PROJECT REPORT

ON
“IMPACT OF RETAIL ATMOSPHERICS IN
CONSUMER BUYING BEHAVIOUR”

SUBMITTED IN PARTIAL FULFILLMENT FOR THE

AWARD
OF THE
DEGREE OF BACHELOR OF BUSINESS
ADMINISTRATION (in BANKING & INSURANCE)
2017-2020

UNDER THE GUIDANCE OF:

DR. SARAH AHTESHAM

ASSISTANT PROFESSOR
VSBS, VIPS

SUBMITTED BY:
AISHWARYA GUPTA
00317701817, BBA(B&I)-6A

Vivekanand School of Business Studies

Vivekananda Institute of Professional Studies
AU Block (Outer Ring Road)Pitampura
Delhi - 110034
 TO WHOM IT MAY CONCERN

I AISHWARYA GUPTA (00317701817), from BBA(B&I) Semester-6 of

Vivekananda Institute Of Professional Studies, Delhi herby declares that the
final project report entitled Impact of Retail Atmospherics in Consumer
Buying Behaviour is an original work and the same has not been submitted
to any other institute for the award of any other degree and the instructions as
provided by the faculty were duly incorporated.

Date: 20th April 2020

Signature of the student: Aishwarya Gupta

 CERTIFICATION

This is Certified that the final project report submitted in partial fulfilment of
Bachelors of Business Administration in Banking and Insurance [BBA
(B&I)] completed by AISHWARYA GUPTA Enrolment No. 00317701817
has been completed under my guidance and is satisfactory.

Date: 20th April 2020

Signature of Guide:

Name of Guide: Dr. Sarah Ahtesham

Dessignation: Assistant Professor VSBS, VIPS

 ACKNOWLEDGEMENT

The present work is an effort to throw some light on “Impact of Retail

Atmospherics in Consumer Buying Behaviour”
The work would not have been possible to
come to the present shape without the able guidance, supervision and help to
me by number of people.
With deep sense of gratitude I acknowledged the encouragement and
guidance
received by my Project Guide, Dr. Sarah Ahtesham.
I convey my heartfelt affection to all those people who helped and supported
me during the course, for completion of my Project Report.
 TABLE OF CONTENT

S NO. TOPIC PAGE NO.

1. STUDENT (ii)
DECLARATION

2. CERTIFICATE (iii)

3. ACKNOWLEDGEMENT (iv)

4. Chapter 1: Introduction 1-9

5. Chapter 2: Literature 10-27

Review
6. Chapter 3: Research 28-32
Methodology
7. Chapter 4: Findings and 33-50
Analysis

8. Chapter 5: Conclusion 51-55

9. References 56-57

10. Appendix 58-66

 Chapter -1
INTRODUCTION
1.1 Introduction of the Study

Kotler defines atmospheric as “the effort to design buying environment to produce

specific emotional effect in the buyer that enhance his purchase probability” Kotler
( 1973). “Retailers have shown an increasing importance in the global business
scene. Consisting of all the activities that comprise the process of selling products
and services to meet a personal need of the individual consumer, the store formats
and environment vary, and compete globally.

Also, the retail space, meaning the proximate environment that surrounds the retail
customer, is never neutral. It will always influence the individual. The retail store is
a group of cues, messages, and suggestions that communicate to buyers. Retail
store designers, planners, and merchandisers shape space, and that space in turn
affects and shapes customer behaviour.

