Asia Pacific Journal of Marketing & Management Review__________________________________________ ISSN 2319-2836

Vol.2 (9), September (2013)

Online available at indianresearchjournals.com

ROLE OF VISUAL MERCHANDISE IN RETAILING OF

SUPERMARKETS IN CHENNAI
DR.S.MEENAKUMARI
AP(SL.G ), DEPARTMENT OF MANAGEMENT STUDIES,
EASWARI ENGINEERING COLLEGE

ABSTRACT
A distinctive retaliating needs to improve its image in the long run. Visual merchandising can
help create that positive customer image that leads to successful sales. It not only communicates
the stores image, but also reinforces the stores advertising efforts and encourages impulse
buying by the customer. Visual merchandising is a major factor often overlooked in the success
or failure of a retail store. It is second only to effective customer relations. Visual merchandising
can be defined as everything the customer sees, both exterior and interior, that creates a positive
image of a business and results in attention, interest, desire and action on the part of the
customer. Visual Merchandise includes both exterior and interior atmospheric of a Retail outlet.
In this competitive world, retailers offer similar products can differentiate themselves by the
usage of Visual Merchandise .This Research attempts to find out the role of visual merchandise
on Retailing amoung supermarkets in Chennai city. The components of visual merchandise
were analyzed in this study to findout the impact on purchase decision in supermarket. A sample
of 105 was collected. Promotional signage and floor space plays important role in buyers
decision.
KEY WORDS: Buying Behaviour,Marquee, Signage,Visual Merchandise,Window display.
_____________________________________________________________________________________

1. INTRODUCTION
The Retaling sector is one of the dynamic sector amoung the service sectors. The GDP of
retailing is increasing at increasing phase. Supermarket is one among the retail outlet which has
increasing demand in the market. In todays fierce competitive world where there is similarity of
merchandise offered by the retailers especially Supermarkets, it is necessary to concentrate on
the virtual merchandise . Visual Merchandise is means of pulling the customer towards the retail
outlet . The basic objective for visual merchandising is a desire to attract customers to a place of
business in order to sell the merchandise. Visual merchandising is offered to the customer
through exterior and interior presentation. Each should be coordinated with the other using the
stores overall theme. Creating and maintaining a stores visual merchandising plan, however, is
not a simple task. It is necessary to continually determine what the customer sees. This
evaluation from the customers perspective should start on the exterior and work completely
through the interior of the store.
Many researches were carried
to identify and prove the linkage between
Visual
Merchandise and Buying Behaviour. Researchers found that impulse buyers usually do not set
out with the specific purpose of visiting a certain store and purchasing a certain item; the
behavior occurs after experiencing an urge to buy (Beatty & Ferrell, 1998), and such behaviors
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Vol.2 (9), September (2013)
Online available at indianresearchjournals.com

are influenced by internal states and environmental/external factors.Research findings suggest

that impulse buying accounts for substantial sales across a broad range of product categories
(Bellenger, Robertson & Hirschman, 1978; Cobb & Hoyer, 1986; Han, Morgan, Kotsiopulos, &
Kang-Park, 1991; Kollat & Willet, 1967; Rook & Fish.er, 1995; Weinberg & Gottwald, 1982).
Retailers can help customers to find the right products through focused merchandising,
intelligent store design and layout, and other visual merchandising practices, such as product
displays, packaging, and signage(Abrams, 1996; Baker, Grewal & Levy, 1992).
2. VISUAL MERCHANDISE
Visual merchandising, or visual presentation, is the means to communicate a store/companys
fashion value and quality image to prospective customers. The purpose of visual merchandising
is to educate the customer, to enhance the store/companys image, and to encourage multiple
sales by showing apparel together with accessories (Frings, 1999, p. 347). Therefore, each
store/company tries to build and enhance its image and concept through visual presentations,
which appeal to shoppers and ultimately transform them into customers by building brand
loyalty and encouraging customers buying behaviors. Visual Merchandise consists of Exterior
and Interior element.
2.1MARQUEE
The Exterior signs consist off premises sign which consists of following Marquee
This special type of sign is used to display the name of a store.
2.2BANNERS
Banners are used increasingly as an inexpensive but colorful, eye-catching means of
promotion.
2.3 WALKS AND ENTRY
Entrances that allow shoppers to come into a store without being aware of their entering, is
also becoming more popular. Cluttered entryway causes shoppers to indefinitely postpone
entering a store, while an attractive, well designed entrance is inviting to the customer.
2.4 LANDSCAPING
Landscaping should lead the customers eye to the focal point using color and texture to
provide contrast and harmony.
2.5 WINDOW DISPLAYS
Special emphasis should be placed on a stores window displays because they are the
information link to the potential customer. Window displays can be as important,if not more

