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Food Marketing Insitute - Glossary of Terms Category: Agriculture and Industry Date & country: 13/09/2007, USA Words: 1737

compare and save signs-store signs
Store signs that compare that store's price of an item with a competitor's price.

comparison shopper
A person who compares several stores' prices of the same items and brands. Often done by a professional employed by a retailer or wholesaler.

competitive price
The price that the same branded product is offered for sale by a competitive distributor. Also, the wholesale or retail price at which a product is sold when conforming to margins within the trade.

complete-line wholesaler
See full-service wholesaler.

compressors
Equipment fueled with compressed gas that runs a refrigerator.

computer assisted ordering (CAO)
A computer software program that keeps track of inventory and orders items as needed. Also called Computer-Aided Ordering.

computer-based training (CBT)
An self-paced, interactive, computerized tutorial or training process.

computerized management system
An electronically controlled system that uses sensors to monitor and control a store's energy use.

concealed loss or damage
Shortages or damaged products discovered after delivery.. See unconcealed loss or damage.

condiment
A spice used to season foods.

conditioning
A procedure that prepares produce for display and sale through proper handling techniques (such as trimming excess leaves on greens). Conditioning maintains the appearance and eating quality of perishables.

consignee
The recipient of a shipment of goods.

consignment
Items offered for sale on a cash or short-term credit basis. See commission merchant; guaranteed sale.

consignment selling
A sales technique used for specialty or seasonal merchandise. The distributor pays for the merchandise when sold, or when the unsold product is returned after a predetermined period of time. The title for the merchandise for resale is held by the shipper until the merchandise is sold by the distributor.

consignor
An individual or business that distributes goods for sale or assigns custody to another party.

consumer
An end user of any product or service. A shopper or customer. The final link in the chain of product distribution

consumer advertising
Advertising to motivate people to buy things or to shop at a store.

consumer cooperative
A group, called a co-op, that forms to buy in bulk to save money or to buy particular foods. The co-op operates food markets as a nonprofit corporation to sell product to member-families or the general public.

consumer direct
Distribution of product direct from the manufacturer to the consumer, bypassing typical retail channels of trade.

consumer franchise
See brand franchise.

consumer goods
Merchandise destined for ultimate use by persons or households without further commercial processing.

consumer mix
A demographic profile of customers that buy a product. For a product, the sales attributed to various types of consumers expressed as a percent of the product's total sales.

consumer panel
A representative sampling of shoppers who, through discussion, enable managers to assess customer needs in a particular store or group of stores. Discussion often involves shopping convenience, store sanitation, and other factors that contribute to customer satisfaction.

consumer services
Store services unrelated to actual sales, such as home delivery, carry-out and check-cashing,

consumerism
Pattern of consumer behavior where products and services are evaluated for performance and quality.

container
A train, truck, airplane or ship's cargo van used to transport goods. May be refrigerated or controlled-atmosphere unit. Standard sizes 10-, 20-, 24-, 35- and 40-foot units. Also referred to as a Cargo, Intermodal or Van Container.

container on a flat car (COFC)
A container transported by railroad flat car.

continuity
The exposure of consumers consistently, over time, to advertising intended to sell a product or service.

continuity program or promotion
A long-term store promotion using items such as china, encyclopedias or cutlery to attract customers to a store.

continuous replenishment (CRP)
An ordering process based on the exchange of electronic data between a store and a distributor that indicates when a store is running low on a product and needs a new shipment of the item. CRP programs reduce inventory levels and operating costs by having products delivered on a frequent, as-needed basis. With CRP, consumer demands--based on scan data, warehouse movement, and sales forecasts-- drive warehouse replenishment orders and shipping. In the most common form--vendor managed continuous r…

contract features
A list of products scheduled for a wholesale or retail sales promotion. The distributor of the products receives either money or an allowance for a successful sales event. See proof of performance.

contract store
A non-affliated food store supplied by a wholesaler on a cost-plus basis or by special arrangement. See cost-plus.

control book
A sales record that logs trends by product and season.

control coupon
An advertising coupon that limits the number of items bought on sale.

control label
An exclusive company label used in a certain geographic area.

controllable expense
Expense items, such as payroll and shrink, that can be reduced by managers.

controlled brand
A merchandise brand distributed by wholesalers, retailers or groups of stores that do not compete with each other. See franchised label; private label.

controlled interviews
A practice that sets buying days in a published schedule. Interviews are often limited to a certain length of time, and special interviews by appointment only.

convection oven
An oven with circulating air that cooks more uniformly and at lower temperatures than does a conventional oven.

convenience food
Prepared products, such as frozen or microwavable foods, that are quick and easy to fix.

convenience products
Easy-to-use necessities which people usually buy frequently and/or can use immediately

convenience store
A small, easy-access food store with a limited assortment. Many convenience stores also sell fast food and gasoline.

conventional supermarket
A large, self-service, retail food store (up to 30,000 square feet), with moderate pricing and selection, and annual sales in the $2 to $8 million range. Usually includes a meat, produce, dairy, and grocery department.

conventional wholesaler
A wholesaler that sells goods to retailers at a price which includes an unrevealed margin, not at cost-plus.

conversion allowance
Money that a manufacturer pays to cover a wholesaler's costs for a change in a product's package size or design. See slotting allowance.

conveyance
A legal term referring to a property transfer from one party to another.

cook-chill
A cooking and food preservation process for food-service products. Food is cooked, packed, sealed and quick-chilled in a plastic pouch and stored at a temperature below 40 degrees F.

