Definition: Retail management is a process that evaluates all the elements involved in a retail sale to increase positive results. It is a set of procedures and techniques employed to enhance the retail environment and structure to create great customer satisfaction.
What Does Retail Management Mean?
Retail Management is one of the most recent branches of sales management. It is mainly focused on enhancing the customer’s experience through different techniques to create every stimulus possible for a purchase to be made. Retail managers focus on developing an engaging environment through the use of color, variety, sizes, room temperature, shelve height and width, product placement or bundle offerings, among many other strategies are employed set up the best stage possible for more sales to occur. Availability is also a crucial element addressed by retail management.
Stores should put a lot of effort to guarantee that everything the client needs is properly displayed and customer service representatives should be capable to provide whatever the customer is asking for quickly. This practice has proven to be very profitable for companies and it is now widely implemented. Big brands that sell retail products negotiate certain spaces with retail establishments to get better visibility and enough space to display the merchandise attractively. Also, they employ people to supervise the way products are placed, to make sure the look as appealing as possible to serve as elements of persuasion for customers passing by.
Example
A company called Pick & Go Co. has many retail establishments located in high-traffic sections of medium sized malls found across the state. The stores mostly sell magazines, minor groceries and candy, but the company’s Retail Management Department is always designing new ways to display the merchandise to make sure it catches the attention of everyone walking in front of the store.
This is the source of the company’s success and many big brands have engaged in advertising efforts within the stores to give their products more visibility. The store charges them a fee for this additional advertising and this creates another stream of revenues that other establishment don’t get because they don’t pay attention to that kind of opportunities.
