Store Operations & Visual Merchandising

Unit –I: Store Environment

Key Roles in a Store Environment ; Customer Service ; Sales Forecast and Budget Planning ; Personnel
;Communication : Legal Compliance ; Site Location ; Establishing Security Policies and Control System.

What is a retail store?

• Retail comes from the French word called ‘Retailers’ , which means cutting off , clip and divide.
Also means “Selling in small quantity”.
• A Place where the Customer takes a decision on the Purchase of Products offered by the
Retailer.
• Is a Critical asset of the Retail business and it is imperative that the Store Operations are
managed well to achieve and Sustain Customer Satisfaction , are also cost effective.

Classification of retail stores by function

• Supermarket – Largest outlet Providing Food .

• Department Store – Wide variety of goods.
• Discount Store – Lower rent , less service , lower Price.
• Convenience store – Small supermarkets , operate in earlier and late hours.
• Specialty store – Specialize in the sale of a particular product line such as Women clothing ,
sporting goods etc.
• Chain Drug store – Pharmacy , OTC etc.

What is Store environment

• It influences the Perception that customers forms in the mind about the following ,
– Store ( Is it a up market , middle class or serving the Local community )
– The Products
– Service and the staff.
• Is related to the Target Segment being focused by the Retailer.

Store environment composes of two primary objectives

1. Store Image – Develop an image so that a Retailer is placed in a niche relative to competitors. Overall
Store Image is formed through following factors,
– Characteristics of target market
– Customer service
– Store Location and geographical coverage
– Merchandise assortment
– Price levels, attributes of physical facility (atmosphere)
– Shopping experience, type and extent of personal selling
– Sales Promotion
– Mass Adv & PR.
2. Other is Increasing Space Productivity
– More merchandise is exposed to customers in a orderly manner and Presentation so
that they buy more.
– Through Careful Planning of the Store Environment , Retailer can encourage customers
to flow through entire store , or at least more shopping area and see wide variety of
Merchandise

Store Environment Leads to Greater Sales.

• Store Environment can be made Productive through Proper use of in store advertising and
displays which informs the customer what is happening in other shopping areas and encourage
visit to those areas.
• Retailers are putting greater efforts on in store marketing in the form of store design ,
merchandise presentation , visual displays and in store Promotions that leads to greater sales.

Various Elements OF Store Environment