cooler
A refrigerated holding unit in a warehouse or store for perishables.

cooperative (co-op) store
A consumer cooperative owned food store operated by corporate management. Multi-store and single store owners band together to achieve the advantage of chain-like distribution patterns.

cooperative advertising
A manufacturers' ad paid for in whole or in part by the manufacturer, with a retailer's name, logo and location inserted in the ad slick. For magazines

cooperative allowance
A manufacturer's deal for a distributor or retailer to perform certain duties.

cooperative group or co-op
A group of independent retailers that own and operate a warehouse to buy in bulk to save money..

cooperative marketing
A group of independent producers that sells together.

copy
The written or spoken part of an advertising message.

corporation
A group created by a legal charter that may buy or sell or enter into contracts.

cost
The dollar amount paid for any goods or services. Retail price equals cost price plus profit.

cost and freight
A shipping term where the seller is responsible for paying freight, but not insurance charges to a destination.

cost of goods sold (COGS)
The cost paid by a company (including freight) for the goods it sells to its customers. COGS is computed by adding the cost of the inventory at the beginning of the period to the cost of goods received by the store (or warehouse) during the period, then subtracting the cost of the inventory at the end of the period.

cost per thousand (CPM)
An advertising sales term used to calculate how much it costs an advertiser to reach a thousand people.

cost-plus
A method of pricing where merchandise is billed at cost, with a percentage mark-up, or dollar charge, added for services rendered.

cost, distribution
A term that refers to freight, storage and advertising costs of delivering a product to a wholesaler/retailer.

cost, fixed
An expense that does not change regardless of sales or productivity, such as insurance and rent.

cost, unit
The price of one unit of a product. It includes any related variable costs and any applicable fixed cost allocations that may apply.

count
The number of units or items in a case or package.

coupon
A discount certificate redeemed at the cash register. Coupons are distributed in manufacturer's newspaper ads, freestanding inserts, affixed to a product package, by direct mail, electronically in store or via the internet.

coupon chargeback
Manufacturer notice to a retailer and/or a coupon clearinghouse that payment for coupons submitted has been refused and that they are billing the retailer and/or clearinghouse for the face value of the coupon plus handling.

coupon drawer
A checkstand drawer to store coupons.

coupon drop
A manufacturer's coupon distributed by various means at a particular time.

coupon redemption
The act of exchanging a discount certificate for a credit at a cash register. Retailers are later reimbursed for the face value of the coupons plus handling charges.

coupon redemption report
A report that lists the number redeemed and value of all coupons.

coupon scanning
The practice of ringing up coupons at the register.

coupon stuffing
An illegal practice of ringing coupons outside of an order and taking the money.

courtesy clerks
Store employees responsible for bagging orders and carrying them to the car for the customers. Also referred to as carry-out clerks.

courtesy counter (customer service)
An area in a store dedicated to customer services, such as check-cashing, product returns, money orders, lottery tickets, bottle refunds, fax service, Western Union, etc. Usually located at the front of a store and is always staffed. Also called Service Desk.

CPM
Cost per thousand.

CRC
Count and recount.

credit memo
A voucher for credit for goods or services.

credits
Outdated, damaged, or unsalable merchandise where a refund can be obtained from another source.

crisping
Soaking leafy produce in water to restore freshness.

critical period
A period of time between restocking during which the sales volume of a store is at its highest level.

cross contamination
A transfer of bacteria from one product to another by either direct or indirect contact.

cross docking
A process that takes place at a distribution center where arriving product is immediately broken down and reassembled into palletized store orders or moved to a temporary staging area. Product is then loaded onto waiting trucks for store delivery without ever going into storage.

cross-merchandising (cross-selling)
A display of related product, such as cereal and bananas, charcoal briquettes and starter fluid, pasta and tomato sauces.

crown end display
A massive display at the end of a grocery or frozen food aisle.

CRP
Continuous replenishment.

cryovac
A proprietary term for vacuum packaging material, which has entered the language to mean all vacuum packaging, like 'Xerox,' 'Kleenex' or 'BandAid.'

cube
The cubic measurement (volume) of a quantity of product, calculated by multiplying its height by width by depth. Cube measurement is associated with the capacity of trucks, warehouse, backroom or shelf space.

cube out
The act of reaching the capacity of product that can be shipped in a truck or other transportation vehicle. See weigh out.

cube utilization
Loading a truck or other transportation vehicle with merchandise in order to fill as much of the horizontal and vertical space as possible.

cubic capacity
The capacity of a vehicle, stated in cubic feet.

cubing
The process of ordering products to fill a vehicle.

cull
Checking displayed products in cases to remove off-condition or unsalable products.

curb delivery
The practice of delivering an order in bulk to the pavement in front of a retail store; or from the tailgate of a truck to an adjacent platform. See carry-in charge.

current assets
See assets, current.

current liabilities
Includes all debts and expenses due within one year (such as, accounts payable, accrued liabilities, current portions of long-term debt). See liabilities, current.

customer count
The number of customer checkout transactions for a day or week.

customer loyalty
The degree to which a customer repeatedly shops a store for a majority of their purchases.

customer mix
For a store the number of customers of various types expressed as a percentage of the store's total number of customers. For a product the sales attributed to various types of customers expressed as a percentage of the product's total sales.

customer pickup
See backhaul.

customer take-a-check
Numbered tags for customers used in areas where lines form to ensure fairness of service.