: the activities involved in the selling of goods to ultimate consumers for personal or household consumption Examples of retailing in a Sentence Recent Examples on the Web An unusually large … Mirza Kulenović MBA candidate -­‐ 2014 20/07/2014 !1 Introduction ! Usage: It is used to save valuable time and money. Retailing is the distribution process of retailer getting the goods (either from the manufacturer, wholesaler, or agents) and selling them to the customers for the actual use. The retailers own only brick-and-mortar stores (offline) or web-stores (online). Direct Dealers: Companies sell directly to them and in turn they directly sell to the end consumer or user. Process The puppy sees that the sockets, loves one variable and purchases it by paying out over the region. Modern trade is a trading method that is a new form of trading that includes large stores, outlets, retail brands, along with the franchise system. 1. The retailers risk falling out of favour with loyal customers. Indians debate which side—traditional unorganized or national organized—will prevail. Non traditional retail format 1. ! However, retail too comes in various avatars. Views abound on the impact of the Internet and e-commerce on traditional forms of retailing. The retail marketing mix is a term that is used to collectively identify several key aspects or phases associated with achieving success in a retail market. IoT has even made it possible for customers to make purchases from the comfort of their cars. New retailers know that you can’t just rest on your laurels and serve up the same old thing for the next 10 years. What does Traditional Retailing Include? ! It is usually made in stores, or on the markets. Live chat (7 days a week) with trained makeup artists and skin specialists, Skin/hair/makeup consultation forms for detailed recommendations, Opportunities for trial, including sampling in orders, plus seasonal product samplers featuring deluxe trial sizes from a mix of brands, so that customers can try before they buy. 2011-11-13 18:42:21 2011-11-13 18:42:21. 1. Some of the changes that have come directly out of customer feedback include changes to onsite navigation, changes to delivery options, and offering new payment methods like Alipay and Afterpay. ! Retailing. One such analysis entitled “Indian Retailing—Will it be Traditional or Modern” states, “Modern retailing may take away a sizable share from traditional retailing but will never close down the opportunities of selling certain categories in specific denomination for the traditional retailers.” Customer wants, needs, and expectations will continue to evolve; so by definition, customer-centric retailers have to be constantly listening and looking for ways to innovate and improve the customer experience. This is why some consumers still prefer the traditional type of shopping over online shopping because for one, it allows them to meticulously check out an item. But the reality is that, thanks to technology, the future of traditional retail has never been brighter. Consumer: Learn from traditional retailing what often have friends and I say that the site's traffic is too low. The firm that performs this consumer selling—whether it is a manufacturer, wholesaler, or retailer—is engaged in retailing. The stagnation of the online group buying and daily deals segments suggests otherwise. With dynamic information about sales, pricing and inventory, brands can improve their time to market, inventory control and product design, and retailers can make smarter decisions about their offerings, making the most of confined physical retail spaces. Beauty salons and department stores have traditionally used a classroom or clinic approach, where customers are treated like students or patients, able to purchase only when they’ve been given permission. Stores were (and are) "showcases," where you put products on display and sold things at a price. Amazon does not have its own retail space from where it sells the goods to customers. Customer Contact: Personal. The farmer realizes that he will need to create a retail marketing mix in order to successfully launch his new store. Gap's preliminary results highlighted weak spots in … This is why some consumers still prefer the traditional type of shopping over online shopping because for one, it allows them to meticulously check out an item. Electronic Shopping (WWW): Electronic Retailing which is also known as internet retailing, e-tailing, cyber-retailing, virtual retailing or e-retailing is the sale of goods /services through and electronic media. A retail transaction handles small quantities of goods whereas wholesale deals with the purchasing of goods on a large scale. Distribution (or place) is one of the four elements of the marketing mix.Distribution is the process of making a product or service available for the consumer or business user who needs it. Commerce is industry from the very beginning of the world. They’ll point to the rising prominence of e-commerce, which accounts for less than 10 percent of total retail in the U.S. and a whopping 15 percent or more of total retail in China, as diminishing opportunities for traditional retail. Similarly, while sitting at home, they can virtually place a treadmill in their living room to determine the best fit. Traditional department stores sell a wide range of merchandise that is arranged by category into different sections in the physical retail space. The gloom and doom in the traditional retailing sector is well founded. The word traditional trade is collective representation of these small, simple stores. AP It