Classification is 'a category into which something is put'. A retailer can be classified in a variety of ways as they are so diverse. This article will state and explain the different classifictations.
Ownership - a retailer can either be a sole trader, apart of a partnership or a limited liability company (private or public). This basically means the company can own their retailers or have othe shares or companies own it.
Type of Retailer - retailers come in many types, them being, a franchise, independent, multiple or not for profit.
Size of Store - the size of a store could vary. A buisness can be micro (less than 10 employees and a turnover of under £2-million), small (less than 50 employees and a turnover under £10-million), medium (less than 250 employees and a turnover under £50-million), large (more than 250 employees or more than a £50-million turnover).
Type of Activity - a retailer can have various type of activity. A store can either be food, non-food, non-store or in-store. Examples of retailers with these activities are: Thortons (food), B&Q (non-food), BooHoo (non-store) and Topshop (in-store).
Pricing Policy - a retailer's merchandise and target consumer. A retailer can sell their stock with premium pricing (moncler), economy pricing (easyjet), discount pricing (poundland), psychological pricing (John Lewis), competitor pricing (Zara).
Range of Merchandise - merchandise a store sells can vary on the type of store it is. The bigger the range, the larger the target audience. A retailer could sell books and magazines (Waterstones), gifts and stationary (WHsmith), womenswear (Phase Eight), menswear (Burton), Homeware (Oliver Bonas), electrical (PC World), Beauty (MAC), Toys (Smyths), Accessories (Accessorize), food (Tesco).
Method of Customer Contact - All stores have different ways of adressing their target customers. A retailer could interact with their customers with face-to-face service. This would be the case if a customer went into store. They may also contact them online with live chats and forums to guide them and answer questions. Finally, a retailer may reach out to their consumers through mail. This could email or post.
CLASSIFICATION OF RETAILERS