Visual

Merchandising
Visual merchandising is part of a sound retail merchandising strategy.

It guides the planning and activities

responsible for how customers see your
physical and digital stores, and the goods
and services visible within.

Visual merchandising applies to

everything from the exterior of your
retail store to the well-lit entryway all
the way through to the well-placed
furniture, fixtures, and promotional
displays.

It helps create customer value by making the shopper journey efficient, unique, and
memorable.
In today's omnichannel marketplace, e-commerce, retail stores, and mobile channels
converge to shape the customer experience.

Visual merchandising is responsible for creating the digital or physical environment

that appeals to your target customer and aligns with your overall retail value
proposition.

The creative methods of visual merchandising stimulate customers to make purchases.

Retailers can design a customer experience with the layout of store merchandise, the
UX design of e-commerce landing pages, and the usability and imagery of a mobile
app.
The Science of Visual Merchandising

With visual merchandising, retailers

can influence how customers choose
and what choices they make based on
what those customers see in physical
stores and online.

Modern neuroscience studies suggest

that the impact of messaging via
optical stimulation is measurable and
real.
The field of neuro-marketing studies how
customers make purchasing decisions and how
retailers can influence customers.
Visual Merchandising Tips from Neuro-Marketing Research

Signs Point the Way: Shoppers are scanners. They routinely look for changes in familiar retail
environments (or on landing pages) and use visual stimuli closest to their point of entry. Place signs
closest to the customer’s entry point, and guide the shopper journey with images rather than text to
avoid overstimulation.

Display Images: The images retailers use for in-store displays or online stores should have a left-right
orientation. (The picture should appear on the left, and the associated text should appear on the
right.) The “shopper’s eye,” delivers observations more effectively in this way. It takes more effort for
scanning shoppers if the text appears on the left, and the image appears on the right.

Aisle Attraction: Aisles that end with rounded gondola displays entice customers more often. These
round-end caps should help the shopper navigate by providing clues to what they will find on the rest
of the aisle. The ideal length of an aisle is approx. 20-22 ft., and, halfway down each aisle, there
should be some “visual interruption,” such as special lighting or a floor display, to attract the
shopper.
Show Off Consumption: Visual displays that show off consumption of goods and services prompt
more action. If the display features people, it should always include imagery of smiling, happy
customers. For example, if you wish to promote the breakfast items on your menu, it is better to
show a person consuming said items rather than the product by itself. If your merchandise is
apparel, it’s preferable to show that apparel in action.

Material Matters: Shoppers (and their brains) enjoy touching round, soft items. Place such items at
eye level, and design merchandise displays with “touch moments” in mind. Also, the material of the
shelving and displays matters to the customer’s visual perception of value. Wood gives the
impression of “real, authentic, and organic,” but shoppers may perceive a higher price point for
items displayed on natural wood shelves.

Cross-Merchandising Solutions: Retailers should cross-promote solutions with visual

merchandising. For example, position batteries next to electronic devices, stage merchandise kits
next to core products (for example, socks, shoe laces, and shoe cleaner), and place unrelated (but
logical) products on display with profitable merchandise.
 Applications of VM Concepts

Visual merchandising, also known as product placement, is one of the

most influential facets of successful retail sales. A well-merchandised store
is welcoming, attractive and entices customers to buy.
Focal Point: Product

The chief rule for effective visual

merchandising is to focus on the product.
Everything in your displays should be there to
enhance the central item for sale.

You can use more than one product in a

display, but avoid too many varied items,
which create a chaotic effect. Use related
articles to tie the display together.

For example, an interesting display could be

assembled using a variety of fishing poles –
their consistent shapes can be creatively
arranged to attract the eye. Augment the
arrangement with fishing-related products,
such as tackle boxes and colorful flies.

Ensure the main product, however, is

emphasized in some way.
Maximize Design

Implement design elements in your merchandising with the effective use of merchandising
rules involving form, balance, patterns, textures and scale.

For instance, look at your display area as if it were a blank canvas. Create a compelling
visual design using a textured background behind the balanced placement of 3D products.

Place the featured product in the foreground. By thinking of product placement as a

whole, you can position various design components to achieve dimension and depth,
which is more engaging than a flat presentation.
Incorporate Lighting

A prominent merchandising rule concerns lighting. Properly illuminating your displays

provides a beacon to customers and draws attention to the featured product.

You can use accent lighting as a product spotlight or to create a soft, ambient effect.

For example, perch a product on a tall cylinder and direct a centralized ray of bright overhead
light to bring awareness to the item. This effect can create in the product the perception of
importance and inherent value.
Use Color and Graphics

Employing color advantageously is a key visual merchandising rule. Incorporate appealing colors
to engender specific display dynamics.

