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Part Two Apparel Industries
Retail websites offer a shopping cart into
which consumers electronically place their
selected items. To make the fi nal purchase,
after reviewing the selections in the shopping
cart, a checkout system requires input of credit
card information or another payment method.
An electronic verifi cation is immediately given
for the order, and also later to the customer’s
e-mail address. The merchandise is delivered
according to provided instructions.
Customer service can be a problem for
online e-tailers. Consumers cannot go to an
actual salesperson to ask questions about the
merchandise or to clarify buying procedures. To
combat this, companies hire customer service
representatives to answer consumer questions
online or by phone.
Television retailing involves showing and
describing merchandise on certain television
channels. Viewers order by telephone, pay by credit
card or other means, and have the merchandise
sent to them.
Mail-Order Houses
Mail-order houses sell to consumers through
catalogs. Mail-order customers select merchan-
dise by looking at catalog pictures and reading
the descriptions. Orders are placed either by
mail or telephone. Catalog fi rms usually have
toll-free numbers and extended order-taking
hours. Most accept credit card payment over
the phone and have websites so customers can
order via computer or mobile technology for
convenience.
In many mail-order distribution centers,
computers track inventory and control ware-
housing. Careful packaging techniques are used
to distribute the merchandise. Sometimes gift-
wrapping is offered, as in 7-15.
Mail-order houses may sell goods at lower
prices, but sometimes charge high shipping and
handling fees. They purchase goods in large
quantities, have low overhead, and sell to a mass
market. They have a large volume of business
and offer few services. They usually offer
money-back guarantees to ensure customers
are satisfi ed.
Mail-order retailing (also known as direct-
mail marketing) especially suits busy people
with little time or desire to go out to shop. These
people can study the catalogs during their
spare moments. Mail-order customers can call
a toll-free number or order on the mail-order
company’s website.
Mail-order retailers offer every type of
merchandise—from practical, low-budget items
to unique, luxurious ones. The trend in mail-order
is toward specialty catalogs aimed at narrow
segments of the consumer market. Computer-
ized mailing lists provide companies with names
of people in particular market niches, such as
various income levels or hobby interests. Catalogs
are prepared with target audiences in mind.
Some retail companies offer consumers the
choice of purchasing in several different ways.
These are multi-channel retailers, which offer
their products through different combinations of
physical stores, websites, mobile communication
apps, mail-order catalogs, and TV channels.
Multi-channel retailers have more opportunities
to interact with customers, since each channel
can help promote the other forms of their busi-
ness. An example would be when a shopper
fi nds out about a product online, then goes to
that company’s store to view and purchase the
product (rather than placing the order online).
Other Types of Retailing
Some less common types of retailing are thrift
shops, variety stores, personal selling, and leased
departments.
Lands’ End Direct Merchants
7-15
Apparel items must be carefully packaged to prevent
wrinkling, and are sometimes gift wrapped, before being sent
to the recipients.