For suppliers and distributors of merchandise, working with retail conglomerates is a great way to ensure business and financial success. Take the time to learn about the kind of retail companies you plan to deal with and then determine if your products meet their specifications. Since many large retail stores target specific buyers by age or location, it will be vital for you to target your merchandise to their needs.

Join organizations for retailers and distributors to network your business and learn ways to market your business to chain retail stores. Here are some additional things to consider about working with retail conglomerates:

1. Since many retail conglomerate companies are targeted to a specific demographic or market, target your merchandise to their needs to increase your business.

2. Use financial company information of chain retail stores and conglomerates to discern potential success of working with retail conglomerates.

3. Join organizations for global retail conglomerates to network and broaden your selling base.

Action Steps
The best contacts and resources to help you get it done

Use detailed information about retail chains and stores to see if your products fit their needs

The best way to learn if your business can successfully be part of retail chain department stores or conglomerates is to review company information to see if your products and services will meet their business needs. There are many detailed listings available so that business owners and investors can learn everything they need to know about before signing the dotted line.

I recommend: Use the company listings at Corporate Information to learn details about a retail chain store you plan to pursue. You can learn financial information as well as what kinds of products stores buy and sell. Read the company snapshots offered by Alacra Store to learn about a company's principal activities such as the development and manufacture of products so that you can learn how your business can work with them.

Research various retail chains to determine the potential success of your business dealings

Take the time to research retail conglomerate information in order to find out if your business will meet the needs of a large retail store or shopping mall. Doing this will save you time in the future since you can easily determine what you will need to do to ensure that your business relationship will be successful.

I recommend: Read Forbes and Businessweek to find detailed retail conglomerate information. From these publications and websites you can find out about annual and quarterly earnings as well as sales and profits earnings and projections.

Become a member of organizations for retail stores and shopping malls to get information and network

Joining organizations and associations for shopping malls and retail stores is a great way to learn about working with retail conglomerates. Many of these organizations offer their members information including how to establish successful relationships and how to work with retailers and consumers.

I recommend: Become a member of the International Council of Shopping Centers, which is a global trade association for the shopping industry. Members work together to share information about successful marketing and financial strategies. The National Association of Chain Drug Stores is a great resource of information and assistance for retailers and businesses in the chain drug industry to promote each other. There is also an advisory board which provides advice and recommendations to members.

Retail chains are visited everyday by millions of people in the United States alone. These stores offer a wide variety of items from household goods to grocery items. Whether you own a shop that competes with the retail conglomerates in your neighborhood or you are looking to open a new string of shopping malls, the highest quality items are sure to boost you inventory and your financial bottom line.

From filling the shelves at shopping malls to stocking the most popular retail store chains, corporate buyers keep busy finding the best products at the best prices. Besides independent designers and inventors, buyers use large wholesale markets to fill the stock at malls and chain stores. When determining what items to stock in your retail shop, consider the following:

1. Each large retail store carries different brands and styles of products; it depends on the focus of the store.

2. Retail conglomerates buy in bulk; this creates a large quantity of items in their inventory at any time.

3. Domestic and global retail conglomerates increase the price of each item to cover company costs and earn a profit.

Action Steps
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Choose high quality products for your large retail store

Wholesalers of high quality products choose the best materials. Your customers will enjoy the strength and durability that the best items and brand names have to offer. Check out high quality discount products for customers looking for a bargain. Whether you own a few large retail stores or a set of small retail companies, the right brands and products are necessary for your business.

I recommend: Hanesbrands, Inc. offers its companies' products via a special website for retail conglomerates. The website's easy ordering feature is convenient and ensures quick delivery to your business. For added savings to your customers, Lingerie Mart Corporation has a selection of wholesale undergarments that are perfect for discount retail chains.

Purchase items in large quantities for your retail chain store inventory

Retail conglomerates purchase items in bulk at wholesale prices. Manufacturers and specialty companies offer some of the best wholesale prices. While you may have to become an authorized reseller for certain manufacturers, doing so will only boost your business and your ability to turn a healthy profit.

I recommend: The Stash Tea Company offers its 100 percent natural teas for resale. It's as simple as ordering from the company’s website. To find a large assortment of brand name candies and gums, check out B.W. Clifford, Inc. Their website offers a selection of items that will fill your shelves and meet the needs of your business, especially if you’re looking to stock impulse buy items in your checkout lanes.

Mimic a retail conglomerate and buy high quality goods at an inexpensive price

Finding the right brand name clothes at a discount price can be a difficult task. Most retail chain stores have buyers employed specifically for this purpose. Whether you have corporate buying experience or not, you can find brand name apparel items at a great wholesale price for your business.

