Ch 15 Retailing

Transit Center does not have a retail location. They use their sales marketing representatives team to introduce their services to companies. As discussed before in the previous chapter this companies main headquarters is located in New York City. Transit Center sells its services at a discounted rate depending how many employees sign up for transit center commuter benefits. The discount rate is also determined by company nonprofit or profit status. The nonprofit rate for companies is at 3.9 % with a $18 shipping cost for either metro cards, vouchers, or credit cards to the HR administrators of the companies. The HR administrator then distributes the product to their employees which is reflected on payroll. Profit companies are offered a rate 4.5% at shipping cost $18. The discounted rate is offered less to nonprofit companies because they get a tax break.

When looking at a retailing mix for transit center it can be broken down into personnel, product, and promotion. I didn't include presentation and place because they don't have a physical place for the public to distribute Transit Center commuter benefits, with the exception of a replacement center. A replacement center is a place that commuters can go to if they loss their metro cards. If their Transit credit card is lost they have to contact customer service.
Transit Center personnel and customers service is key component in maintaing relationships with companies. A sales representatives and account managers task is to go to different companies to try to sell their services and also follow up with companies that already have an account with Transit center. Customer service is in place for commuters and companies to call when they lose their product or questions pertaining to accounts. The product that is offered through Transit Center are metro cards, vouchers, and credit cards ; this gives commuters a range. Some commuters prefer having a metro card others a credit card to purchase a metro card from a kiosk. Vouchers are usually offered to companies out of New York City who have a different transportation system.
Promotion is another important component for Transit Center. When personnel travels to these companies to promote their services there are gifts that have Transit Center's name. Transit center also partners up with other organizations for events that give away gifts like t-shirts, pens, umbrellas, bags, metro card holders,etc are distributed to the public. This is a great way for the company to promote their service or products.

A retail establishment that I visited earlier this weekend to accompany my sister was Sephora. It was quite interesting visiting this this retail store. When you think of Sephora you instantly think of makeup, but to my surprise they sell products for beauty, makeup, fragrance, skincare, and hair for both male and female. At this chain operated store you can get a complete make over with the exception of clothing. When you first walk in you smell this nice aroma that is very pleasing to the noise. You also see bright and vibrant colors that are appealing to the eyes. The music is very up beat. I would say their target market is geared towards women of all ages who are into fashion. Then you have these sales representatives walking around to assist their customers with basket of goods that they giveaway to promote different products. You can classify Sephora as a full service shop that offers a variety of products with different price ranges. They also have stations where the customer can get their makeup done and manicures as a free trial. In addition to representatives assistance there are tv screens that show tutorials of how to use products. This is a great way to allow their customers to try the product before buying. When you go to checkout you are offered more samples and gifts which can also be a great promotion strategy. I believe this company is very successful in what they are doing and they are really dominating the cosmetic and beauty industry because of the range in products and prices.