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Asia Pacific Journal of Marketing & Management Review__________________________________________ ISSN 2319-2836

Vol.2 (9), September (2013)
Online available at indianresearchjournals.com

important, than advertising. As many as one in every four sales could be the result of a good
window display.
2.6 INTERIOR PRESENTATION
Selling space is the most important part of a store and therefore, efforts to utilize each square
foot will help to maximize sales. One proven way to do this is through interior displays that
effectively show merchandise to the customer.
2.7 COLOUR
Color contributes significantly to peoples impression of a display, as well as a stores overall
appearance. Color in a display can catch the eye and make people pause and look.
2.8 LIGHTING
Lighting is essential in calling attention to merchandise in a display. A shoppers eye is
drawn automatically to the brightest item or area. Lighting treatment may be used to draw
attention to part of the display area, a specific item in the display, or to coordinate parts of the
total display area.
2.9 PROPS
A prop is something used with a product in a display that clarifies the function of the
merchandise being sold or the story being told.
2.10 FIXTURE DISPLAY
Goods can be effectively displayed on a variety of fixtures such as gondolas, tables, cubes,
mannequins, waterfalls and other racks, display cases, and manufacturer point-of-purchase
display
3. REVIEW OF LITERATURE
Lots of rsearches were carried out on the shopping behavior at retail outlet .Retail store
elements such as colour, lighting and visual merchandising have always been considered as
having immediate effects on the buying decision making process. The emphasis has moved away
from in-store product displays, towards elements that excite the senses of shoppers such as flat
screen videos or graphics, music, smells, lighting and flooring that tend to capture the brand
image or personality and help to create an unique environment and shopping experience
(McGoldrick, 1990; Marsh, 1999). The physical in store environment has been examined in
relation to various elements, for example: orienting factors (Davies and Ward, 2002); signage
(Bitner, 1992); Spatial factors and ambient conditions (Davies and Ward, 2002), which Kotler
termed atmospherics. The work regarding physicality of in-store environment focuses on the
communication of elements through cues and stimuli that the consumer digests through a
number of sensory modalities (visual, aural, olfactory, haptic and taste). Therefore, all literature
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Online available at indianresearchjournals.com

commonly recognized as in-store environment depends on visual merchandising and other in

store promotions.Visual simulation and communication have long been considered important
aspect of retailing by practitioners and academic alike (McGoldrick, 1990,2002). This interest in
the visual has at one level within the retail context coalesced to from the practices of visual
merchandising. This is defined as the activity, which coordinates effective merchandising
selection with effective merchandising display (Wolters and White, 1987, p.238). Visual
merchandising is therefore concerned with both how the product and/ or brand are visually
communicated to the customer and also whether this message is decoded appropriately. In this
context, it will be affecting to a positive psychological or behavioral outcome, ultimately leading
to purchase. The shopping experience, as created by the store environment, has been found to
play an important role in building store patronage. Along with the merchandise, it triggered
affective reaction among shoppers (Baker et al., 1992). It also contributes to creating store
patronage intentions (Baker et al., 2002) and purchase.
4. SIGNIFICANCE OF THE STUDY
With increasing competition ,retailers are striving to make their store attractive to their
target market . The merchandise offered by retailers are found to be similar. As the merchandise
offered cannot be differentiated , the retailers try to differentiate and mange the competition by
Visual Merchandise. The usage of visual merchandise always improves the image and sale of a
retail outlet. However there are only few researches done in this aspect. This research attempts to
findout the preferred visual merchandise in supermarkets and the impact of visual merchandise
on sales.

