Copy of `Food Marketing Insitute - Glossary of Terms`

The wordlist doesn't exist anymore, or, the website doesn't exist anymore. On this page you can find a copy of the original information. The information may have been taken offline because it is outdated.

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

intercom
An in-store communication system used by employees to speak with one another.

interest expense
The cost of borrowed money including all interest charges on short- or long-term debt and capital lease obligations.

intermodal
Transporting products by a variety of transportation vehicles.

intermodal container
See container.

internal audit
A staff department that is responsible for performing operational audits of the stores. The areas audited include pricing, receiving, bookkeeping and security areas.

internal borrowing rate
The rate at which money can be borrowed within the company.

Internet
A global computer network. The system allows you to send and receive communications; conduct research; access public or private databases and advertise products and services.

internet coupons
Electronically redeemed coupons using the Internet.

interstore transfer
An invoice showing a transfer of merchandise or wages between separate stores.

intranet
An internal computer network to facilitate corporate communications with access limited to a company.

introductory allowance
One-time manufacturer's discount for an initial purchase of a new or existing product.

introductory offer
A manufacturer's incentive on a new or improved product. See handling charge.

inventory
Stock-on-hand. An analysis of inventory in the store which provides the company with valuable information regarding shrink, inventory level and management performance.

inventory carrying cost
The total dollar value of all products carried by a retailer.

inventory control
The management of product-flow through the retail/ wholesale system.

inventory loss
A condition that occurs when there is less product on hand than should be; resulting in lower sales and shrink.

inventory turnover
The rate at which products must be restocked because of customer sales.

invoice
An itemized statement of products received showing items shipped, price and total amount billed.

invoice adjustment
Plus or minus on an invoice due to damaged goods, shortage, etc.

IPH
Items per hour.

IQF
Individually quick frozen.

IRC
Instant redeemable coupon.

irradiation
A food preservation process that utilizes radiation to control bacteria growth and increase shelf-life.

island display
A free-standing retail display built in the center of wide aisles to divert traffic. Products may be case-stacked on the floor or placed on portable tables or fixtures.

ISP
In-store processor.

item
Products carried in-stock by a retailer or wholesaler.

item maintenance
An EDI transaction, UCS 888, used by sellers to electronically provide customers with physical product parameters for consumer item, unit of sale, unit, and unit load. Parameters include identification codes, size, weight, cube and descriptions.

item pricing
Attaching the retail price to each product.

item re-order point
A designated inventory level at which additional product should be ordered. Re-order points are generally related to shelf capacity and item case pack.

items per hour
An average amount of items checked/scanned in an hour by a cashier.

jack
A wheeled device with lifting capabilities, used to move pallets or heavy loads of product (often onto skids or pallets).

job description
A written statement communicating an employee's function within the workplace. It specifies the job duties or assignments for a position and the standards by which the employee will be judged.

jobber
A full-line wholesaler capable of providing a variety of retail services including product distribution, ordering, stocking, advertising, financial information and reporting. See rack jobber.

journal
A printed tape inside a cash register that records all ongoing customer transactions. Also known as Journal Tape.

jumble display
A dump display of a variety of similarly priced products. See dump display; mass display.

just-in-time delivery (J-I-T)
An inventory control system that replenishes and delivers products to a retailer just as a current supply is depleted.

key account
A wholesaler's or manufacturer's primary customer that provides the majority of sales volume.

kick plate (base)
A metal sheet, usually at the bottom of doors, for protection purposes.

kiddie corral
An area dedicated for children's play in a store.

kiosk
An interactive, video terminal featuring recipes or product locations for customer service.

kites
A price list that includes wholesale/retail costs and advances.

kosher
Items prepared in accordance with Jewish dietary law under the guidance of a Rabbi.

kwik-indexes
A list of the leading 200 supermarket operators and the top 50 convenience store companies, ranked by sales volume.

label allowance
An allowance given to a distributor by a packer when the distributor supplies their own labels to that packer. The allowance is usually granted for private label processed foods packed for the distributor.

label gun
A tool used to price merchandise.

label peeler
A device used to remove price labels from merchandise when repricing due to a price change.

labor
All employees except managers that work at a retail store or distribution center.

labor scheduling software
A computer software program that creates weekly work schedules for employees and departments. The software program inputs company parameters such as vacation, holidays, work availability, hours of operation, peak sales periods, etc.

lacing
A shelf display of overlapped, bagged products to form an attractive arrangement.

