purchase

McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

Page 2: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

Outlet Selection and Purchase

• Decision Sequence• Outlet First, Brand Second• Brand First, Outlet Second• Simultaneous

• Influences on store evaluative criteria• List and rank evaluative criteria (characteristics) when

shopping for:– major grocery shopping trip– buying a quart of milk in a hurry– buying a suit– buying a watch– buying a newspaper

Page 3: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

Marketing Strategy Based on Decision Sequence

Page 4: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

So what about the Internet?

• Break up into groups of three to four people• Creatively discuss the Internet as an Outlet• Develop a conceptual theory as to why

consumers are drawn to the Internet• Discuss reasons why consumers are

apprehensive toward using the Internet

• Record your ideas in a form that is presentable

Page 5: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

The Internet: Online Sales by Categories

Page 6: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

Class Discussion

• How would you measure the image of a retail outlet?

• Does the image of a retail outlet affect the image of the brands it carries? Do the brands carried affect the image of the retail outlet?

Page 7: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

Figure 17-2

Page 8: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

Table 17-2

Page 9: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

In-Store Influences that Impact Alternative Evaluation and Purchase

Alternative evaluation

Price reductions

Sales personnel

Stockouts

Displays

Store Atmosphere

Modify intended purchase behavior

Page 10: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

Supermarket Decisions

Page 11: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

In-Store Purchase Behavior

Page 12: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

Sales Impact of Point-of-Purchase Displays

Page 13: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

The Effect of P-O-P Display Location on Sales of Listerine Mouthwash

Percent

120

100

80

60

40

20

0

+11%

+141%+162%

Shelf Rear FrontEndcap Endcap

Regular price on shelf

Feature price/display

Ave

rag

e u

nit

sale

s pe

r st

ore

Page 14: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

Consumer Insight 17-1

• Is it ethical for retailers to set prices with 99 rightmost digits knowing that consumers will interpret the price to be lower than it is?

• Why don’t consumers simply round up to the next larger number? Wouldn’t it be easier to think of $9.99 as $10.00 rather than as $9.90 or even $9.00?

Page 15: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

Store Atmosphere

Page 16: CHAPTER SEVENTEEN Outlet Selection and Purchase McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.

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CHAPTER 17

Impact of a Stockout Situation


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