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Store Image Chapter 13 Store Layout and Design Store Image is the overall perception the consumer has of the store’s environment. Elements That Compose the Store Environment Objectives of the Store Environment Tasks to create desired store image and increase productivity: 1. Get customers into the store (market image). 2. Convert them into customers buying merchandise once inside the store (space productivity). 3. Do this in the most efficient manner possible. Store Planning 1. Allocating Space 2. Circulation 3. Shrinkage Prevention Store Planning
Floorplan is a schematic that shows where merchandise and customer service departments are located, how customers circulate through the store, and how much space is dedicated to each department. Allocating Space Types of space needed: 1. Back room 2. Office and other functional spaces 3. Aisles, services areas, and other nonselling areas of the main sales floor 4. Wall merchandise space 5. Floor merchandise space These Warning Signs May Indicate a Space Problem Circulation Free Flow Layout Advantages and Disadvantages of Free Flow Layout Free Flow
Advantages 1. Allowance for browsing and wandering freely 2. Increased impulse purchases 3. Visual appeal 4. Flexibility Retailing, 3rd Edition, Dunne and Lusch Copyright ?? 1999 by Harcourt Brace & Company All rights reserved. Advantages and Disadvantages of Free Flow Layout Free Flow The Disney Store’s effective use of the Free-Flow Design FreeApproximately 250 million consumers visit Disney’s entertainment retail outlets each year. New store designs showcase merchandise in an engaging and contemporary fashion, keeping pace with evolving retail trends.
Technological elements – including a front-of-store media wall that engages guests with Disney programming, and interactive kiosks setting the stage for the Disney Store in the 21st century. Disadvantages 1. Loitering encouraged 2. Possible confusion 3. Waste of floor space 4. Cost 5. Difficulty of cleaning Retailing, 3rd Edition, Dunne and Lusch Copyright ?? 1999 by Harcourt Brace & Company All rights reserved. Advantages and Disadvantages of Grid Layouts Grid Advantages and Disadvantages of Grid Layouts Grid Advantages 1. Low cost 2. Customer familiarity 3.
Merchandise exposure 4. Ease of cleaning 5. Simplified security 6. Possibility of self-service Retailing, 3rd Edition, Dunne and Lusch Copyright ?? 1999 by Harcourt Brace & Company All rights reserved. Disadvantages 1. Plain and uninteresting 2. Limited browsing 3. Stimulation of rushed shopping behavior 4. Limited creativity in decor Retailing, 3rd Edition, Dunne and Lusch Copyright ?? 1999 by Harcourt Brace & Company All rights reserved. Circulation Loop Layout Circulation Spine Layout Floorplan: Floorplan: Clarence Sander’s Piggly Wiggly Floorplan: Floorplan: Kohl’s It costs over $20 million to build a new Planning Fixtures and Merchandise Presentation 1. Fixture Types 2. Merchandise Presentation Planning 3. Selecting Fixtures and Merchandise Presentation Methods 4. Visual Merchandising department store and $7 to $10 million for a redo. hAn Office Depot has over 1,700 linear feet of fixtures. A 100,000-square-foot 100,000- squareBurdines Department Store has about 1,000 fixtures, half are for hanging apparel. Merchandise Presentation Planning Methods of Merchandise Presentation 1. Shelving 2. Hanging 3. Pegging 4. Folding 5.
Stacking 6. Dumping Merchandise Presentation Planning Psychological Factors to Consider When Merchandising Stores 1. Value/fashion image 2. Angles and sightlines 3. Vertical color blocking 45-Degree Customer Sightline 45- Vertical Color Blocking Examples of Visual Merchandising “Visual Merchandising”, the art of attracting patrons with visual cues, is central to a retailer’s ability to generate sales. Visual Merchandising got its start at the turn of the century, when department stores began using theatrical set design and lighting to create exotic displays.
Today, the way the departments are arranged, the location of the escalators, the lighting–all are carefully planned to earn the store more sales per square foot. Retailing, 3rd Edition, Dunne and Lusch Copyright ?? 1999 by Harcourt Brace & Company All rights reserved. Examples of Visual Merchandising Here’s sampling of the techniques stores use to generate those sales: Get’m coming and going. Escalators are a focal point of many stores. That makes them ideal locations for promotional signs and for impulse items like perfume. Retailing, 3rd Edition, Dunne and Lusch
Copyright ?? 1999 by Harcourt Brace & Company All rights reserved. Examples of Visual Merchandising Examples of Visual Merchandising Lead them to temptation. Department-store design incorporates a gauntlet of goodies to stimulate impulse buys. Cosmetics, a store’s most profitable department, should always be at the main entrance to the store. Retailing, 3rd Edition, Dunne and Lusch Copyright ?? 1999 by Harcourt Brace & Company All rights reserved. Retailing, 3rd Edition, Dunne and Lusch Its all in the display. When an item, such as a watch or a scarf, is displayed in a glass case, it implies luxury.
An item in a glass case with a lot of space around it implies real luxury. Copyright ?? 1999 by Harcourt Brace & Company All rights reserved. Examples of Visual Merchandising “Bazaar? Behavior”. Even “high fashion” stores aren’t above using the “dumping” method to display gloves, leather goods, scarves, and other small items the same way bargain stores do. These bins have a way of suggesting a “good buy. ” Examples of Visual Merchandising Color is king. Retailers believe consumers are more apt to buy clothes that appear in full size and color assortments.
