(a) What is mail order business?
(b) list and explain six trends in retailing
Explanation
(a) Mail order business involves selling, through the post using catalogue/Selling by post.
(b) Trends in retailing:
(i) Vending Machine: Sales through vending machine are described as self service or automatic selling. The self-service vending machine allow the customer to have the product after the customer has paid. i.e. slot in the required amount, then press a button and the machine delivers the product.
(ii) Branding: Branding is a method of identifying a manufacturer's product by a special name) symbol or trade mark. It differentiates one manufacturer's products from others.
(iii) Self Service: Goods are clearly and neatly arranged on shelves for customers to easily walk in to select and serve themselves. All goods have price tags while baskets and trolleys are provided for customers to put in their goods.
(iv) Shopping Malls: They are very large stores that try to carry not only food and drug items, but all goods and services that are bought routinely on day to-day basis by customer. They look Like a combination of supermarket and department stores.
(vii) Trading Stamps/Gifts: Companies give trading stamps to customers which are redeemed for gifts in return. It encourage continued patronage.
(vii) After Sates Service: This involves activities carried out to help a consumer enjoy what he purchased from a seller. The activities include installation, repairs of damaged goods or their replacement and maintenance.
(vii) Luncheon Voucher: This is a voucher that can be exchanged for food in participating restaurants and other food establishments. The food seller will return the used voucher to the company for payment.
(viii) Fuel Voucher: This is a voucher issued and sold at a discount by filling stations to companies to encourage them to buy fuel from the filling station. Once given the voucher must be used to buy fuel.
(ix) E-retailing: It is the concept of selling of retail goods using electronic media, in particular, the internet.
(x) Mobile shops: This is the selling of goods from place to place in motor vans
(xi) Tied shop-: This is a business which has agreed to sell only a particular suppliers product.
(xii) Credit cards: It is a payment card issued to users as a system of payment for goods purchased. It allows the card holders to pay for goods and services based on the holders promise to pay for them.
(xiii) Pre-packaging/ Packaging; This refers to a method of packing products in standard weights or units for easy handling and protection before selling.