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Retail merchandising

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Introduction Retail merchandising is a management system of strategic planning and tactical control, directed toward the financial enhancement of an inventory and the profitable distribution of that inventory to the retail consumer. Merchandising enables retailers to make the best use of space and layout. It creates part of the communication process with consumers and focuses on layout, design, traffic flow and display advantage points. It links in with the overall development of a company's corporate image and strategies, and fits with the organisation's objectives to enhance and promote image. The primary goal of retail merchandising is to influence the potential customers to purchase a particular merchandise product at a particular retail store. The techniques are used to focus customers' minds on what is available and enable the customers to move freely from one area to another and to make the purchasing decisions easier. Visual merchandising techniques are logical, practical and can be taught to all of a store's employees. But first the retailer must instill in employees a sense of ownership of the merchandise. Body shop was founded by Anita Roddick in 1976, started from one small shop in Brighton. Today, the Body Shop boasts over 1,900 stores in 50 countries, crossing 12 time zones and selling over 1,000 hair and skincare products. The body shop plc is famous for creating a niche market sector hi quality nature inspired skin and hair care products. It is estimated that The Body Shop sells a product every 0.4 seconds with over 77 million customer transactions through stores worldwide, with customers sampling the current range of over 600 products and more than 400 accessories. ...read more.


The proper designed combination encourages customers to spend more time at the store, exposing them to more merchandise items. As its main objective, visual merchandising seeks to convert those who pass by an item from mere browsers to actual buyers. The way products need to be presented and displayed within the store will largely determine the choice of fixture. There are several fixtures that a store can use, includes gondolas, rounders, four-ways, shelving, bins, basket, tables and others. In the Body shop stores, they use combination of different fixtures to present their products. Body shop uses the shelving fixtures, rounder fixtures and tables to present their products. Each different product is presented in different shelves, and there is at least one test sample for each product on the shelves for customers to try. In some of the Body shop stores, they use rounder fixtures and small tables to present their small products and some promotional products. It allows those products to be seen easily by the customers. Body shop decorates their stores in a very natural way. They decorate the stores with dry grass, coffee beans and other natural things. In addition, there is one colour you will find in every Body shop stores which is green. The colour and their decorations will bring a natural healthy feeling to customers. In most of the body shop stores, you can find that they present their special promotional products just beside the entrance and they always put window displays to show their promotional products. ...read more.


It could be made by exposed materials in the environment like old road signs and plywood. However, merchandising should stimulate customers to purchase and should be attractive and appropriate, use space cost-effectively and meet changing market needs. Retailers don't have to use only one method of store layout or merchandising and display. It is better if they combine different methods together to make the merchandise more effective. In recent years, retailers have begun to combine different methods together to improve the flow of customer traffic and to increase visual compact. Tesco can try to use the combination of grid and free-flow patterns. This will then bring the advantage of one method to change the disadvantage of another method. In addition, Tesco should try to use more colour in the store instead of the original red and white. Colour will bring the attention of customers and make shopping less boring. Another key to understand merchandising is to realise that a store is not two-dimensional. It should be treated as is a piece of three-dimensional sculpture. Vertical merchandising is more effective than horizontal merchandising because the focus of horizontal images fades out to the sides. By contrast, the eyes can take in an entire vertical image with one glance. Another powerful visual merchandising technique is the law of interrupted patterns. In any situation where there is a disruption of a prevailing pattern, the eyes move immediately to the break in that pattern. Another behavior pattern that retailers can capitalise on through proper merchandising is the tendency that most people have to automatically turn to the right. Putting fixtures at a 45 degrees angle to the main traffic pattern ensures total visibility. Retail Operations I-Chun Chang 1 ...read more.

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