Strategically placing red as a spot color, you

use it to feature sale items or as an attention-
getting attribute in a black-and-white display.
Group together items with various shades of
the same color, such as blue, and prominently
place a specific product of a contrasting color,
such as bright yellow or orange. Use black in
artful ways to ground your display or add
depth.

Clear signage is necessary in merchandising,

providing important information such as price,
but don’t allow signs to detract from the
display’s affect. Appropriate photographs and
other graphics can be potent as long as they
don’t overpower the product.
Tap Into Emotion

Emotional appeal is an essential rule of

visual merchandising. It directs you to
pull forth specific feelings or desires
from people, impelling them to buy.

Create dynamic displays of agreeably

priced items with high profit margins,
and utilize action colors such as red or
orange, coupled with lighting to attract
the eye.

Build a gorgeous exhibit using

placement, color and lighting to feature
one high-end item, with the express
intent of placing in your customers’
minds the phrase, “I want that.”
Stick with Retail Standards

A fundamental visual merchandising decree demands adherence to retail standards.

Originality can be powerful but only to the degree that windows, displays and other aspects of
your store are always in good repair and clean.

Retail standards dictate that empty boxes be stored off the sales floor, windows and doors are
sparkling clean and fallen signs are replaced.

Visual merchandising offering the most impact is fresh, treating customers to a variety of new
experiences when they visit your store, so update displays regularly.
 Color Meanings in Retail Design

One of the most exciting aspects of retail is the design phase.

Throughout this period you will make countless decisions, one of the most important
being your color choices for your retail store.

Color has a subliminal effect on people and can compel them to spend large chunks of
time in your store or make higher-priced purchases.

Color even has the power to drive your customers out the door, never knowing know
why they felt uncomfortable there.

A little knowledge and thoughtful planning of your color choices for walls and for spot
color can help you generate big dividends.
Blues
Using light or medium blue as your basic color scheme instills a sense of calm in people.
It is reminiscent of the ocean and sky, elements that engender a sense of peace. If your
small retail business focuses on the sale of noisy pets, such as birds, you can offset a
jarring customer experience by painting your walls blue.

Try painting with a dark-medium shade at the bottom of your walls and gradually get
lighter, ending in white at the very top. This use of blue reinforces the perception of a
calming sky.

Greens
Shades of light green or a bit deeper green can stimulate a sense of freshness, peace
and health. Use shades of green to positive effect in florist shops or health food stores.
Darker greens can bring to mind affluence; you can give your customers a sense of
being in the presence of quality when using this color.

Jewelry stores and businesses offering high-end quality items can benefit from the use
of a combination of lighter and dark greens.
Reds, Yellows and Oranges

Red is a powerful, passionate color, and, when used too much, can cause people to feel
anxious and aggressive. Use red sparingly, perhaps as a spot color to attract attention to
an item.

Yellow is a happy color, inspiring uplifting thoughts and cheer. Yellow is often used in
stores catering to children.

The use of orange -- a mixture of red and yellow -- can be exhilarating, inspiring fun and
playfulness. In its lighter shades it can connote opulence, appealing to people looking for
a high-end shopping experience. Certain shades of orange are often associated with
stimulating the appetite, as evidenced by color schemes in some restaurants.

Purples and Pinks

Purple often appeals to creative people. It has some of the qualities of both red and blue,
and when used as spot color, such as in a display case with watches or similar expensive
pieces, it can be perceived as aristocratic. Use purple as a backdrop for items of mystery,
such as those found in a magic shop or one dealing with the spiritual. Shades of pink can
convey energy and fun. Pinks work well for stores that appeal to women or carry
romantic items. Young girls are not immune to the sweet romantic delight of the color
pink.
Browns, Blacks, Grays and White

Brown is a color denoting uncomplicated stability. Too much brown can be overpowering
and evoke negative feelings.

Brown can be a practical choice when used for high-traffic flooring, for example.

Black is a dramatic color choice that appeals to younger customers seeking trendy items. It
can be used in specific areas of a retail store for a bold look.

Grey, a combination of black and white, is considered to be a neutral colour, and in a

lighter shade it can beautifully enhance other colors.

White implies simplicity and purity. Because white is the absence of all color, it serves as a
clean background for more colorful signage or interesting displays.

Similar to a light shade of gray, a white wall acts as a palette upon which you can use other
colors to great effect.
Visual merchandising in the age of omnichannel

1. Architecture: The framework for retail sales

Regardless of sales channel, a well-designed architecture makes the store inviting so

shoppers feel welcome and excited to explore the store or website. (And spend money.)
A physical store’s architecture includes visual elements like the floor layout, the range of
colors of the décor, and the backdrop, including three-dimensional window displays,
shelf displays, and mannequins.

