Markets, rights and retail stores

The target market is the group of consumers most likely to buy. Focusing on it brings the best return on money spent on selling.

Market segmentation divides a market into groups with common needs:

• Demographic: age, sex, occupation, education, income.
• Geographic: cities, regions, climate.
• Psychographic: lifestyle, interests.
• Behavioural: opinions and how people use the product.

For example, a shop selling school uniforms targets one age group in one city; a brand of hiking jackets targets people who love the outdoors and live in cold places.

The merchandising rights: the right merchandise, at the right place, at the right time, in the right quantity, at the right price, with the right promotion.

Kinds of retail stores: small single-unit stores (run by the owner and family); department stores (separate departments, sometimes food); chain stores (a shared brand, central management, standard practices). Large stores have divisions for merchandising, sales and promotion, finance and control, and operations. Know the customer; right goods at the right moment.