Retail Terminology – T
T
Tenant
In retail, a tenant is a business or individual leasing space within a larger property, such as a mall or shopping center, to operate their store. Tenants are responsible for paying rent and may contribute to common area maintenance fees.
Tenant Allowance
Tenant allowance is a financial incentive landlords provide to attract tenants to lease space in a property. It often covers costs like renovations, fixtures, and other improvements needed to prepare the leased space for business operations.
Trend Forecasting
Trend forecasting in retail involves predicting future consumer behavior, styles, and purchase patterns. Retailers use various data and analytic tools to anticipate trends, allowing them to plan inventory, marketing strategies, and product development.
Turnover Rent
Turnover rent is a rental agreement where the tenant pays a base rent plus a percentage of their sales revenue. This arrangement aligns the landlord’s income with the tenant’s performance, benefiting both parties in successful retail locations.
Target Market
Target market refers to a specific group of consumers a business aims to reach with its products or services. Identifying a target market involves analyzing demographic, psychographic, and behavioral characteristics to tailor marketing efforts effectively.
Traffic Count
Traffic count measures the number of people entering a store or passing through a specific area within a retail environment. High traffic counts typically indicate greater potential for sales and customer engagement.
Trade Area
A trade area is the geographic region from which a retail store draws its customers. Understanding the trade area helps retailers identify optimal store locations and marketing strategies to attract local shoppers.
Transaction
A transaction in retail refers to the process of selling goods or services to a customer. It includes all activities related to completing the sale, such as payment processing, receipt issuance, and delivery if applicable.
Test Market
A test market is a select geographic area or customer segment used to trial new products or marketing campaigns before a full-scale rollout. This approach helps businesses gauge consumer reactions and make necessary adjustments.
Trade Show
Trade shows are industry events where businesses exhibit their products or services to potential buyers, partners, and the press. These gatherings facilitate networking, brand exposure, and direct feedback from attendees.