There is a reciprocation pattern” (Markin, Lillis, & Narayana, 1976). The first
academic articles on the impact of the shop environment in consumer behaviour go
back to 1950 and 1960 (for example, Martineau, 1958; Cox, 1964; Smith &
Currow, 1966; Kotzan & Evanson, 1969). In the following decade, “ Kotler (1973)
in his article “Atmospherics as marketing tool”, coined the term “store
atmosphere”, that's used to describe the conscious planning of the environment to
make certain effects in buyers, for that he is credited pioneering the subject”
(Turley & Milliman, 2000). Kotler (1973) affirms that “a product goes beyond the
tangible aspects normally related to it”, adding in his definition a package that
constitutes the “true product perceived by consumers, including the planned
environment where it's sold.
During the 80’s, a new perspective opens up the theory of consumer behaviour—the hedonic
perspective”. Until then, “buyers were thought to be exclusively rational beings, whose
purchasing choices were made after a logical processing of obtainable information into a
stream that came from the detection of a drag to their satisfaction with the purchase”
(Schmitt, 1999; Solomon, 2008). “Later research however showed that a number of non-
rational factors exerted strong influence on buying behaviour. Among these factors are
hedonism, fantasies, feelings and fun” (Holbrook & Hirschman, 1982), “the moods of
consumers”

(Gardner, 1987), “and consumption rituals” (Rook, 1985). “These findings have
revolutionized the way of seeing the buyer, indicating the influence of experiential aspects in
consumption, as defined by” Holbrook and Hirschman (1982). “Within an experiential
marketing perspective, companies should cash in of each point of interaction with consumers
to make and reinforce this experience, either through sponsorship, merchandising, advertising
and, especially, point of sale” (Schmitt, 2004; Naylor et al., 2008).

“The components of a store atmosphere which will be manipulated to get certain

responses to approach consumers are associated with individual perception and
sensory factors. as an example, a store can highlight the colours (and lighting),
smells, and music” (Kotler, 1973; Donovan & Rossiter, 1982). “Other factors like
textures and flavours also are within the context of the retail atmosphere, although
still in need of scientific investigation. it's also emphasized that buyers express their
identities, feelings, thoughts and motivations influenced by sensory experiences
with past and present products and services, and corporations now communicate
their offerings to increase appeals to all or any senses.

The transformation of latest and existing products from companies to consumers

has support within the ability to develop and realize their preferences in favour of
the stimuli from marketing, cultural and social appeal to all or any senses. There is
no ideal model of store atmosphere to be followed or copied by managers of a retail
or service environment.
Decisions on the atmosphere components are a part of a bigger set of outcomes that
are associated with marketing strategy and for this reason shouldn't be wiped out an
off-the-cuff and intuitive way” (Chebat & Dube, 2000) “or relegated to secondary
discussions, as a results of choices made by architects and interior designers”

(Turley & Chebat, 2002). “The sensory system (consumer perception) has already
been investigated within the literature of consumer behaviour since the start of the
systematization of this theory” (Solomon, 2008), “and is taken into account “the
gateway” of information round the individual as he perceives the planet around
him. Vision, hearing, olfaction, palate and tact are the senses that enable humans to
know the planet, and that they bring positive and negative feelings to a particular
consumer experience.

Thus, the sensory appeals present during a retail environment emerge as tools for
the provision of experiences to consumers, which may bring competitive
advantages, if treated differently and consistent with the target market segments.
When planning the atmosphere, some questions should be considered:
Who is that the target audience? what's one looking for in terms of shopping experience?
Which atmospheric variables can strengthen the beliefs and emotional reactions that buyers
are looking for?”

(Kotler, 1973, p. 63). “That is, these questions are literally steps to manage the atmosphere of
the shop. It also can be considered a crucial tool for creating value during a gaining share of
costumer, counting on the impact that the consumers feel with environmental conditions”
(Babin & Attaway, 2000). “The three main tools that contribute to achieving the goals of a
standard store atmosphere are: Architecture—the structure of the atmosphere outside of
buildings; Decoration—the atmosphere inside the store; and Window Design—the
atmosphere of the shop” (Kotler, 1973, p. 63).
“For retailers and store managers, shopping is that the art of persuasion. Though
there are many attributes which will influence how and what the consumers will
buy. However, visual cues such as lighting, background music, colour and visual
merchandising being the strongest and most persuasive factors compared to the
opposite attributes” (Bohl, 2011).

