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Midlands state university

Faculty of commerce
Department of business management

Name. Chapanda Kudakwashe Gracious

Registration No. R0645087
Level 4.2 (PDP)
Programme. Business Management

BM403 Assignment
Question. Go to a supermarket, look at their displays
and with justification discuss why what is where.
Include a layout planning

Due date. 1 March 2010


According to Besser (2008), retailers use a variety of formats to display their wares.
While some merchants use "power merchandising" tactics more than others, the overall
goal is the same: present the merchandise in an inviting and informative manner. Studies
show that consumers spend 15 to 20 percent more in stores they find to be well stocked,
pleasantly kept and "fun."

Vertical merchandising: For most of its products TM supermarket uses vertical

merchandising. Vertical merchandising places like items together in a column, usually
putting large things on the bottom and small things at the top. Waters (2008) defined
vertical merchandising as the placement of merchandise from top to bottom on a fixture,
rather than from side to side.

Example: the cereals are arranged according to their brands and the products for each
brand are arranged from top to bottom. On the cereals shelf they start with a brand called
Hermes followed by Willard’s, Kellogg’s and Nutrific. From the brand Hermes the
largest boxes are placed at the top and the size is reduced as we go down. Same applies to
all the following brands.

Reason: By presenting an assortment of merchandise vertically TM is trying to expose

customers to a greater variety of their assortment at eye level. And, since the customer is
naturally inclined to read at eye level from left to right, and buy at hand level, this
technique looks good and encourages purchases. It has been said TM uses top to bottom
merchandising to cater for all customers. People have different heights, some are short
and can not reach the top of the shelf and others are tall and are not comfortable with
bending down when they are shopping. Lager boxes of cereals are on top of the shelves
because they don’t fit well in the shelves.

Face-Out Merchandising: I have also noticed that for all of its products TM uses face
out merchandising. Face out merchandising refers to positioning the front of the
merchandise facing the customer Kizer and Bender (2007). With boxed product, the
packaging graphics usually have a good side -- a photo or colourful graphic to indicate
what is inside the box -- that makes a great face-forward presentation.

Example: the drinks are arranged in such a way that the side where there is a logo and
some other details is facing the aisles. Ice creams in the fridges have their faces looking
up. Packets of products like sugar have their faces up.

Reason: Face-out presentations have more buy-appeal, since the front of the product or
graphic enhancement on the box is usually more interesting and colourful than the "side
face" of the merchandise. Customers can also see the front of the product without having
to struggle to get the item from the shelf. Customers can easily read the ingredients of the
products without much difficulty. Sometimes the customers shop for brand brandy, face
out merchandising make them identify their brands easily.

Displays at dairy section: the products at the dairy sections are displayed in a large
open fridge. Just as their custom the products are arranged using vertical merchandising
that is from top to bottom. At the first column of the dairy fridge there are cans of beer
followed by juices, then maheu, margarine, yogurt, lacto, mineral water, sterilized milk,
and finally juices.

Reason: The fridge open for easy access of the products. Products in this fridge are used
on a daily basis and their demand is so high. One may find more than ten customers along
the fridge so if the fridge was closed this could have caused inconvenience. Can of beer
in the dairy fridge are only meant for customers who will be on a hurry and have no time
to go to the other end for beer.

Displays in the liquor section: there two fridges there. These ones have some doors.
One is for soft drinks and it is labeled coca cola, the other is for beer and it is labeled lion
lager. Inside the soft drinks fridge we have some cans at the top shelf and below are
250ml followed by 1liter. The same applies in the beer fridge, cans at the top followed by
pints, then quarts. The faces of the drinks and beer will be facing to the customer. There
is also light in the fridges.
Reason: Soft drinks and beer in different fridges is meant not to confuse the customers. If
one need a pint of beer he or she just go straight to the beer fridge. There some customers
who don’t drink beer and they don’t expect to see these two products in the same fridge.
A customer may not buy simply because beer and soft drinks are mixed. The fridges are
labeled for easy identification of where the product can be found. Face out is also meant
for quick identification of the type of drink or beer. And the products are arranged
according to their size so that a customer will just pick the size that he or she is looking
for without scrutinizing the product. The light in the fridge make things looks brigher and
smart. The fridges are closed because the products are in bottles which can easily break.
So they must be kept in a safe place.

Display at the bakery: bread is put in open trays where customers can reach and serve
themselves. The bread is not covered with anything. Cakes and other doughnuts are
placed on glass displays. The moving customers can see the cakes buns and other bakery
products through a glass. The cakes are also covered with a glass container. The products
are arranged according to their prices.

Reason: Bread is put in open trays and uncovered because the bread will be fresh. Before
the workers have the chance to pack the bread in plastic bags the customers would be
already doing it for themselves. Customers prefer fresh bread as a result the workers have
no time to pack the bread. Open trays allows a large number of customers to serve
themselves. Cakes are and other bakery products are displayed so as to lure the customer
to buy the product. The cake is further put in a glass to make it look very special
justifying its expensiveness.

Display at the butchery: the products at the butchery, sausage, beef and chicken, are in
a open fridge. The products are in the same fridge but at separate points accordingly.
They are then arranged according to prices.

Reason: the products are arranged separately because there are some people who don’t
eat pork. So this criteria is meant to increase customer satisfaction.
Display of clothes: Clothes are displayed on hangers. This is meant to maintain their
shape. Customers usually prefer clothes with their original shape especially ladies. On the
other hand clothes are more attractive on hangers than when they are folded in shelves

Display of inhouse brands: products with inhouse brands (supa saver) are given high
preferences on the shelves. They occupy a large space as compared to any other brand.
The reason being that the company want to promote its brand. Having a large share of the
shelf means that the customers will easily recognize the product attracted to buy it.

Point Of Sale: Whilst you are waiting to pay retailers often install Point Of Sale displays,
this is the case in TM supermarket who install racks of chocolate to tempt bored children
waiting with their parents. Some other small items are placed at the point of sale to
reduce the risk of shoplifting or for change.

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