RETAIL IMAGE

1. WHY IS IT DIFFICULT FOR A RETAILER TO SOMETIMES CONVEY ITS IMAGE? A retailers’ image is created

from its retail strategy mix (product, price, place, communication and operations management), its positioning and its target market.

It is difficult to convey an image because Image is created by many

factors, both controllable and uncontrollable. Coordinating all the controllable factors alone can be difficult.

Image relies on consumers’ perceptions.

Uncontrollable elements (like competition) can inflate or deflate a store’s image.

2. WHAT IS ‘ATMOSPHERE’ IN A RETAIL CONTEXT? COMPARED WITH BRICKS-AND-MORTAR STORES, IS ATMOSPHERE DIFFERENT FOR ONLINE RETAILERS?

Store atmosphere plays a large part in establishing the retailer’s image

Atmosphere is the psychological feeling a customer gets when visiting a retailer. It refers to a store’s physical characteristics that project an image and draw customers.

Exterior Layout General interior Interior displays

Non-store retailers’ atmospheres are created by the physical characteristics of their tangible “face” (catalogues, web sites, vending machines)

3. WITHIN THREE SECONDS A SHOPPER SHOULD BE ABLE TO DETERMINE A RETAILER’S: NAME, LINE OF TRADE, ‘CLAIM TO FAME’ (I.E. WHAT THEY DO BEST), ITS PRICE POINT AND ITS PERSONALITY. THINK OF A RETAILER THAT DOES THIS EFFECTIVELY.

4. In the Leonard’s case assigned for discussion in today’s class, you were asked to identify the retail value propositions (RVP) of the community based pharmacy (such as Leonard’s) and their cross channel competitors (like Wal-Mart and Superstore). You should have come up with an answer similar to this: Community based pharmacy RVP (Leonard’s)

Experience - Pharmacist competency Selection Convenience

Cross Channel competitor RVP Emphasis on price and convenience Commoditization of pharmacist (which attacks core positioning of community

pharmacies)

If you were designing a new store for Leonard’s, what design features would you use to convey each of its RVPs as stated above? Pharmacist competency

focus on pharmacist space, space for clinics, private rooms for consultations, information displays

Selection store layout and product display, signage

Convenience Store layout (traffic flow), signage, parking, drive-thru, size of

entry/exit, number of cash registers

5. HOW WELL DOES THE PROPOSED EXTERIOR OF LEONARD’S CONVEY THE ‘WHOLE LIFE HEALTH SOLUTION PROVIDER’ POSITIONING? APPLY THE THREE-SECOND TEST FROM QUESTION #3 ABOVE TO THIS EXTERIOR AS WELL.

Leonards

6. HOW WOULD YOU CLASSIFY LEONARD’S SELLING SPACE GROUPINGS? JUSTIFY YOUR ANSWER.

selling space merchandise space personnel space customer space functional product

groupings purchase

motivation product groupings

market segment product groupings

storability product groupings (see page 444 of

your textbook)

Retail floor space:Selling space organized by:

7. TRAFFIC FLOW PATTERNS CAN BE ‘GRIDIRON’ OR ‘CURVING’ (SEE P. 444-446). HOW WOULD YOU CLASSIFY LEONARD’S TRAFFIC FLOW PATTERN? WHAT ARE THE ADVANTAGES TO THIS PATTERN?

8. HOW WELL DOES THE NEW DESIGN MEET THE SPECIFIC OBJECTIVES STATED IN THE CASE?

Objectives of new design:Customer centric shopping experience Integrated marketing communicationsMeet business goals and bottom line

profitabilityCreate a proprietary brand aestheticAccentuate convenience and service

functions

9. IF YOU WERE MAC RAYMOND, WOULD YOU PROCEED WITH THE PROPOSED DESIGN?