Who is Retailer? What are the functions of a Retailer? What are the services rendered by Retailer?

Retailers:
The term ‘retail’ implies sale for final consumption. A retailer is the last link between the final user and the wholesaler or the manufacturer. According to Professor William Standton, ”retailing includes all activities directly related to the sale of goods and services to the ultimate consumers for personal or non-business use.” In other words, the retailer is one whose business is to sell consumers a wide variety of goods which are assembled at his premises as per the needs of final consumers. In India, Most of the Indian retail outlets are owner-managed and have few or no sales assistant. Most important issues of these outlets are those of inventory management and funds management.

Functions of retailers:
1. Buying and Assembling:- A retailer buys goods from the best and most dependable wholesalers and assemble the goods in a single shop.
 

2. Warehousing: It helps the retailer to ensure the adequate and uninterrupted supply of goods
 

3. Selling: A retailer sells the products in small quantities to needy consumers.
 

4. Risk bearing: It is the basic responsibility of a retailer to bear the risk arising out of physical deterioration and changes in prices.
 

5. Sales promotion: Retailer undertakes some sales promotion through displaying of goods in the shop, distribution of sales literature, the introduction of new product, etc.
 

6. Financing: A retailer granting credit in liberal terms to the consumer and it helps the consumers a lot to purchase the required goods.
 

7. Supply of market information: As being in close and constant touch with the consumers, a retailer can supply the market-related information to the wholesalers and manufacturers at the earliest.
 

8. Grading and Packing: Retailers undertake second round grading and packing activities left by the manufacturers and wholesalers.

Services rendered by Retailers:
A retailer render a number of services to the manufacturers, wholesalers and to the final users. These services are outlined below:-
A. Services to the manufactures and wholesalers:
(1). Providing information: Retailer do provide the wholesalers and manufactures the information about the latest consumer movements and it helps the manufactures to produce goods according to the needs of consumers.

(2) Looks after the distribution process: A retailer, in general, looks after the entire distribution process and it helps the manufactures to concentrate on production.
 

(3) Creation of demand: By giving local ad and display of goods, retailers helps to create demand for the goods.
 

(4) A big relief: A retailer gives relief to the manufacturers and wholesalers from the problem of selling goods in small quantities.
 

B. Services to the consumers:
 

(1)No need to store goods: A retailer holds goods on behalf of the customers at a convenient place and inconvenient lot. Hence, the consumer need not buy and stock in large quantity.
 

(2)Largest choice: Retailers collects products of different manufacturers and it enables the
consumers to have the largest choice at cost, quality and so on.
 

(3) Providing information: A retailer supplies information about the introduction of a new product in the market and its features.
 

(4)Granting credit: Most of the retailers granting credit facilities to regular customers.
 

(5) After-sale services: In certain cases, a retailer provides after-sales services to the ultimate consumers to ensure the customer's shop loyalty.