Fig: 1 A MODEL OF BUYING BEHAVIOUR

ENTRANCE
WINDOW DISPLAY
PROMOTIONAL SIGNAGE

PURCHASE DECISION

FIXTURES

INTERIOR
FLOOR SPACE

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Asia Pacific Journal of Marketing & Management Review__________________________________________ ISSN 2319-2836

Vol.2 (9), September (2013)
Online available at indianresearchjournals.com

5. OBJECTIVES AND METHODOLOGY

This research aims to identify role and effect of visual merchandise on Purchase
decision in Supermarkets in Chennai city. The Study also attempts to find out the impact of
Visual Merchandise on Impulse Buying Behaviour . A descriptive research is used. Non
probability judgment sampling is used to identify the respondents. Sample size consists of
105 . A structured Questionnaire was employed . The questions are mostly closed. This kind of
questions because they have more recognised advantages, i.e. they ensure comparable answers
given that they vary little, provide respondents with an acknowledgeable task, are easier to
answer and also because they offer more easily examinable,reliable, and statistically treatable
answers.Questionnaire consists of likert scale .
6. LIMITATION
The sample was geographically limited and the age range was narrow. Data
collected in other areas may produce different results.
The survey asked participants to answer the questions based on their recent buying
experiences as long as they were aware of their behavior and influences. However, the
qualitative research methods may bring different results.
7. RESULTS AND DISCUSSION
In order to conceptualise the respondents profile is analysed. The respondents information
about their age ,gender ,occupation and income were collected . This information will help the
study to identify characteristics of the people who generally visit the supermarket .
S.No
1

2.

3.

4.

TABLE NO:1 RESPONDENTS PROFILE

Respondents characteristics
Income/month
Lessthan Rs 25,000
Rs 25,000-Rs50,000
Morethan Rs 50,000
Gender
Male
Female
Occupation
Professional
Public Sector
Private Sector
Others
Age
Less than 20
20-40
40-60
Morethan 60

Respondents
( in percentage)
15
45
40
43
57
23
14
36
27
5
55
25
15
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Asia Pacific Journal of Marketing & Management Review__________________________________________ ISSN 2319-2836

Vol.2 (9), September (2013)
Online available at indianresearchjournals.com

Amoung the samples ,45% respondents have an income level of Rs .25,000 to Rs

50,000.Majority (57%) of respondents who visits the supermarket are Female who fall in the
agegroup of 20 to 40 years . Majority of the respondents are from Private organization followed
by Other category which includes housewives , retired people and students .
Responses were measured using a five-point Likert scale, which ranged from Strongly
Disagree =1 to Strongly agree =5.was used to measure each variable .Participants were asked to
circle the number that best described their response The mean of which were calculated.
TABLE NO :2 OPINION ON VISUAL MERCHANDISE
S.No Parameters

Mean
value
I enter a store when the entrance is not cluttered
4.5
I get influence to buy more when I see the promotional signage.
4.6
I visit store when there is an attractive window display
2.8
I get attracted towards the display of various merchandise in supermarket 4.5

1.
2.
3.
4.
.
5.

