Internal Trade: Commercial Revolution and Market Trends

Internal Trade: Characteristics and Transformations

The internal trade sector is experiencing significant changes in supply and market demand, a phenomenon known as the Commercial Revolution.

Changes in Demand and Consumption

• Increased purchasing power: Consumers have more financial resources.
• Diversification and dispersion: A wider variety of clients and a more spread-out consumer base.
• Frequency of purchase: There is a noticeable decrease in how often consumers shop.

Changes in Shopping and Supply

• Product diversification: An increasing variety of products is offered to reach more consumers.
• New marketing forms: The spread of innovative marketing strategies.
• Technology: The integration and use of new technologies in the trade process.

Types of Internal Trade

Wholesale Trade

The wholesaler buys products from the manufacturer or another wholesaler, warehouses them, and sells them to retailers rather than final consumers.

Location: They are situated in strategic areas for producing and consuming goods, primarily in high-weight cities. Local wholesalers are concentrated in the peripheries of regions such as Catalonia, Andalusia, and Madrid.

Retail Trade

The retailer purchases goods from a manufacturer or a wholesaler and sells them directly to the consumer.

Location: Traditionally found in low commercial city centers, they are now also located in urban peripheries. Key active communities include Andalusia, Catalonia, and Madrid.

Traditional Retail and Commercial Forms

Traditional Trade

This sector consists of small local shops, often in old buildings, managed by individual entrepreneurs. They usually have a small, family-based staff, utilize old equipment, and face low investment and difficult access to credit. Some close due to economic crises or transfers, leading to the emptying of urban centers, while others are replaced by franchises.

Advantages: Offers personal and immediate access, catering to the neighborhood without the need for a car.

Other Traditional Forms

These include weekly agricultural markets in small provincial capitals, trade shows, and street vendors.

New Commercial Forms

Self-Service Systems

This is a sales system where products are available for the client to take themselves and pay at the checkout. It allows for fewer employees, transforms the space into a warehouse, and enables the client to buy more cheaply. This system is used by local retailers with sales areas of less than 2,500 m², including small and medium supermarkets.

They sell everyday products and are located in downtown and neighborhood urban areas, focusing on high grocery quality and competitive prices.

Large Commercial Surfaces

These include hypermarkets (over 2,500 m²) which offer a greater variety of items than supermarkets and are located in downtown areas or the urban fringe.

• Department Stores: These sell over 50,000 references distributed across various sections and are located in larger city centers.
• Popular Warehouses: A reduced version of large warehouses, offering cheap everyday products in city centers.
• Integrated Regional Shopping Centers: These combine a hypermarket with independent shops and leisure establishments, located in both the urban periphery and the center.

Alternative Sales Formulas

Modern formulas include sales by catalog, home shopping, online sales, and automatic vending machines available at any time instantly.