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Why we buy

Why we buy

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Published by Saumitra Sharma

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Published by: Saumitra Sharma on Apr 26, 2012
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Even the plainest truths can get lost in all the details of planning and stocking a store.

The obvious isn’t always apparent. You Need hands Study of a newspaper store showed that people juggling things in their hand buy less due to the hassle Shopping experience needs to be comfortable , easy and practical so that the customers buy more HARD TO READ A SIGN

A. Name of Book: Why We Buy

B. Author: Paco Underhill C. Background of Author: (Education, work experience, other books that he has written): Paco Underhill is an environmental psychologist, the author of the books Why We Buy: The Science of Shopping and Call of the Mall: The Geography of Shopping, and the founder of a market research and consulting company called Envirosell. He employs the basic idea of environmental psychology, that our surroundings influence our behavior, to find ways of structuring man-made environments to make them conducive to retail purposes. A highly regarded speaker, Underhill has delivered keynote speeches at conferences, universities and corporations spanning the globe for over a decade. From buying behavior to consumerism in the modern world, Underhill's "insightful" and "entertaining" presentations have been lauded worldwide. Packed with surprising details, anecdotes, important lessons and groundbreaking observations on shopping and corporate behavior, Underhill's speeches give those in attendance a peek into the mind that set a new standard in the industry nearly 30 years ago, and who is the guiding visionary for Envirosell and its approach to research. Today, he is known as one of the era's forefront shopping anthropologists, with offices in Tokyo, Milan, Moscow, Mexico City, Sao Paulo and New Delhi. Paco has presented on such topics as The Global State of Retail; The Science of Shopping; The State of Luxury Goods; Cross-Channel Convergence (Online, Mobile Phone, Bricks-and-Mortar); The Future of Travel; Retail Banking in the 21st Century; The Evolution of the Mobile Phone; Trends in Global Shopping Malls; The Future of Bread and Food Service; Getting to the Modern Airport; What Women Want; and others. Paco's new book, What Women Want (Simon & Schuster 2010), focuses on how the changing status of women affects the physical world we live in.

Chapter 3 . Amenability and profitability are inextricably linked. We can determine where shoppers will walk in a store. we can only read 3 or 4 words. They are focused on other things.The Mechanics In some stores. In 1½ seconds. Get them to shop longer talking to employees helps. One store gives you a bag to gather stuff in and then tries to sell you the bag at the check out. you would think we could organize our own stores properly. . Chapter 5 . Summary of Each chapter (100 words each): Mention each chapter – summarize in 100 words. As shoppers ourselves.D. New stores are trying to steal existing market share because there is no new market.) Chapter 2 . buyers spend three to four times longer than non-buyers. Chapter 4 Keep the customers' hands free to touch and browse. Put signs where people are waiting. or signs are badly laid out and placed in the wrong places.Background Stores would not survive without impulse shopping. ("Selling the Invisible" says the opposite. Chapter 1 .The Approach and Entryway While walking through parking lots people are not looking at the store windows. We are over retailed.Signs People don't see signs. Brand names are being eroded. Give them something to look at.

Very few coupons are used anymore .Dynamics Provide seating for support people: husbands shopping with wives. This applies to window displays & store displays. More than 50% of fast food is served in Drive-Thru Windows. Will I get jostled if I stand here? Fast food restaurants: men tend to sit at front.Safeway card is the new style. e.Chapter 6 Shoppers move like people .close to the man.g. We can't get down there with any comfort. Stores selling cosmetics..What women want Hardware stores now make it much easier for women to shop.Shop like a man Men are easier to up sell than women. American shoppers move to the right the same way they drive. Stuff for older people on the lowest shelf. women in rear. Open a women's store next to a store that will keep the men happy. . Men's Health magazine sells more than 1. not sideways. Chapter 7 . Ten percent of those people park in the parking lot to eat (primarily women). computers etc. Men are more likely to ignore price tags. Sell to the woman . not processes when computer shopping. Chapter 9 . etc.5 million copies per month. Women focus on results. Chapter 8 .they want to see stuff face on. Women's stores are not organized for men to buy.

In 1960. Help keep the kids amused. now it is 15%. Chapter 11 .We're getting older We can't read labels and signs. Chapter 12 . They must make it easier for us. If you cater to families. 35% of a Sears store was storage. Eyes start to falter at age 40. Toys: Adults select and buy but the kids are the decision makers.The Sensual shopper We buy more than ever based on trial & touch. we get 1/4 less light in our retinas than a 20-year-old does. Stores need kid appeal. Chapter 10 . is your store stroller accessible? Even McDonalds make it difficult for kids to order. Wells Fargo: 15% of traffic was under 7 years of age. How can you make your store more senior citizen friendly? Over 60's wheel chair accessible! Mattresses will become quasi medical and less furniture-focused. The lighting is too dull. Kids can't see menus. How smart booksellers stack their shelves. At 50. Close to 90% of new products fail mainly because people don't try them. Very good section about bookstores.Gas station for women: the cleanest washrooms anywhere. . ATM's should talk to us. can't see over counter. blues and greens blend so are not good for contrast. Also.Kids Kids go shopping with parents. Put a magnifying glass on a chain near medicine bottles.

