Retail merchandising

retail merchandising the basics • traffic flow • shop layouts

retail merchandising the basics Better-planned and well-merchandised shops will help grow your profits and sales opportunities.

How do potential customers know how to find you?

What do they see when they arrive?

Can they safely and easily park their vehicles?

Can they easily identify the entrance?

Basics of Merchandising 50% of all purchases are impulse items.

75% of these sales are as a result of the product being seen.

65% of purchasing decisions are made in store.

Merchandised product sells up to 34% more when priced.

Manipulate traffic flow These two diagrams illustrate how a simple change can have a major effect on traffic flow. It’s a well known fact that 9/10 people look or turn right, but with this first layout all you are presented with is a clear run to the counter. By adding some seasonal display areas at the entrance of the shop and turning the gondolas through 90 degrees we have a much more visually appealing and interesting shop. This layout leads you past a number of impulse buy or hot spot areas increasing the opportunities for sales.

Eye level is Buy level Making merchandising work for you. Just remembering that, “eye level is buy level�. Fast selling, high profit, impulse items should be displayed in area 1, the top of the bay to the belt line. Medium value and profit lines need to be in area 2.

Heavy, larger and slow moving or planned purchase items should be in area 3.

What influences product choice?

Season New product Gap in market Offer from supplier Identification of Unique Selling Point What influences product purchases?

All merchandised product should be priced Direct people to product using posters and signage Add features and benefits information to the displays Keep the bays fully stocked Change displays regularly

For further information please contact the Marketing Department, Vapormatic, UK

retail merchandising medium size stockist layout This layout makes the use of the medium size premises without making it feel cramped. By starting the first row of double gondolas a couple of metres from the entrance it allows the customer to have a better view of the wall bays on the right hand side and should encourage them to follow this route and expose them to more products. Remember 9 out of 10 people turn right when they enter a shop.

9830mm

1000mm

Direction of customer traffic

Seasonal or Promotional Display Area

Key Wall bays 1000mm T Junction gondolas Double gondola For further information please contact the Marketing Department, Vapormatic, UK

9200mm

Impulse buy products, e.g. tools

Parts Counter

Stores Area

retail merchandising large supermarket type stockist layout This larger ”supermarket” type of layout still adheres to the same rules of a small or medium premises. A seasonal/ promotional area has been added before the first run of double gondolas. This entices the customer in and allows a better view of the rest of the shop. Remember that 1 in 3 purchases are impulse buys. So the more that is offered and the easier it is to get to, the more you should sell.

This particular Stockist also sells a range of ATV’s, so a feature is made out of that area.

9830mm

mm

Impulse buy products, e.g. tools

9200mm

Impulse buy products, e.g. tools

Parts Counter

Parts counter

Seasonal/ Promotional Products

Direction of customer traffic

Office

Seasonal or Promotional Display Area

ATV display area

Direction of customer traffic

Entrance

Key Wall bays 1000mm T Junction gondolas Double gondola For further information please contact the Marketing Department, Vapormatic, UK

retail merchandising the basics • traffic flow • shop layouts

The Vapormatic Co. Ltd. Kestrel Way, Sowton Industrial Estate Exeter. EX2 7LA UK Tel: +44 (0)1392 435461 Fax: +44 (0)1392 438445 Email: enquiries@vapormatic.com

Whilst specifications are considered to be correct at the date of printing, we reserve the right to change specifications without prior notification.

E. & O. E. Original equipment manufacturers names and part numbers are quoted for reference purposes only and are not intended to suggest that our replacement parts are made by the original equipment manufacturer. © The Vapormatic Co. Ltd. Publication Date 30.5.2013

www.vapormatic.com