June 26, 2012

Meaning And Concept Of Mail-order Business

Introduction And Meaning Of Mail-order Business

Mail-order business is a non-store retailing in which goods are sold through mail. Customers send written order to sellers asking to send goods as demanded. Then the seller sends the goods to the customers through mail or post offices. The customers cannot see the goods until they reach at their shops or homes. 

The customers get information, message and knowledge about goods through advertisements, booklets, catalogs , newspapers, posters, leaflets etc. Then they send order through mail for the goods they need or want. The sellers also send the goods to the customers through mail.  The sellers and customers cannot have apparent personal talks or contact between them. The sellers contact with their customers through mail. In this way, necessity of middlemen is eliminated. So, mail order business institutions can sell goods to customers at cheaper price through mail. The goods sold out through mail order business are generally newspapers, books, small equipment, miscellaneous goods, cloths, foods etc. including other lightweight goods.

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Methods Of Operation Of Mail Order Business

Mail order business was first started in America in 1872. 'Aaromontagomery Ward and Company' of America had started it. Then second company ' Sears Roebuck and Co.' was established in 1893. In those days, there was big gap or long distance between producers, main business centers and customers. So, mail order business system was developed. Mail order business achieved popularity and encouraged due to increase in its skill and ability, improvement in the methods of advertisement, more attractive price list, production of standardized and quality goods, increase in the number of educated people and one or other defects in other retail business.