I recommend: ApparelShowroom offers a selection of high quality women’s and juniors' clothing items. Its clothing is perfect if your retail store targets females of any age. For more of a varied assortment of items try Merchandize Liquidators. With an inventory that boasts all types of retail items, you are sure to find something to meet every customer’s needs. Whether you need brand name apparel, electronics, toys or domestics, the company ships items to your retail store by the pallet or by the truckload.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  If you are interested in carrying a certain brand name in your department stores, contact the company. It may be a simple process to become an authorized reseller.

If you own or manage a small retail business, staying afloat amidst competition from retail conglomerates can be tough, particularly in a downturn economic climate. Whether you’re in direct competition with retail chains or large retail stores in shopping malls, staying on top of retail conglomerates news and trends can help you benefit from their successful business models.

Gathering retail conglomerate information from reliable sources can keep you apprised of their purchasing, marketing and expansion strategies that may affect your target market. Utilize their business moves to find an untapped niche market or clever advertising idea that will set your store apart, for example. Obtain this helpful information by:

1. Studying industry publications that provide information and statistics on retail conglomerate companies and track the trends and business practices of chain retail stores.
2. Using online retail news sites to discover up-to-the-minute news on global retail conglomerates, department stores and retail companies that may affect your business.
3. Participating in retail associations where you can network with other small businesses and possibly work together to purchase or market with the power of a retail conglomerate.
   

Action Steps
The best contacts and resources to help you get it done

Use retail industry magazines to discover the business strategies of a competing retail chain store

Publications aimed at the retail industry provide in-depth profiles of retail powerhouses like retail chain store groups and other large retail stores. Articles will also cover topics like industry trends, buyer's guides and consumer analysis that can help guide your marketing and purchasing plans.

I recommend: Retail Merchandiser not only provides news stories that track the business and expansion of large retail stores, but also offers special reports and trend advice for retailers of all sizes. Retailer’s Forum is a trade magazine aimed at retail store owners that covers industry topics and sources of wholesale merchandise.

Find breaking news stories on retail conglomerates that will affect your business decisions

When you're looking for information on a competing large retail store or ways other stores are catering to your demographic, Internet sites may be your best bet to find current information since published magazines often go to press several months before the issue hits the stands.

I recommend: Retailing Today is an online publication that discusses high-volume retailers whether they’re located in malls or standalone locations. Information also covers company profiles for retail conglomerates in different sectors such as apparel, grocery and home improvement. Retail Wire covers industry news, trend watches and marketing news for retailers of all sizes. The site also provides business tips and webinars to boost your business.

Join retail organizations to discuss retail store chains and business ideas with other retailers

Participating in retail associations will not only allow you to network with other small business owners to possibly form buying co-ops and share business strategies, but also receive marketing training and industry information right along with larger retail conglomerate members.

I recommend: Retail Industry Leaders Association members work to further the advancement of the retail industry. Participate in educational forums and seminars with members of retail conglomerates. The National Retail Federation gives its members assistance and information on topics such as marketing, trends, finance and human resources.

Retail conglomerates are the 800-pound gorillas of the sales world. Their importing habits and choices of when to buy domestically or not shape the American retail scene and have a strong effect on world trade. As the main drivers of consumer buying habits, understanding retail conglomerates can help you understand the ins and outs of the retail market as a whole. Use this sheet of key vocabulary to help you understand the complex interrelationships of marketing, wholesale and retail companies within the conglomerates.

Action Steps
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Business-to-business wholesale

Business-to-business marketing helps eliminate the middlemen and streamline the transactions from product source to the retailer that will eventually market the product to consumers.

I recommend: Hanes Brands, Inc. does an excellent job of explaining why business-to-business wholesale sites are advantageous to retail conglomerates through its site.

Conglomerate

A business or retail conglomerate is not that different from the more mainstream connotation of the word. Think of a retail conglomerate as a collection of diverse retail stores all gathered under the same general business leadership.

I recommend: Investor Words and Raymond James & Associates offer two slightly different takes on the concept of a business conglomerate.

B2C

B2C or business to customer are terms that refer to transactions between a company or conglomerate and customers, as opposed to b2b or business-to-business transactions conducted only between companies.

I recommend: AIB Capital Markets expands on the definition of b2c.

Authorized resellers

When retail conglomerates carry popular products, like Apple brand computers and iPods, they often choose to become authorized resellers. Essentially, they are entering into a partnership in which the manufacturer endorses the retail store as an approved source for purchasing its product.

I recommend: Webtrends gives a detailed explanation of how its authorized reseller program works.

Balance of trade

The balance of trade is essentially a way of measuring how a country's imports compare to its exports. Retail conglomerates can shift this balance through their purchasing habits with foreign and domestic goods.

I recommend: Investopedia explains the concept of balance of trade and why a trade deficit is not necessarily a bad thing.

Sales tax exemption certificate

A sales tax exemption certificate, also known simply as a tax exemption certificate or resale certificate, is a standard business form used as proof that you intend to resell the goods you purchased at wholesale prices.

I recommend: The Washington State Department of Revenue explains the use of a resale certificate in business-to-business transactions.