LAN
Local area network.

last in, first out (LIFO)
The most recently acquired product is the first sold.

layer
A row of similar products stacked on a pallet or shelf.

layer quantity
The number of similar product cases used to make a pallet layer.

layer-loaded unit load
A pallet loaded with different layers of products.

layout
See store layout.

layover
A shelf-stocking technique that displays the top of a product to customers.

LCI
Learner-controlled instruction.

LCL
Less-than-carload.

lead time
The time between an order and a delivery.

lease-back
A process of financing a building; then selling it to an outside company and paying rent. Options and protective clauses apply to the tenant.

leased department
A retail department that is leased to, and operated by, a separate company. Also known as a franchised department.

leased inventory
An accounting method used to finance the opening inventory of a new retail store. Product is leased to the operator and secured by the wholesaler's lien on daily cash receipts.

leased line
A dedicated, private telephone line used for data transmission.

leaven
A substance, such as yeast, used to produce fermentation in dough to cause it to rise or lighten.

letter of authority
An agreement for a wholesaler to order, deliver and bill promotional products to a retailer. See automatic distribution.

letter of intent
A legal promise to perform some activity at a future date in return for money received beforehand.

liabilities, current
Money or obligations owed to other companies or individuals, which must be paid in a year or less.

liability
A debt owed by a business to creditors.

liability policy
A manufacturer's or wholesaler's insurance policy to cover legal expenses in case a customer or retailer sues.

library
A storage/retrieval site in a computer program

license plate
An identity label assigned to a container making that container unique from any other container. Typically used for tracking unit loads, but may be used on cases and trailers.

lien
A legal claim upon real or personal property to satisfy a debt or obligation; a mortgage.

LIFO
Last in, first out.

limited assortment store
Food stores restricted in size, services, fixtures and variety in order to reduce operating costs and sell goods at the lowest possible prices. Also known as

limited distribution
An introductory offer on a new national or branded product introduced in a specific geographic area.

line number
A manufacturer's processing key that identifies a product and its pack size.

line of credit
The amount of money that a company may borrow from a bank..

linear shelf feet (running feet)
The length of a shelf or shelves upon which a product or product group is displayed.

list price
The price at which items are listed for sale before discounts or allowances.

listing
One line about a product in a retailer's newspaper ad.

listing allowance
Money that a manufacturer/wholesaler gives a retailer to advertise a product.

load strap
A restraint in a cargo vehicle used to secure product during shipment.

loading sheet
A shipping list of all products in a railcar or truck trailer.

loaf cheese
A long, rectangle of uncut cheese.

local area network(LAN)
A small, computer network of terminals and processors.

lockout
An agreement between competing companies to close during a strike, or an arbitrary suspension of operations during a contract dispute with a union.

logistics
Activities associated with the procurement, warehousing and transportation of goods for sale.

loose-loaded
A shipping practice of loading and unloading products by hand on a trailer. Also known as a dead-pile loaded; floor-loaded; loose-case-loaded.

loss leader
An item sold with little, if any, markup, or at a loss, to attract shoppers. See giveaway.

low-temp
A refrigerator that holds product at a below-freezing temperature, 32 degrees F or less.

loyalty marketing-cards
Customers' plastic store cards used to reward frequent shoppers and to collect data on purchasing habits.

LP
Liability policy.

LTL
Less-than-truckload

lug
A gray, plastic tub used to transport and store products.

lumpers
Temporary employees of motor carriers, shippers or receivers, hired to load or unload trucks.

machine readable
A scannable bar code.

magnetic stripe reader
A peripheral hooked to a computer that reads magnetic strips on the back of bankcards and credit cards.

mail-in blanks
An order form used by retailers to obtain advertising or promotional materials from a manufacturer.

mail-in premium
A point-of-sale promotional offer in which a customer receives a bonus for mailing a coupon or label to a manufacturer.

mailer
An ad circular direct mailed to customers.