I purchase in supermarket where floor space is sufficient

around.
Colours and Lighting in Supermarket is Important
Proper Usage of Fixtures in Supermarket is essential
I desire to buy by Interior Decoration

6
7.
8.

to walk 4.5
3.4
4.0
3.2

The research considered some of the factors namely Entrance , Promotional signage
,window display , Space , colour ,lighting etc of Visual Merchandise that influence the purchase
of various merchandise in supermarkets. The factors were averaged to find out its impact on
purchase . Most of the factors of visual Merchandise has important role in purchase behavior .
Amoung them,the Promotional Signage in the supermarket has high impact in the purchase.
This is followed by floor space inside the supermarket , Entrance of Supermarket,and Fixtures.
The Promotional signage that are found inside and outside the premises of Supermarket
plays vital role in influencing the consumer to make purchase. As the major visitors of
supermarket being Female consumers Supermarket is one the retailing which has got various
merchandise .This study tried to identify the association between different products and
components of Visual Merchandise in making purchase decision.
TABLE NO :3 ROLE OF VISUAL MERCHANDISE ON VARIOUS PRODUCTS
S.No

Products

Vegetables

Component of Visual Respondents

Merchandise
(in Percentage )
Promotioanl Signage
75

2
3
4
5
6

Fruits
Provisional Items
Personal Care Products
Homecare Product
Fresh Food

Promotional Signage
Promotional Signage
Floor Space
Floor Space
Entrance

64
59
59
63
67
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Asia Pacific Journal of Marketing & Management Review__________________________________________ ISSN 2319-2836

Vol.2 (9), September (2013)
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The Merchandise in the supermarket was categoriesed into Vegetables , Fruits , Provisional
items, Homecare products , Personal care products and fresh foods . Fresh Foods include milk
,bread ,cake ,flour etc. The component for visual merchandise used in this study includes
window display , promotional signage, floor space, fixtures, lighting and colours , interior
decoration etc . The impact of purchase decision by components of visual merchandise on
different products of supermarket was found . It is stated from the study that Promotional signage
( for example 20% discount , buy one get one free etc )has high impact in purchase of
Vegetables , fruits and provisional products. Respondents attempts to buy more of Personal care
products and Household care products only when they have sufficient floor space to walk
around and see those products . Regarding the fresh foods , respondents are influenced when it
is places in the entrance of the shop .
8. RECOMMENDATION
The study helped to come out with few useful recommendation based on the primary data
collection and observation carried out during data collection
Spaces between shells (Passage), cashier counters layouts, height of shells, no. of Gondola,
number of impulse counters, sanitary facilities, height of roof are key variables of design layout
that helps to make customer relaxation, convenience to selection of products, reduce average
waiting time and encourage the impulse purchasing etc.
Majority of customers respond to the lighting more positively. They specially mentioned that
lighting helps to select correct products, reduce the time wasted and feel relaxation during the
shopping tours.
Therefore managers can select appropriate lighting system that creates
satisfaction of psychological needs of customers.
Most of customers are willing to purchase products from supper markets from 6.00p.m. to
9.00p.m. in weekdays and 10.00a.m. to 8.00p.m. in weekends. Therefore, managers can pay
special attention to make attractive environment in the supermarket premises and make action to
control the rush condition.
Visual merchandising is the most important variable in in-store environment among the
tested variables. It can significantly influence on consumers store choice decisions. Therefore,
application of more attractive visual merchandising materials in their promotions will help to
obtain better results. The lighting, Design layout and cleanliness are the key elements of visual
merchandizing programs other than product display.
9. CONCLUSION
Visual Merchandise have high impact on Consumer Buying behavior in Supermarktes.
Most of consumers are influenced of Visual Merchandise namely Promotional Signage , Floor
space , entrance of the outlet and fixtures used for different merchandise in supermarket. It is
found from the study that the supermarkets have more women visitors than men. Women
consumers are more influenced by the Visual Merchandise of the Supermarket . The Retailers
must arrange their products logically and grouping of must done for a category so that a product
of one type, brand , pack etc are found within the category.Visual Merchandise do have impact
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on Purchase decision. It is recommended that supermarket must take due care in designing and
developing their Visual Merchandise.
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