Role of the retailer in the chain of distribution

Who is a retailer?

A retailer is a middleman who buys goods from manufacturers or wholesalers usually in large quantities and sells directly to many consumers in smaller and convenient quantities.

Functions of a retailer

  • Provides goods in convenient quantities
  • Provides goods in convenient locations
  • provides goods at convenient times
  • Provides variety of goods
  • Storage- A retailer maintains a ready stock of goods and displays them in his/her shop
  • Grading and Packing – The retailer grades the goods which are not graded by manufac­turers and wholesalers. He packs goods in small lots for the convenience of consumers.
  • May provide pre-sales and after-sales services
  • May provide credit facilities
  • May provide delivery services for some goods
  • Deals with customers’ complaints
  • Provides advice and information to the customers

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