03 - Digital Transformation in the Distribution of CG

What is the traditional picture of distribution?

• Wholesale, Retail, Consumers

• Manufacturer / Brands, Wholesale, Retail, Consumers

• Trader, Facilitator, Consumer

• Producer, Consumer

Which of the following activities are tasks of retailers to facilitate the exchange between manufacturers and buyers?

• Advertising products to consumers

• Negotiating prices with manufacturers

• Providing after-sales services to consumers

• Developing their own products

• Offering a variety of payment methods to consumers

Which of the companies are considered as retailers?

• Migros

• Nestlé

• Swatch Group

• Interdiscount

What does the primary focus of retailers in B2C transactions pertain to?

• Competitors

• Consumers

• Suppliers

• Government regulations

What is a potential consequence for retailers given the trend of manufacturers expanding their direct sales while limiting their indirect sales to fewer dealers?

• Retailers might see an increase in exclusive partnerships.

• Retailers may experience a reduction in operational costs.

• Retailers could lose their attractiveness due to not receiving desired products.

• Retailers might benefit from an increase in market share.

What exemplifies the product range function of retailers in the context of procurement markets and target groups?

• Retailers select goods that are least expensive to maximize profit margins.

• Retailers choose products based on what is easiest to transport and store.

• Retailers select goods that are particularly attractive to their target group, enhancing customer preference for their stores.

• Retailers focus on products with the longest shelf life to reduce waste.

Traditional business models in retail are characterized by a uniform bundle of various trading functions. Which of the following is NOT typically included in these functions?

• Assortment function

• Logistics function

• Service function

• Product innovation function

• Information and advisory function

According to the current trends in consumer behaviour and online retail, which statement best reflects the challenges faced by traditional retailers?

• Consumers typically choose a retailer before selecting a product, ensuring retailer loyalty.

• Online specialists offering superior specific retail functions, like advice or product range overviews, do not significantly impact traditional retailers.

• Consumers often engage with multiple providers in a single purchasing process, leading to a fragmented customer journey and challenging the traditional retail model.

• The added value of retail remains largely bundled, maintaining the traditional retail's pole position.

How does digital transformation impact competition in the retail sector?

• It reduces competition as digital services cannot match the performance levels of traditional retail functions.

• It intensifies competition at the level of individual functions, with specialized digital services offering superior performance that often requires a network to operate effectively.

• Digital transformation leads to a decrease in specialized services as they are unable to operate independently outside of traditional retail structures.

• Customers are less likely to combine partial services themselves, preferring the integrated service approach of traditional retail.

In the context of digital transformation in the retail sector, what is the new focus of competition, optimization, and innovation?

• The overall retail concept, such as the comparison between large retail chains like Migros and Coop.

• Each individual retail function, such as the size of the product range, rather than the retail concept as a whole.

• The geographical location of retail stores and their physical layout.

• The traditional advertising strategies and brand positioning.