Chapter 3 Nonstore Retail Operations 66 Chapter Summary Section 3.1 Electronic Retailing • Nonstore retail is any method of selling products or services outside of a traditional brick-and-mortar store. Some types of nonstore retail may include e-tail, home- shopping television, direct mail and catalogs, direct sales, portable retailers, and vending machines. • E-tailing is the sale of products to consumers through the Internet. E-tail has many advantages over brick-and-mortar sales, but also has disadvantages. E-tail sales continue to rise through computers, smartphones, and other mobile devices. • It is important for e-tailers to understand why people shop online. Shopping online has many unique advantages and disadvantages. Section 3.2 Other Nonstore Retailers • Retail channels are all the different pathways through which goods or services can be sold. A multichannel retailer uses two or more retail channels to sell products. Multichannel retailing is important to reach every potential customer. • Portable retailers include street vendors, or people who set up portable stores outdoors. It also includes food trucks, which are mobile kitchens that sell food product. • Vending machines are machines used to sell products that do not require any form or personnel to make sales other than to restock the machines and collect the money. Review Your Knowledge 1. Explain how e-tailing and m-commerce are related. 2. Summarize the disadvantages of online shopping. 3. How is shopping online convenient for customers? 4. Explain the concept of global shopping. 5. Illustrate how online shopping delays customer satisfaction. 6. What do multichannel customers expect from retailers? 7. How do infomercials generate sales? 8. What are the disadvantages of catalog sales for the retailer? 9. Describe how an in-home party is a form of direct sales. 10. Explain how vending machines are a form of retailing. Apply Your Knowledge 1. Consider all the types of nonstore retailing discussed in this chapter. Choose fi ve types of nonstore retailers. Prepare a PowerPoint presentation that identifi es two products that are best sold with each type of nonstore retailer. 2. Search the Internet for current e-tail and m-commerce sales trends. Which one is growing faster? Explain why you believe that is the case. 3. Del Monte® is famous for selling fruits and vegetables. Even though customers probably will not buy their products online, Del Monte still maintains a website. What are some ways Del Monte’s website might infl uence in-store purchases?