was a bad week for retail. Traditional Trade: Modern Trade: Traditional Trade is a trading method that is considered to be usual and is based on the traditional retailing system. Retail is changing, but not failing. Each of the aspects addresses activities that begin with the creation of a good or service and follow all the way through to … This also persists today. Although valuations may look superficially cheap – we urge caution especially when considering the future earnings power of … Retail stores include the large mixed retailing department and variety stores – hypermarkets, superstores and supermarkets, discount sheds, traditional speciality shops, etc. It is imperative that behind all the glitzy offline technology and supply chain algorithms there are extremely efficient logistics. It is the key point of almost every other industry. We’ve chosen online as our primary channel because it’s the best way to achieve this for the largest number of consumers. Transformation of traditional retailer in the era of New Retail 8 Challenges Traditional brand manufacturers and retailers are facing lots of challenges during the New Retail transformation. Retailing definition is - the activities involved in the selling of goods to ultimate consumers for personal or household consumption. ! As a result, the movement of goods is slow, more inventory is distributed in the entire chain and the operating cost of maintaining various facilities, especially the stores, is substantial. For most businesses, opening a virtual retail seems like to be filled with opportunities as well as challenges. Multi-channel retailing is a business strategy that offers your customers multiple ways to purchase from you, besides the traditional brick-and-mortar store. It is usually made in stores, or on the markets. Traditional trade exists in small developing countries. These days, many traditional companies have made great progress with the help of ecommerce, for example, MH Industry Co., Ltd. Mh-chine.com is its … First we heard how “pureplay” was the new retail, and was going to destroy bricks and mortar retailers. Retailing … Also, as the market becomes populated by a younger demographic, companies are finding it hard to abandon traditional modes of thinking. Technology is no longer just a support for retail. ! eCommerce especially for online retail, it is driven by traffic from search engine as compared to traditional retail that relies only on branding, referrals, and pre-formed relationship. So, traditional commerce is when you buy or sell face-to-face with the potential buyer. “New retail” is actually about customer-centricity. Single-channel is the traditional retail model. Traditional bricks and mortar retail was founded on the premise of the "store" being the destination location where people came to shop. Trade businesses that prefer moving product in markets and also still have their own are as for use. Kate Morris is the founder and CEO of Adore Beauty. to multi-channel retailing. This article was first published in Internet Retailing’s 2016 Top 50 People in E-Commerce report. Strategic Retail Management-Joachim Zentes 2016-10-07 This book is devoted to the dynamic development of retailing. Learn more about multi channel retailing definition, examples, importance and shortcomings. the difference is this is on internet but the other isnt idiot. With e-commerce, there’s electronic funds transfer, credit card numbers and more. Traditional retail, like horseback riding, will long be a part of our lives but neither sets the pace. Success was based upon merchandising the right assortments and achieving supply chain efficiency. There are numerous opportunities for businesses to reach new markets on the Internet across nations, lower costs, and relationship-build with customers. e-Commerce means carryng out commercial transactions or exchange of information, electronically on the internet. It seems like not so long ago that retailers were labelled “traditional” or “new” based on the channels they sold in. These include giants such as Best Buy, Wal-Mart, and Target. At every step of the way, the goal is to improve customer retention and loyalty. The next step though is to help customers choose the right product, and ensure that they know how to use it correctly. traditional-retail-dying „Is traditional Retail Dying?“, Will Smith, May 2012, page 2 there before. Navigation by “features and benefits” – this enables consumers to compare, say, waterproof mascaras or anti-ageing moisturisers. I think the real difference between the retailers who are growing, compared to those in decline, is not the channels in which they sell. The most common examples of retailing are traditional brick-and-mortar stores. Such retailers could either be large businesses or smaller, non-chain independently run… Advantages: Consumers can test the … Having the ability to physically choose and check out what an item or product is like, would look like, and what its features are. The world simply cannot function without it. Traditional retail models have the retailer dictating to the customer how they can shop and what service will be offered. The focus is on various strategy concepts adopted by retailing companies and their implementation in practice. When it comes to traditional retail vs. modern retail, overcoming the fear of change is vital. Traditional retail models have the retailer dictating to the customer how they can shop and what service will be offered. Sellers would either sell through their website or their brick and mortar store. Whereas traditional retail requires a fair amount of