Prep Task 6 - Place
Prep Task 6 - Place
Familiarise students with the bases of retail and distribution theory and practice.
Facilitate a critical, reflective understanding of retail, distribution and management.
Encourage a more critical appreciation of place within the marketing process.
Encourage the use of a more formal, evidence based approach to the exposition of
personal knowledge.
Student Task:
Task a: (No need to submit answers to task a). You may like to search for additional
information to help formulate your ideas and potential insights. Whilst, this is not
compulsory, it would be a useful starting point and a valuable future resource for you .
Task b: (Submission required) Complete the ‘boxed’ questions overleaf to form a basis for
this understanding.
This topic will form the basis of discussion in your next Tutorial.
What is the difference between the value chain, the supply chain and logistics?
Value Chain: Concentrates on all processes that enhance a good or service, from inception
to delivery, with the main goal of adding value for the client.
Supply chain: Contains all actions from raw materials to the final consumer in the
production and delivery of a product, with a focus on the movement of products and services.
Logistics: Deals specifically with the organization and coordination of the actual
transportation and storage of commodities along the larger supply chain.
Define ‘programmatic commerce’ and outline some of the pros and cons of this
phenomenon. (Tip: See page 270; Marketing Insight 9.4) in Baines, Whitehouse,
Antonetti and Rosengren (2021).
Programmatic commerce refers to the automated and data-driven processes involved in
buying and selling goods or services.
PROS:
It increases efficiency: stocks may be reduced and consumption patterns are easier to
predict.
It creates important marketing implications: because it leads to an increase in switching
costs.
CONS:
Complexity and Integration Challenges: Implementing programmatic commerce systems
can be complex and may require significant integration with existing technologies.
Lack of Human Touch: While automation brings efficiency, it may lead to a lack of the
human touch in customer interactions
How might you use atmospheric mixes to attract and deter visitors within physical
retailing?
Attracting Visitors:
Scent Marketing: Use pleasant scents to create a positive ambiance.
Music and Audio: Play upbeat music to energize the space.
Lighting: Ensure well-lit spaces to highlight products.
Identify 2 barriers to successful e-tailing (limitations) and offer a solution for each.
Limitation 1: Fears about the security of their financial and personal information prevent
many customers from making transactions online.
Solution 1: Put in place strong cybersecurity safeguards like encryption standards, secure
payment gateways, and frequent security assessments. Show certifications and privacy
policies. Provide ratings and reviews from customers as well to establish credibility.
Limitation 2: Online shoppers often miss the in-person interaction they would have in a
physical store. Limited product visibility, and inability to touch or try items.
Solution 2: Add interactive components like chatbots or live chat features. Offer high-
quality product photos, thorough product descriptions, and customer reviews. To replicate
the in-store experience and increase customer confidence in their purchases, provide virtual
try-on options.
Name your favourite retail store/brand and explain WHY you like it so much
H&M is a popular global fast-fashion retailer known for its trendy and affordable clothing. I
personally appreciate H&M for the following reasons:
Fashion Trends: H&M is known for quickly adapting to and offering the latest fashion trends.
People like me who enjoy staying on top of current styles often find a wide variety of trendy
and fashionable items at H&M.
Affordability: The brand is recognized for providing stylish clothing at affordable prices. This
appeals to my budget-consciousness to update my wardrobe without breaking my bank.
Diverse Selection: H&M offers a diverse range of clothing styles for men, women, and
children. The broad selection caters to various tastes and preferences, making it a one-stop
shop for individuals and families.
Market Expansion and Reach: Understanding the geography and demographics of target
markets helps in expanding the reach of products. It enables businesses to identify new
opportunities and enter untapped markets. Businesses can tailor their distribution strategies
based on regional preferences, cultural differences, and local market conditions. This
understanding is crucial for successful market expansion.
Well done … now, you can minimise this window (after you save and submit your work) and
get back to that online order!