Understanding Buying and Merchandising in Retail

Front

What is merchandise planning?

Back

Ensuring the right products are available at the right time and price

Front

What does the term "product" refer to in retail?

Back

The goods or services that a business selects to sell to customers

Front

What is "price"?

Back

The amount of money requested or charged in exchange for a product

Front

What is "perceived value"?

Back

A customer’s own perception of a product’s worth or quality, often influenced by branding.

Front

What is "overhead"?

Back

The fixed costs of running a business, such as rent, utilities, and maintenance

Front

What is the "break-even point"?

Back

The point at which costs equal the revenue generated from sales, meaning no profit or loss

Front

What does "range" refer to in a merchandise plan?

Back

The variety of products and the depth of choices offered within each category

Front

What is a "planogram"?

Back

A detailed diagram showing exactly where products should be placed on store shelves to maximize sales.

Front

Where are products placed "above the fold"?

Back

In a high-traffic area or section of a webpage where they’re immediately visible to customers without scrolling

Front

What is "markup"?

Back

The additional amount added to a product’s cost to cover store expenses and achieve a profit.