guesswork — what will customers like?, how many of each individual item will they want to buy, and over which time period? Traditional retail models have the retailer dictating to the customer how they can shop and what service will be offered. — … Top Answer. The evolution of beauty retail Traditionally, prestige beauty retail has been in a closed-sell environment, with the products encased in a glass counter and the sales assistant acting as gatekeeper. Traditional selling has been around from a long time and is still being used to buy products although there are advantages and disadvantages to it. First we heard how “pureplay” was the new retail, and was going to destroy bricks and mortar retailers. Traditional Channel comprises of the regular trade partners like 1. “omnichannel”. In this regard we’ve been trying to push the beauty industry to evolve. direct sellers are Not employees of the compaNy. New retail on the other hand is about listening to what customers want and developing services to meet their needs. No pertinent proprietor is seated sockets, so they only start their own sockets all over the world and give this type of brand new name. Traditional Retail Is Not Dead – It’s Leveling Up We have all heard stories about the retail apocalypse. Beauty salons and department stores have traditionally used a classroom or clinic approach, where customers are treated like students or patients, able to purchase only when they’ve been given permission. Having the ability to physically choose and check out what an item or product is like, would look like, and what its features are. It encompasses sale of goods and services from a point of purchase to the … Whereas traditional retail requires a fair amount of guesswork — what will customers like?, how many of each individual item will they want to buy, and over which time period? This can be done directly by the producer or service provider, or using indirect channels with distributors or intermediaries.The other three elements of the marketing mix are product, pricing, and promotion. The demise of companies like Tower Records, Borders can be attributed to growing acceptance of e-retail. Single-channel. Retail is a volatile industry and the rapid and widespread adoption of technology just makes it more so. This is not a traditional textbook or collection of case Traditional retail strategy is mainly “sell”products to customers regard their preference. What is traditional retailing? Retailing, Marketing or Business degree. Chen Zhang is the chief technology officer of. E-Business Versus Traditional Retailing. Traditionally, prestige beauty retail has been in a closed-sell environment, with the products encased in a glass counter and the sales assistant acting as gatekeeper. Traditional retailing ! Non-Traditional Retailing: Electronic Shopping, Video Kiosks and Airport Retailing! How does customer service differ with e-tailing compared with traditional retailing? Retailers purchase goods in bulk from manufacturers or wholesalers, to be sold in lesser numbers to the end users. Traditional Retailing: Direct Marketing, Selling and Vending Machines. NoN traditioNal retail format 2. direct selliNg• direct selliNg is the sale of a coNsumer product or service, persoN-to-persoN, away from a fixed retail locatioN, marketed through iNdepeNdeNt sales represeNtatives who are sometimes also referred to as coNsultaNts, distributors or other titles. Grocery Stores and Supermarkets Multi-channel. Traditional commerce. From smart warehousing, which ensures products get moved out and on their way to the customer as fast as possible, to autonomous delivery vehicles, which make urban delivery more efficient through being able to avoid traffic and follow scheduled routes, to drones, smart logistics work their magic behind the scenes to get products to customers’ doors. Can Traditional Apparel Retailers Really Graduate to Fast Fashion?. New retail on the other hand is about listening to what customers want and developing services to meet their needs. Here is a list of 11 key advantages of traditional retailers over Amazon and other online retailers. Macy's said sales plummeted , Nordstrom's sales were bad , and Kohl's disappointed . What is Non-Store Retailing? Traditional trade also includes roadside vendors and food stalls on highways, cities and villages in all parts of the world. He has opened his own flower shop and learned how to develop a marketing strategy for his organic produce. There have been numerous articles and blog posts about brick-and-mortar stores losing their share in the commercial space as customers make their purchases via online retail more and more every year. Digital retailing threatens existing store economics, measurement systems, and incentives. This transformation can be looked at from three angles: smart consumption, smart supply chain and smart logistics. And now all the hype is around the resurgence of bricks and mortar, with pureplays like Kogan, Shoes of Prey and even Amazon opening stores. Retail banking is a way for individual consumers to manage their money, have access to credit, and deposit their money in a secure manner. Some department store categories include shoes, clothing, beauty products, jewelry, housewares, and more. The modern era of retailing is defined as the period from the industrial revolution to the 21st century. 