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Discount Stores Market Research Reports & Industry Analysis

Discount stores are like department stores as far as total size, layout, and products go. Discount stores provide similar products but a lower costs. Different product lines are displayed in different areas inside the store, and normally there is a central check-out at the front of the store for customers to buy the goods. In some of the discount stores there may be different check-outs in some individual departments. Discount stores normally sell a large variety of goods, but some stores sometimes focus specifically on specialty items. Products sold in discount stores often are: cosmetics, apparel (for women, men, infants, and children), health products, toys, non-perishable grocery items, electronics (like audio and video goods), kitchen products, sporting goods, and jewelry. Discount stores often compete for customer traffic with department stores, online retailers, off-price stores, specialty stores, drug stores, supercenters, warehouse clubs, and catalog retailers. At times, discount store firms will also develop a warehouse club and supercenter.

Discount stores are directed to a specific demographic; normally lower to middle income customers. The demand for this industry is pushed by the spending habits of customers and the population increase that may happened in the regions of the discount stores. The overall profits of independent discount store companies depends on their ability to stay competitive in terms of pricing, increase their revenue per square foot, sufficiently locate stores, advertize product efficiently, and manage the supply chain. Smaller companies put more focus on developing niche markets for some products, or finding an untapped market. Bigger companies have an edge within the industry as they are more readily capable of negotiating lease terms for store space, and bargain for lower prices with their suppliers.

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Discount Stores Industry Research & Market Reports

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