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Services of Retailers

Retailers serve as an important link between the producers and final consumers in the
distribution of products and services. They provide useful services to the consumers, wholesalers

and manufacturers. Some of the important services of retailers are described as below:

Services to Manufacturers and Wholesalers
The invaluable services that the retailers render to the wholesalers and producers are given as

here under:
(i) Help in distribution of goods: A retailer’s most important service to the wholesalers and

manufacturers is to provide help in the distribution of their products by making these available to
the final consumers, who may be scattered over a large geographic area. They thus provide place

utility.

(ii) Personal selling: In the process of sale of most consumer goods, some amount of personal
selling effort is necessary. By undertaking personal selling efforts, the retailers relieve the

producers of this activity and greatly help them in the process of actualizing the sale of the

products.
(iii) Enabling large-scale operations: On account of retailer’s services, the manufacturers and

wholesalers are freed from the trouble of making individual sales to consumers in small
quantities. This enables them to operate on, at relatively large scale, and thereby fully

concentrate on their other activities.
(iv) Collecting market information: As retailers remain in direct and constant touch with the

buyers, they serve as an important source of collecting market information about the tastes,

preferences and attitudes of customers. Such information is considered very useful in taking
important marketing decisions in an organization.

(v) Help in promotion: From time-to-time, manufacturers and distributors have to carry on
various promotional activities in order to increase the sale of their products. For example, they

have to advertise their products and offer short-term incentives in the form of coupons, free gifts,
sales contests, and so on. Retailers participate in these activities in various ways and, thereby,

help in promoting the sale of the products.

Services to Consumers