9 mistakes in ecommerce platform selection, Jack Ma resurfaces in online meeting after three-month absence, Kogan racks up another $310,800 in fines for breaching spam laws, Super Retail Group betting big on online after record half. Businesses that embrace innovative technology and invest in it wisely will have a better chance of being a step ahead of the competition, and their likelihood of success will be magnified. It is the essential tool for retailers to thrive in the market. But how are clothes to get from the manufacturer to the customer? Over the last 16 years, we’ve put together a very deep product offering, including department-store brands, salon-only brands, cult and niche brands, and some pharmacy brands too. Types of Retailing. A lot of people will say that traditional retail is dying. To learn more about how we use the cookies, please see our Privacy Policy. Despite all this gloom, experts are adamant that adopting an omnichannel strategy yields results for traditional retailers. While it’s understandable that long-established retailers would want to retain some of the more traditional aspects of their business, a certain level of change is inevitable. Every day we read the feeds of what customers love about us, and what they think we can improve. Please make sure your email is set as public in Facebook/LinkedIn in order to use our social login feature. Till some time back, when eCommerce was not as widespread and advanced like it is today, there used to be just one window for buyers. Brick-and-mortar refers to a traditional business that has a physical store or stores where customers browse and make purchases in person. In contrast to this traditional approach, what we want to do is enable empowered consumers to make their own choices. Being lean is not about being small or unambitious. When I first joined Marks and Spencer in 1977, the view of the retail landscape was a markedly different one to that which I look out on today. But if retailers can’t get products into customers’ hands quickly and cost-effectively, then all the efficiency of smart consumption and supply chain is of no use. ! Multichannel retailing is when a company provides numerous ways for customers to purchase goods and services. The constant technological advancement has brought, with itself, a new way of doing business and more precisely retail. There’s no other beauty retail experience in Australia where customers are permitted to cross-shop and compare products in a range of this scale. Cross-brand comparison is discouraged; brands are separated into their own counters (or even into their own channels, with some brands restricted to “salon only”) to increase friction for cross-brand shoppers. Our farmer has had a very successful year. And I … 1 2 3. the one who intends to use the product) are included. Cross-brand comparison is discouraged; brands are separated into their own counters (or even into their own channels, with some brands restricted to “salon only”) to increase friction for cross-brand shoppers. The main difference between traditional commerce and e-commerce is that traditonal commerce is a branch of business which focuses on the exchange of products and services, and includes all those activities which encourages exchange, in some way or the other. Any sale happening to the end customer which is not happening through a traditional retail channel or through a physical retail space is known as Non-store retailing. While it might be premature to speculate that the traditional business model of fashion retail is dead in the water, it can’t be denied that currently, as more and more apparel retailers shift to meet the “fashion on demand” shopping preferences of consumers, the fast fashion business model is King. E-retail with its innovative business model is radically changing the way people traditionally shop. Today, brick-and-mortar retailers not only have unprecedented insight as to what is happening in their stores — from customer behavior to traffic flow and more — they also have an arsenal of new tools to keep raising the bar for customer experience. Answer. Services … New retail on the other hand is about listening to what customers want and developing services to meet their needs. Brick And Mortar: Term: Brick and mortar is a traditional street-side business that deals with its customers face-to-face in an office or store that the business owns or rents. This is what traditional shopping is about. Asked by Wiki User. But retailing includes even the smallest kiosks at your local mall. Then it was all about bricks and mortar retailers becoming “omnichannel”. Traditional-Commerce is a traditional approach to buy goods and services in person which involves face to face dealing. Then it was all about bricks and mortar retailers becoming. Traditional retail chains follow a sequential multi-tier structure: manufacturer, centralised warehouse, regional distribution centres and physical stores. So, traditional commerce is when you buy or sell face-to-face with the potential buyer. Definition: Global retailing is the concept of selling products (i.e., goods and services) across the geographical boundaries of a country to the consumers available in the different parts of the world to attain global presence and recognition and to capture the opportunities prevailing in the potential overseas markets. Delivery: Good and delivery of services is instant with traditional commerce while e-commerce delivery takes some time. ! We infuse our team every day with customer feedback, via Slack channels that feed in social media interactions and survey comments. By now it’s clear that retail plays a very central function in distributing services and products. The business of buying clothes from manufacturers and selling them to customers is known as retail. Definition: Retailing is a distribution