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What is retail?
Retail is a very broad term, which generally refers to the large sales industry that includes hundreds of thousands of businesses and workers around the world, billions of dollars in revenue and is one of the main drivers of the global economy.
Retail definition
Retail is the selling of an item to a person for that individual’s own use. Retail sales can occur on eCommerce sites, in brick-and-mortar stores, over the phone, through the mail, or any other way money is transferred for specific goods. Most of the items you buy for yourself likely fall into this category and are retail purchases.
Retail goods are finished products that are at the end of the supply chain and being purchased in order to be put into use. This differentiates them from unfinished materials that are bought by manufacturers in order to build and sell. Unlike wholesale transactions that include a large number of items, retail refers to purchasing small quantities.
What is a retailer?
A retailer refers to the business or individual conducting the retail sale. It’s who you purchase your goods from. It’s usually a single-point source that sells multiple products to many different buyers.
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Retail examples
There are many different ways to sell retail. Here are some of the most common:
eCommerce: Create a website with an online store maker and start selling and shipping products to customers around the country, or even internationally. Examples: Amazon, eBay, Etsy
Department stores: Sell a wide spectrum of products separated into different departments. Examples: Macy’s, Target, JCPenny
Franchises: Buy the rights to open a store that operates under a large brand but is owned independently. Also known as franchising.
Examples: McDonald’s, 7-Eleven
Boutiques: Open a mom-and-pop store and start selling fashionable clothes or accessories. Examples: Any of the local, small businesses you love to support
Supermarkets: Create a store that sells food, groceries and home goods, separated into sections. Examples: Trader Joes, Whole Foods, ShopRite