CHAPTER 2: TYPES OF RETAILERS

TYPES OF RETAILERS

There are 7 main types of retailers which can be defined by the size of their business and the way they in which they sell their products.

The 7 main types of retailers are;

1. DEPARTMENT STORE

This type of retailer is often the most complex offering a wide range of products and can appear as a collection of smaller retail stores managed by one company. The department store retailers offer products at various pricing levels. This type of retailer   adds high levels of customer service by adding convenience enabling a large variety of products to be purchased from one retailer.

2. SUPERMARKETS

Generally this type of retailer concentrates in supplying a range of food and beverage products. However many have now diversified and supply products from the home, fashion and electrical products markets too. Supermarkets have significant buying power and therefore often retail goods at low prices. In Malaysia we have Tesco, Mydin and Giant.

3. WAREHOUSE RETAILERS

This type of retailer is usually situated in retail or Business Park and where premises rents are lower. This enables this type of retailer to stock, display and retail a large variety of good at very competitive prices.

4. SPECIALTY RETAILERS 

Specializing in specific industries or products, this type of retailer is able to offer the customer expert knowledge and a high level of service. They also add value by offering accessories and additional related products at the same outlet.

5. E-TAILER

This type of retailer enables customers to shop online via the internet and buy products which are then delivered. This type of retailer is highly convenient and is able to supply a wider geographic customer base. E-tailers often have lower rent and overheads so offer very competitive pricing. In Malaysia, famous e-tailer such as Zalora, Lazada and 11 Street

6. CONVENIENCE RETAILER

Usually located in residential areas this type of retailer offers a limited range of products at premium prices due to the added value of convenience. In Malaysia we have 7Eleven that open 24 hours and the price of that store are a bit expensive due to their operation hour

7. DISCOUNT RETAILER 

This type of retailer offers a variety of discounted products. They offer low prices on less fashionable branded products from a range of suppliers by reselling end of line and returned goods at discounted prices. In Malaysia we have Sogo shopping center that always have their promotion every day.