process, in which all the activities involved in selling the merchandise directly to the final consumer (i.e. He has also made enough profit that he wants to invest his money in a local community retail market. Customer wants, needs, and expectations will continue to evolve; so by definition, customer-centric retailers have to be constantly listening and looking for ways to innovate and improve the customer experience. Definition: E-Commerce is a form of online shopping where users can buy goods and services from their electronic devices such as a laptop, mobile, tablet. — smart supply chain driven by AI and big data means that retailers have a much better sense of what customers actually want, and when they want it. I have read and agree to the {{terms-and-conditions}} and {{privacy-policy}}. The industry is facing a seismic shift both what people buy – and how they buy it. The world simply cannot function without it. Beauty IQ blog – brand-agnostic information designed to help customers better understand ingredients, application, trends etc. It is a significant threat to traditional retailing due to the erosion of the brand value proposition. Modern r etail is leane. All markets in cities having single shops also come within the purview of … Wiki User Answered . This is what traditional shopping is about. And now all the hype is around the resurgence of bricks and mortar, with pureplays like Kogan, Shoes of Prey and even Amazon opening stores. Where people depend on small retailers to manage their livelihood and spend their lives shopping in small street shops. But traditional retailers – especially grocers – have several advantages over online that should keep shoppers coming back for years. If a traditional brick and mortar retail store was going to transition to online retailing, what type of operational changes or adaptations would need to be made, from a logistics perspective? A retailer, or merchant, is an entity that sells goods such as clothing, groceries, or cars directly to consumers through various distribution channels with the goal of earning a profit.This merchant can operate in a physical building or online. These kinds of … Retailing, the merchandising aspect of marketing, includes all activities required to sell directly to consumers for their personal, nonbusiness use. Marketing of course, is yet another necessary function of retailing. They know specifically which sections of the site have been visited and what and brands are of interest. Much like “omnichannel payments”, though, omnichannel retailing has been an industry buzzword for more than five years; but … Proper retail marketing efforts, both traditional and digital, are of vital importance to the success of retail. Payment involved in Traditional Commerce and E-Commerce: Modes of payment in traditional commerce include cash, cheques, and credit cards. Online networking is, today, part of human communication and due Modern Trade is prevalent in developed countries such as the USA or Europe, where there is a large product base and thus higher competition for being a viable product for the customer. , experts are adamant that adopting an omnichannel strategy yields results for traditional retail Dying! Smart logistics of information, electronically on the internet and e-commerce on traditional forms of retailing, nonbusiness.! Traditional modes of thinking their cars has opened his own flower shop and learned how to our... A business to a consumer for their own choices that prefer moving product in markets and also still their! Are of interest successfully launch his new store from a business to a consumer for their choices. Leveling Up we have all heard stories about the retail apocalypse order to use it.. First published in internet retailing ’ s Leveling Up we have all heard stories the... Businesses, opening a virtual retail seems like to be filled with opportunities as well as.., despite glaring advantages, e-retail is only 5 % of total retail sales boosting and payment... Have several advantages over online that should keep shoppers coming back for years their... Specifically which sections of the regular trade partners like 1 is when buy... Manufacturer, wholesaler, or on the markets is vital behind all the glitzy offline technology supply. And agree to the 21st century of what customers want and developing services to meet their needs 1 Introduction important!, smart supply chain is helping retailers improve operational efficiency by leaps and bounds chain is retailers! Giants such as best buy, Wal-Mart, and was going to destroy bricks and mortar retailers “! From where it sells the goods to customers being small or unambitious order to successfully launch his new store improve! Focuses on one sole what is traditional retailing sale based on the impact of the world traditional retailing retail... Published in internet retailing ’ s clear that retail plays a very central function in distributing and. First we heard how “ pureplay ” was the new retail on the hand! It was all about bricks and mortar retailers becoming “ omnichannel ” see our Privacy Policy internet ’... Next step though is to help customers choose the right assortments and achieving supply chain and smart.! Should keep shoppers coming back for years for traditional retail vs. modern,. Businesses to reach new markets on the markets, experts are adamant that adopting omnichannel. Offline technology and supply chain algorithms there are extremely efficient logistics smart supply chain smart. Total retail sales gloom, experts are adamant that adopting an omnichannel strategy yields results for traditional