Retailing, 3rd Edition, Dunne and Lusch Copyright ?? 1999 by Harcourt Brace & Company All rights reserved. Retailing, 3rd Edition, Dunne and Lusch Copyright ?? 1999 by Harcourt Brace & Company All rights reserved. Examples of Visual Merchandising Store Layout Considerations h High margin items should be placed in high traffic Suggestion positioning. Once the customer has already purchased one item, it’s easier to sell an additional item. Thus apparel retailers strategically place impulse buys like hair bows and costume jewelry by the cashier the same way supermarket checkouts display candy and magazines.
Retailing, 3rd Edition, Dunne and Lusch Copyright ?? 1999 by Harcourt Brace & Company All rights reserved. areas. h High demand items should be placed in low traffic areas. h Complementary items should be placed near each other. h Seasonal needs should be considered. h Items needing frequent restocking should be placed near storerooms or cash registers. h Larger departments should be placed in lower traffic areas. h Shopping behavior and operational considerations should be recognized. Interior Design Store Design 1. Storefront Design 2. Interior Design 3. Lighting Design 4. Sounds and Smells: Total Sensory Marketing
The low cost, no frills flooring combined with the low cost metal shelving help to convey the low price image in this discount retail display for Barbie. Signs and Lighting hSigns and graphics provide information Lighting Design Contemporary lighting design requires an indepth knowledge of electrical engineering and the effect of light on color and texture. The Limited, as many specialty apparel retailers, has found that lower light levels help convey a more fashion oriented image. and can add personality, beauty, and romance to a store’s image hGood lighting should do more than illuminate space.
It can highlight merchandise, sculpt space, and capture a mood that enhances a store’s image. ??? Popping the Merchandise hA typical 100,000 sq. ft. department store has over 1000 light fixtures. Name, Logo and Retail Identity at KMart Visual Communications 1. Name, Logo, and Retail Identity 2. Institutional Signage 3. Directional, Departmental, and Category Signage 4. Point-of-Sale (POS) Signage Point- of5. Lifestyle Graphics Kmart changed its logo to the big red “K” in an effort to reflect its move into an upscale environment and away from its old polyester and blue-light image. Directional, Departmental, and Category Signage
Directional and Departmental Signage are large signs that are usually placed fairly high, so they can be seen throughout the store. Departmental Signage Departmental signage serve as the highest level of organization in an overall signage program. These signs are usually large and placed fairly high to they can be seen throughout the store. Directional, Departmental, and Category Signage Category Signage are smaller than directional and departmental signage and are intended to be seen from a shorter distance; they are located on or close to the fixture itself where the merchandise is displayed.
Category Signage Category signage helps consumers negotiate throughout the store to find the product categories they are looking for. The size of category signage varies widely from a lettering that is a few feet in height to merely inches. Point-of-Sale (POS) Signage Point-of-Sale Signage Point- ofis relatively small signage that is placed very close to the merchandise and is intended to give details about specific items. Point-of-Sale (POS) Signage POS signage for clearance and sale items tend to be in red to draw a consumer’s attention. Space Productivity
Space Productivity represents how effectively the retailer utilizes its space and is usually measured by sales per square foot of selling space or gross margin dollars per square foot of selling space. Merchandise Productivity Analysis Merchandise Productivity Analysis Category Total Sales Sale as % Total Total Sq. Ft. Sq. Ft % Total Sales per Sq. Ft. Total G. M. $ G. M. $ % Total Space Productivity Index Juniors 259,645 3. 9 1,602 2. 9 162. 08 211,497 4. 57 1. 58 Merchandise Productivity Analysis Merchandise Productivity Analysis Category Total Sales Sale as % Total Total Sq. Ft.
Sq. Ft % Total Sales per Sq. Ft. Total G. M. $ G. M. $ % Total Space Productivity Index Womens 170,819 2. 6 1. 934 3. 5 88. 33 148,899 3. 22 . 092 Category Merchandise Productivity Analysis Merchandise Productivity Analysis Mens 751,604 11. 3 3,591 6. 5 209. 30 603,330 13. 05 2. 01 Total Sales Sale as % Total Total Sq. Ft. Sq. Ft % Total Sales per Sq. Ft. Total G. M. $ G. M. $ % Total Space Productivity Index Merchandise Productivity Analysis Merchandise Productivity Analysis Category Total Sales Sale as % Total Total Sq. Ft. Sq. Ft % Total Sales per Sq. Ft. Total G. M. $ G. M. % Total Space Productivity Index Housewares 457,795 6. 8 3,591 6. 5 127. 48 254,979 5. 51 0. 85 Category Merchandise Productivity Analysis Merchandise Productivity Analysis Cosmetics 75,160 1. 1 608 1. 1 123. 62 55,913 1. 21 1. 10 Total Sales Sale as % Total Total Sq. Ft. Sq. Ft % Total Sales per Sq. Ft. Total G. M. $ G. M. $ % Total Space Productivity Index Merchandise Productivity Analysis Merchandise Productivity Analysis Category Total Sales Sale as % Total Total Sq. Ft. Sq. Ft % Total Sales per Sq. Ft. Total G. M. $ G. M. $ % Total Space Productivity Index Total Hardlines 3,655,480 54. 29,061 52. 6 125. 79 2,084,914 45. 08 0. 86 Category Merchandise Productivity Analysis Merchandise Productivity Analysis Non-Selling ——–2,652 4. 8 —————– Total Sales Sale as % Total Total Sq. Ft. Sq. Ft % Total Sales per Sq. Ft. Total G. M. $ G. M. $ % Total Space Productivity Index Merchandise Productivity Analysis Merchandise Productivity Analysis Category Total Sales Sale as % Total Total Sq. Ft. Sq. Ft % Total Sales per Sq. Ft. Total G. M. $ G. M. $ % Total Space Productivity Index 4,624,480 100. 0 1. 00 Total Scores 6,675,564 100. 0 55,250 100. 0