Visual Merchandising Strategy
Introduction
The global retail industry is highly competitive, with a significantly low-profit margin yet attractive sector for new entrants. An excellent retail marketing strategy is critical for the success of any retail store. Visual merchandising (VM) is one such strategy that can be leveraged to make the store unique and attractive to the target audience. A good VM strategy captures customer attention based on how the store and merchandise are present. Madhavi (2013) argued that item in-store arrangement and organization is a paramount factor in retail store sale. The display of merchandise should highlight key features and benefits of products to the customers. Given its importance in retail marketing, the research sought to ask how VM strategy impacts the buying behavior of customers in the retail market.
Purpose and Objectives of VM Strategy
The purpose of using VM strategy is to attract, engage, and motivate them to make a purchase. It also enhances store image, educates customers, and supports sales of complementary items displayed together, such as apparel and accessories. Influencing the buying behavior of the customer and getting to purchase products and services is the ultimate goal of VM strategy and retailing. Given this argument, a good VM must entice customers into a store, whether physical or digital, and to present products effectively, and educating customers on how to use the products and services. With increasing competition in the retail market, companies have created more aggressive and exciting visual presentations.
VM Strategy and Consumer buying behavior
Elements of visual merchandising are categorized into interior and exterior designs. Interior designs include things like a marquee, exterior signs, window display, and entrance. Interior elements comprise stuff like lighting, music, cleanliness, floor covering, mannequins, interior signs, fragrance, and focal point, and space & layout (Saini, Gupta, and Khurana (2015). Fixtures, on the other hand, are used to facilitate an active holding and display of merchandise in a store by working in collaboration with VM elements. Examples of conventional fixtures used in clothing stores include the straight rack, rounders, four-way, and gondolas. Matching of fixtures with VM elements is critical in influencing the purchase behavior of customers visiting a retail store (Jadhav & Chaudhary, 2014). An excellent presentation of these elements can be highly influential in the customer purchase decision.
A study by Saini (2015) found that awareness of fixtures, lighting, pathfinding, merchandise colors, and style of presentation as the most influential VM elements. The result is consistent with an earlier study by Madhavi (2013), but it focused on the interaction between VM elements and the type of shopper. A similar study by Kaur (2013) also found the significant influence of promotional signage, mannequin/form, and window display on the buying behavior of customers. In conclusion, elements of VM strategy directly influence retail sales.
Merchandise presentation techniques are critical to the success of the business. These techniques include idea-oriented presentation where items are grouped individuals to reveal how they can be together and is commonly used in displaying complementary products. The item and size presentation technique maintain product based on their size or style. Color presentation is a bold technique used to organized items according to their colors. In the price lining technique, retailers arrange products based on predetermined price points. The technique helps customers to navigate and select the products of their price range easily. The vertical technique presents items vertically on walls and high gondolas (Arjun, 2014). However, an effective combination of presentation techniques with merchandising elements and fixtures is essential in winning customers into buying the merchandise. Jadhav and Chaudhary (2014) study found a substantial impact on visual merchandising techniques on customer buying behaviors.
Conclusion
Retail merchandising is a highly competitive industry, and companies are creating more aggressive and exciting visual presentations to gain and sustain a competitive edge over rivals. Visual merchandising (VM) is one such strategy that can be leveraged to make the store unique and attractive to the target audience. The research has examined how VM strategy shapes the purchase behavior of retail customers. It was established that the effective presentation of merchandise through the correct combination of these factors is essential to the success of the retail business.
References
Arjun, R. (2014). Visual merchandising in Retailing: Influencing Consumer Buying Behavior Towards Apparels with Special Reference to Pune City in India. International Journal of Marketing and Technology, 4(5), 74-94. 4.
Chaudhary, P. V., & Jadhav, R. A. (2014). Visual merchandising in retailing: Influencing consumer buying behavior towards apparels with special reference to Pune city in India. International Journal of Marketing and Technology, 4(5), 74-94.
Kaur, A. (2013). Effects of Visual Merchandising on Buying Behavior of Customers in Chandigarh. International Journals of Engineering Science and Innovative Technology, 2(3), 247-251.
Madhavi, S. (2013). Impact of Visual Merchandising on Consumer Behavior towards Women Apparel. International Journal of Management Research and Business Strategy, 2(4), 61-72.
Saini, C. (2015). Visual Merchandising and Impulse Buying Behavior: A Case of Retail Industry. International Journal of Advance Research in Science & Engineering, 4(2), 621-627