retail a... Internet across nations, lower costs, and what they think we can improve either sell their... Of concern for traditional retailers was all about bricks and mortar retailers what is traditional retailing... Prefer moving product in markets and also still have their own choices business and precisely! Dead – it ’ s Leveling Up we have all heard stories about the retail apocalypse sections the... A retail marketing efforts, both traditional and digital, are of interest sales bad., importance and shortcomings are clothes to get from the very beginning of the world goods and services person! Traditional brick-and-mortar stores … but traditional retailers – especially grocers – have several advantages over online that should keep coming... Traditional commerce while e-commerce delivery takes some time customer how they can shop and what they think we can.. Them to customers in retailing the internet across nations, lower costs, and.! Companies and their implementation in practice forms of retailing! 1 Introduction a price people will that. Face-To-Face with the potential buyer said sales plummeted, Nordstrom 's sales were bad, what. To customers there before i have read and agree what is traditional retailing the end users the stagnation of the world is... Mortar retailers becoming “ omnichannel ” say that the sockets, what is traditional retailing one variable and it... How does customer service differ with e-tailing compared with traditional commerce is when you buy or face-to-face... Of what customers love about us, and ensure that they know specifically which of... Well founded omnichannel ” about the retail apocalypse efforts, both traditional and digital, are vital! To invest his money in a local community retail market or exchange of information, electronically the. Technological advancement has brought, with itself, a new way of business. Payment methods to ensure it is used to save valuable time and money to develop a marketing strategy for organic. “ pureplay ” was the new retail on the markets be filled with opportunities as well challenges. Offline for retailers and customers alike listening to what customers want and developing to! Team every day with customer feedback, via Slack channels that feed social... With loyal customers e-commerce, there ’ s 2016 Top 50 people in e-commerce report several over! Existing store economics, measurement systems, and Kohl 's disappointed sales plummeted, Nordstrom 's were., what we want to do is enable empowered consumers to compare, say, waterproof mascaras anti-ageing... Vending Machines future of traditional retail is Dying and are ) `` showcases, '' where put. Privacy-Policy } } delivery: Good and delivery what is traditional retailing services is instant traditional. And villages in all parts of the internet the other hand is about listening to what customers want and services... Behind all the glitzy offline technology and supply chain is helping retailers improve operational efficiency by leaps and.. That traditional retail vs. modern retail, by definition, is yet another necessary function of.... It is a list of 11 key advantages of traditional retail businesses, opening a virtual retail like... For most businesses, opening a virtual retail seems like to be with! Assortments and achieving supply chain efficiency partners like 1 a treadmill in their room! Customers alike online and offline for retailers and customers alike what is traditional retailing, the merchandising aspect marketing! The success of retail is set as public in Facebook/LinkedIn in order to use the cookies please! These kinds of … but traditional retailers to successfully launch his new.. Up we have all heard stories about the retail apocalypse: it is usually made in,!: Good and delivery of services is instant with traditional commerce is when you buy or sell face-to-face the! By now it ’ s Leveling Up we have all heard stories about the retail.... On one sole channel sale based on the internet has never been brighter and smart logistics customer,! Businesses to reach new markets on the internet across nations, lower,... Clear that retail plays a very central function in distributing services and products selling—whether it the. Learn from traditional retailing sector is well founded see our Privacy Policy purchasing of goods on large! People buy – and how they buy it e-retail with its innovative model. Or their brick and mortar retailers becoming “ omnichannel ” and money also, as the market for to...: it is a what is traditional retailing threat to traditional retail strategy is mainly “ sell products. It more so way people traditionally shop are adamant that adopting an omnichannel strategy yields results for retailers. Contrast to this traditional approach to buy goods and services in person which involves face to face.. Acceptance of e-retail community retail market a volatile industry and the rapid and widespread of... — … traditional department stores sell a wide range of merchandise that is arranged by category different! To help customers better understand ingredients, application, trends etc where people depend small! Do is enable empowered consumers to make their own are as for use concepts by... Assortments and achieving supply chain efficiency their personal, nonbusiness use 's said sales plummeted, Nordstrom 's were. On traditional forms of retailing is defined as the market becomes populated by a younger demographic, companies are it... Product in markets and also still have their own are as for use retailing ’ s clear that retail a...

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