Retail Store Design and Merchandising Principles

Store Design Possibilities

Storefront designs include the standard front, open front, and recessed front.

Importance of Store Signage

Signage is crucial for guiding the customer. Signs must have high visibility, be clearly and easily seen. However, using too many signs can lead to customer confusion. Proper lighting is also essential for effective signage.

Rules for Effective Props

To enhance the effectiveness of props, apply the following rules:

• Use the appropriate amount of merchandise.
• Display suitable accessories near the prop.
• Locate the displayed product near the prop.
• Change the props at regular intervals.

Essential Elements for Each POP Display

Each Point-of-Purchase (POP) display should contain:

Merchandise

Feature products with the highest profit margin, the latest arrivals, newest reductions, or impulse purchase items.

POPs and Color

Generally, strong colors like red or yellow attract more attention than pastel colors. Conversely, green displays have been found to potentially cause irritation.

Lighting

Ensure there is a special lighting source focused on the display.

Show Cards

• Use price tags if the POP display promotes special offers.
• Use benefit signs if the product is not price-reduced but offers special advantages.

Planograms: Advantages and Disadvantages

A planogram is a drawing of a gondola or another store display that illustrates the order of products on shelves to optimize space and increase purchases. It clarifies and simplifies merchandise arrangement.

Advantages of Planograms

1. It makes it easier for employees to arrange new products on gondolas, speeding up their work.
2. Planograms can motivate shoppers to purchase additional products they might not have known they wanted or needed.

Disadvantages of Planograms

The use of planograms restricts employee creativity. Furthermore, if a planogram is poorly implemented or if an obsolete one is used, the company may fail to achieve the expected benefits or even lose money.

Counter Shop Layout Popularity

Counter shop layouts are not very popular because they reduce impulse purchases and do not offer self-service, which is a primary characteristic of modern retail.

The Butt-Brush Effect

The butt-brush effect occurs when the space between aisles is too narrow, causing customers to feel that their personal space is invaded.