E-commerce architecture also requires a thoughtful layout and clear signage to guide
shoppers throughout the website. Retailers use a complementary color scheme to
please the eye and cast models who fit their brand persona.
 Visual merchandising in the age of omnichannel
2. Narrative: The store becomes the story

Visual merchandising intrigues customers with brand storytelling to transform a shop into an exciting
destination that inspires and entices shoppers. The merchandiser decides on the theme – the look and feel
– of a store, then evokes a desired effect through the visual displays.

An effective in-store narrative sparks customers’ imagination with emotional impact, brand personality,
and store ambience. The focal point may include a hero – such as a high-impact collection of bold new
items or an elaborate holiday display that nudges shoppers toward a purchase.
Visual merchandising in the age of omnichannel

Online storytelling through visual merchandising also involves a logical narrative flow that
guides customers through the online shopping journey so it’s compelling, effortless and
smooth (and shoppers don’t wander in different directions on the website.

Regardless of channel, the narrative must reflect a consistent brand identity and customer-
centric care from when shoppers enter the store or site to when they complete a
purchase.
 Visual merchandising in the age of omnichannel

3. Visibility: What’s seen is sold

In-store and online, visibility encourages retailers to feature items that align with a unique
narrative and authentic brand image, while helping shoppers easily and quickly find the
items they desire.

The principle of visibility prioritizes the products retailers push the most, whether the items
are high margin or exclusive enough to drive loyalty, word of mouth and social sharing.

Online, the e-commerce information architecture and sitemap flow help retailers
prominently showcase the products that are most likely to sell to prevent the items from
being buried deep in the e-commerce site.

Data analytics help merchandisers know exactly which products are most popular and
trending, influencing the items they make most visible, including which color palettes,
fabrics and cuts to make most visible to wow shoppers all the way to the checkout page.
Visual merchandising in the age of omnichannel

4. White space: Give shoppers room to breathe

Few customers enjoy navigating through a store crammed with excessive merchandise. By
contrast, white space can help a shopper relax and enjoy the store atmosphere. White
space encourages merchandisers to emphasize products that relate to their overarching
theme by using innocuous brand elements. Merchandisers exercise restraint to ensure
uncluttered beauty so the retail narrative shines through clearly.
Visual merchandising in the age of omnichannel

5. Balance: Bringing the elements together in harmony

Successful visual merchandising in stores and online address consumers’ needs (such as
quality, variety and sensory appeal, as well as the trust that comes from online product
reviews) and inspire their wants (to feel attractive, confident and hopeful).

Both in-store and online, merchandisers must give attention to merchandise and
communication cues.

They need to showcase sufficient product variety while remaining consistent with the
core brand theme, finding a happy medium to neither overwhelm nor disengage in-store
shoppers.
The Five Steps to Visual Merchandising Planning

Visual merchandising is so important to the success of the store that it could be

considered a critical element, second only to store location.

It makes sense to give considerable thought to the overall merchandising plan

before we jump into display creation.
1. Vision

•What is the image you’re attempting to convey with your store?

•Put yourself in your customers’ shoes: What do you want them to experience?
Your vision might translate to a bright, airy and uncluttered feeling. Or, maybe you’d like to
create a relaxing space that includes coffee or other beverages.

•Consider in your vision an overall color scheme and ambience-creating components, such
as the type of music you might use and the lighting you will employ to enhance sales.
2. Floor Plan and Layout

Using the mental image of how you envision your space, begin to evaluate your floor plan
and layout.

The front of the store should feature your best-selling products showcased in displays or on
fixtures that enable customers to closely view or touch the items.

Does your floor plan furnish you the ability to install displays that won’t block visitors’ view
of the rest of the store?

If you plan to incorporate a refreshment kiosk, study your layout to find the location that will
be attractive enough to draw people farther into the store, yet won’t block sales
merchandising efforts.
3. Prime Selling Location

Determine what you will display in prime selling locations, such as to the right of the entry
and along the right side of paths most traveled by shoppers, considering that people seem
to have a tendency to move to the right upon entering a store.

For example, it might be beneficial to place in these choice sales spots a display of clearance
items or perhaps some high-end merchandise.

Think about point-of-purchase displays -- what type of merchandising will be most

advantageous near the payment area, another prime selling location.
4. Product Positioning

Utilize the psychology of product placement. Shoppers generally look first at eye level for
the items they need, so you may decide to place at that level inventory with high profit
margins.

Your plan can encompass where to display bright or shiny packaging or objects, which
people automatically slow down to inspect. Give some thought to the product placement in
window displays -- a highly visible location for eliciting sales -- as well as to the placement of
in-store signage.
5. Traffic Flow

Include in your merchandising plan an assessment of traffic movement within the store.

The plan should allow for a way to avoid clutter, such as employing storage areas off the
main floor.

People using strollers or wheelchairs should be able to comfortably maneuver through the
aisles or displays.

Your plan may offer the option of altering the layout with additional partitions or modular
dividers to augment customer movement, enabling shoppers to spend more time at each
display.
End of Session