Gel deodorants for men from Gillette: How can we distinguish one from another. They are all sealed. Not set up and no pencils to sharpen. You can't touch the products. Chapter 17 .Cyberspace: advantages and disadvantages Difficult to find your way around. no immediate gratification. It's got great potential. Often these don't work well together. Catalogues account for less than 10% of shopping. We have to be able to explore the product. Merchandising.up selling Linking products: in book store.The Big Three Design.Self exam Book gives a great example for bookstore.23% of Asian-American shoppers tore open packages to check the product.Cash/Wrap Many things go wrong here.Magic Acts Layout of stores Add-ons .Time Bad time is when the customer is made to wait. Can I test them? No way. Chapter 16 . Reduce theft and other good ideas: combining the two is frustrating for the customer. . Chapter 15 . Testing products: Three types of pencil sharpener: hand. No social interaction. Chapter 14 . Chapter 13 . battery. we can't smell them or touch anything. They are underutilized. Dressing rooms: Very good section in the book. electric. put the kid's books & health books near the women's books. Chapter 18 . Operations.

mirrors. When Underhill revealed that the correct statistic was only 48%. talking.Examine your business: start ½ block away.Final thoughts In the old days. obscure price tags. looking at signs. For example. bargains What we hate: too many mirrors. . E. Gender and ages must be accommodated. goods out of stock. Sellers can benefit from understanding buyer behavior: Buyers have a certain way of walking through a store. taking breaks while shopping. the seduction in shopping? What we like: touch. the romance. Where is the art. discovery. intimidating service Demands of anatomy must be obeyed. lines. one CEO he spoke with believed that about 99% of people who visited their stores made purchase. Now that is what's necessary to survive. In the US which bank employee has the most interaction with customer? The security guard. the presentation. look outside the store and inside the store. Purchasing behaviors can be studied: Underhill and his team opened the eyes of CEO and retail managers everywhere with their unique approach of meticulously observing people as they shopped. Put signs where people linger. Americans don't list banks among their top five sources of information and advice on finance. 3. They brought techniques from anthropology and merged them with economics to create a new science. the right price/location/product was success. 3 key learnings from the book: 1. asking dumb questions. 2. Retailers still have much to learn about why people buy: Most CEOs that Underhill spoke with knew a whole lot about how store revenues but very little about what actually made customer purchase. Sellers who understand these behaviors can gain a huge competitive advantage. recognition. Chapter 19 . and he doesn't work for the bank. A specific way of using their hands. the CEO was needless to say enthralled with the possibilities.

3. and quickly leave. For example. looking at signs. women are actually more information-intensive. Sellers can benefit from understanding buyer behavior: Buyers have a certain way of walking through a store. reading the label for each possibility before making a purchase." you will get an informative. How could you apply these learnings in your professional life? 1. Women and men shop differently: For example. My only problem with his book is the writing format. taking breaks while shopping. G. Meanwhile. How would you apply this in your personal life? Underhill's book certainly opened my eyes to what retailers know and do not know about what makes people buy. one CEO he spoke with believed that about 99% of people who visited their stores made purchase. the CEO was needless to say enthralled with the possibilities. It is obvious that sellers use tactics to grab attention of buyer and make it an impulse purchase. look at a large shelf of items. Retailers still have much to learn about why people buy: Most CEOs that Underhill spoke with knew a whole lot about how store revenues but very little about what actually made customer purchase. Purchasing behaviors can be studied: Underhill and his team opened the eyes of CEO and retail managers everywhere with their unique approach of meticulously observing people as they shopped. Sellers who understand these behaviors can gain a huge competitive advantage. 6. this book enables me the psychology behind the objects that I shop for.F. When Underhill revealed that the correct statistic was only 48%. Suppose if I go for a shopping. but it lacks periodic summaries of main points to really drive home the reader's understanding. People use all five senses to decide on a purchase: The more of the five senses to which a seller . 5. if sometimes wandering. Underhill's writing is actually pretty good. Keep them in the store longer. 4. A specific way of using their hands. 2. Also the different behavior displayed by different gender while shopping can help effectively managing shopping phenomenon on personal level. You can always sell more: Your best customers are your current customers. pick one. Find ways to upsell. there may be a time that the fascination towards a product is not practically a usable product and this enables me to understand the gag and shop wisely. Entice them to the back of the store. men tend to go into a store. They brought techniques from anthropology and merged them with economics to create a new science. read through the psychology of buying. By reading "Why We Buy.

duhhh. People want verification with their whole body before buying a product.can appeal. the better. 7. Underhill does list some truisms about the advantages of shopping on the Internet which are helpful reminders. Shopping on the Internet is different: Okay. Underhill" today. but remember this book was written in the late 1990s. . this one is a "well. Mr.

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