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Establishing and Maintaining a Retail Image

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1 Establishing and Maintaining a Retail Image
Chapter 18 Establishing and Maintaining a Retail Image RETAIL MANAGEMENT: A STRATEGIC APPROACH, 10th Edition BERMAN EVANS

2 Chapter Objectives To show the importance of communicating with customers and examine the concept of retail image To describe how a retail store image is related to the atmosphere it creates via its exterior, general interior, layout, and displays, and to look at the special case of non-store atmospherics To discuss ways of encouraging customers to spend more time shopping To consider the impact of community relations on a retailer’s image

3 Figure 18-1a: Positioning and Retail Image

4 Figure 18-1b: Positioning and Retail Image

5 Figure 18-2: Elements of a Retail Image

6 In Seconds… A shopper should be able to determine a store’s Name
Line of trade Claim to fame Price position Personality

7 Atmosphere The psychological feeling a customer gets when visiting a retailer Store retailer: 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, etc.

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

9 Figure 18-5: Elements of Atmosphere

10 Exterior Planning Storefront Store entrances Display windows
Exterior building height Surrounding stores and area Parking facilities

11 Alternatives in Planning a Basic Storefront
Modular structure Prefabricated structure Prototype store Recessed storefront Unique building design

12 Store Entrances How many entrances are needed?
What type of entrance is best? How should the walkway be designed?

13 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

14 Allocation of Floor Space
Selling space Merchandise space Personnel space Customer space

15 Figure 18-9: How a Supermarket Uses a Straight (Gridiron) Traffic Pattern

16 Figure 18-10: How a Department Store Uses a Curving (Free-Flowing) Traffic Pattern

17 Straight Traffic Pattern
Advantages An efficient atmosphere is created More floor space is devoted to product displays People can shop quickly Inventory control and security are simplified Self-service is easy, thereby reducing labor costs Disadvantages Impersonal atmosphere More limited browsing by customers Rushed shopping behavior

18 Curving Traffic Pattern
Advantages A friendly atmosphere Shoppers do not feel rushed People are encouraged to walk through in any direction Impulse or unplanned purchases are enhanced Disadvantages Possible customer confusion Wasted floor space Difficulties in inventory control Higher labor intensity Potential loitering Displays may cost more

19 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

20 Interior (Point-of-Purchase) Displays
Assortment display Theme-setting display Ensemble display Rack display Case display Cut case Dump bin


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