Important Characteristics of Retailing are given below:
1. It offers direct interaction with the customers:
None else in the channel comes across the customers as the retailer is the last point. It is he who gets the feedback from the customers.
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2. Small quantity makes large quantity:
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A retailer is selling in small quantities through break bulk function. However, the small quantities become large when aggregated.
3. Customer service:
A retailer provides different services to the customers, like home delivery and credit facility.
4. Point of sales promotion:
A manufacturer going in for sales promotion has to provide it to the final point from where the customer buy. Sale, Point of Purchase display, discounts, etc. have to be offered at this point only.
5. Different forms:
Retailers have undergone a sea-change. Traditionally retailers were in the form of Hats, Melas, and Mandies; then the forms changed to mom-and-Pop stores or Kirana stores, super bazars etc; and now the organised retail is before us. From brick-and-mortar-stores now there are many forms of non-store based retailers.
6. Location and Layout being Important:
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Location is very important for the retailers, otherwise customer footfalls may be a problem. Customers are time-poor and hence location is very important. Apart from location, layout is equally important especially in the new retailing environment. Ambience, the part of extended marketing mix is the necessity rather than a luxury. It is because of this reason that most of the mom-and-pop stores are undergoing interiors.
7. Big Employment Provider:
Retail sector is the second largest employer in India.