Retailers add value to a product by adding services.

A retailer could offer product orientation or servicing after the product is purchased. For example, Telus® offers free lessons with the purchase a new phone from them. An inviting environment can make a shopping experience more enjoyable, and it adds value to a product. Where would you prefer to drink your coffee? ... in a gas station, or in a Starbucks®? Home delivery adds value to products. Where would prefer to order your Chinese food? ... from a restaurant that delivers, or from a restaurant that doesn't? Often, a consumer is willing to pay more for a product when value added services are included in the price.

Value added services provide retailers with a competitive edge. 


The greater the investment in the product, the more value added services a consumer expects. A chocolate bar or a can of soup does not require assistance or support. Cars and home appliances do. Channel members need to recognize the support needs of the products they sell, and the support needs of the consumers to which they sell.

Note that as Internet shopping gains popularity, traditional retail sales are dwindling. When shopping online, however,  the consumer cannot touch or try on a product before purchase. To compensate for this inconvenience, most online stores offer easy return options as an added value.