1. 1 Chapter 5 Visual Merchandising & Displays Faiza

2. 2   Retail Image?   Significance of Retail Image   Positioning and Retail Image Retail Image

3. 3 The Elements of a Retail Image

4. 4 In 3 Seconds…   A shopper should be able to determine a store’s – –Name – –Line of trade – –Claim to fame – –Price position – –Personality

5. 5 Atmosphere   The psychological feeling a customer gets when visiting a retailer – –Store retailer (brick and mortar format): atmosphere refers to store’s physical characteristics that project an image and draw customers – –Nonstore retailer: atmosphere refers to the physical characteristics of catalogs, vending machines, Web sites, social media etc.

6. 6 Visual Merchandising Proactive, integrated atmospherics approach to create a certain look, properly display products, stimulate shopping behavior, and enhance physical behavior

7. 7 What VM does?   Enhances the Shopping experience   Is a Communication Tool   Supplements creation of right environment   Helps customer make buying decisions

8. 8 The Elements of Atmosphere

9. 9 Exterior Planning   Storefront (structural alternatives)   Signage   Marquee   Store entrances   Display windows   Exterior building height   Surrounding stores and area   Parking facilities

10. 10 Store Entrances   How many entrances are needed?   What type of entrance is best?   How should the walkway be designed?   Does it create shoppers’ interest?

11. 11 General Interior   Flooring   Colors   Lighting   Scents   Sounds   Store fixtures   Wall textures   Temperature   Aisle space   Dressing facilities   In-store transportation (elevator, escalator, stairs)   Dead areas   Personnel   Merchandise   Price levels   Displays   Technology   Store cleanliness

12. 12 Allocation of Floor Space   Selling space   Merchandise space   Personnel space   Customer space

13. 13 Approaches for Determining Space Needs   Model Stock Approach – –Determines floor space necessary to carry and display a proper merchandise assortment   Sales-Productivity Ratio –Assigns floor space on the basis of sales or profit per foot

14. 14 Interior (Point-of-Purchase) Displays - Basis   Assortment display   Theme-setting display   Ensemble display (cross merchandising)   Rack / Case display   Off – Shelf display – –Cut case / Dump bin – –Self supporting stacks / pallets

15. 15 Shop Displays   Window displays (Exclusive windows, Open windows)   Live Displays   Marquee Displays   Freestanding / Island Displays (Gondola setting)   Counter displays   Brand Corners   End Cap / Power Aisle Displays   Cascade / Waterfall Displays

16. 16 Making the Shopping Experience More Pleasant

17. 17 The Shopping Cart’s Role in an Enhanced Shopping Experience

18. Direct Marketing replaced by online and social mediums 18

19. 19 Challenges   Clicks vs. footfalls generated   Transformation into buying from among the clicks   Online Presence and Issues   Online Store and Issues

20. 20 Online Store Considerations Advantages   Unlimited space to present product assortments, displays, and information   Can be customized to the individual customer   Can be modified frequently   Can promote cross- merchandising and impulse purchasing   Enables a shopper to enter and exit an online store in a matter of minutes Disadvantages   Can be irrelevant to masses   Can be slow for less internet savvy shoppers   Can be too complex   Cannot display three- dimensional aspects of products well   Requires constant updating   Authenticity and Credibility issues   More likely to be exited without purchase

21. 21 Advantages   Cyber space   No boundaries   Wider spectrum of customers   Easy Market penetration   Strong Feedback system

22. 22 Characteristics   Online Store Front   Visual Density   Online Merchandising   Online Pricing

23. 23 Pitfalls of e-tailing   No ambiance   No emotional experience   Intangible merchandise   Security issues   Impersonal Customer Service

24. 24 Retail MIS   Point of Sale Technology   Supply Chain Management   Customer Relationship Management   HRIS   MIS (Exception reports, Interactive Reports, Ad-hoc Reports)   Electronic Data Interchange facility (EDI)   Concept of ERP systems

25. Technology reformed / rejuvenated Retailing Processes 25