“In 1973, Kotler has introduced the concept of store atmosphere, that is, the trouble
to style a physical store environment that gives specific emotional effects to the
purchasers that encourages customer behaviour. The buying process during a retail
atmosphere is triggered when the customer recognize that they put high expectation
towards a store” (Bohl, 2011).

“Along with the trends toward retail innovation and evolution, retailers and store
managers now interested in how shoppers get experience while they are available
to the shop . it's long been recognized that buyers respond not only supported the
merchandise or service quality itself but they also take much attention on the shop
environment. it's because; besides product and services, the atmosphere of a store
also one among the influential factors within the purchase experience” (Kotler,
1973).

In fact, Turley & Milliman (2000) believed that “store atmosphere contributes to a
business success or failure”. “Kotler (1973), found that the sooner meaning for
store atmosphere is sort of a purchase environments was designed to supply
specific emotional effects towards the customer and then the acquisition
probability. Although increasing the sales and profits become the priority objective
and missions for many of the retail stores, the shop managers are realized that the
level of customers’ experiences and perceptions while having their visit within the
store also become the prime objectives to them. Thus, the retailer especially within
the automotive dealership industry wants to form
the customer to remain longer within the store, in order that customer can explore the ideas
and make decision to get more products or service since they already attracted to the shop
atmosphere” (d’Astous, 2000).

“The entire retail environment that has the planning of store brands can develop their own
brand messages and consumer experiences throughout the shopping endeavor. The retail
environment is harmoniously designed so as to speak brand personality and therefore the
store image. so as to make positive customer perceptions, the retailer can do some innovation
project for the shop atmosphere and by doing that, the shop will provide silent
communication with the purchasers about the retailer's brand value, each element of the retail
environment also need to be transformed in order that it's differentiated from the opposite
retailers.

On the opposite hand, retailer can also make it more standardized and thus tend to contribute
the consumers' purchase decision” (Bohl, 2011). “The model of Mehrabian - Russel which is
an approach of Stimulus-Organism-Response (S.O.R) model. There are two focus studies on
environmental psychology which is that the effect of physical stimuli on individual’s emotion
and the effect of physical stimuli on the individual’s behaviours” (Mehrabian & Russell,
1974).

“Researcher found that, this model are often applied as valuable study to store environments
and atmosphere. during this research, the researcher also wants to adapt the Mehrabian -
Russell model into the retail scope so as to seek out the relation between store atmosphere
and customer’s experience. Besides that, the framework shows that a specific atmosphere can
cause certain emotional response in a private especially for customer during a retail sector. In
other words, due to certain atmosphere, it can cause a private to approach or avoid the
environment whether it greater or in lesser degree” (Billings, 1990).

“In summary, atmosphere enhancement during a mercantile establishment is extremely

essential since the customer will observe the encompassing store area and it automatically
can influence the customer’s experience and perceptions.
Besides, a business is impossible to cover their actual store atmosphere from the customer to
feel and see by their own.

When it involves customer, it's indeed that they're going to be happy and feels comfortable
with the appealing store atmosphere” (Turley & Milliman, 2000). “Especially when having
an honest store atmosphere, it can help the customer to form a right decision with calm and
relax mind and also having an honest time to think at a cushty sofa.

Moreover, a pleasant colour combination with the selection of elegance colour, and in fact
not a colourful store can bring the mood of exclusivity among the purchasers. Then, the
companies can tell message and stories through their dynamic visual merchandising in the
store and thus, from having all the mixture of store atmosphere factors can create an ideal
store environment” (Mehrabian & Russell, 1974).
1.2 Definition of Terms

1. Lighting

Lighting are frequently characterized on the grounds that the very touching off or
enlightening, the game plan of lights happens generally by explicit hardware in order
to acknowledge different diverse of impacts. Other than that, lighting is also can
allude in light of the fact that the utilitarian utilization of daylight to understand a
viable or stylish impact. Lighting incorporates the usage of both counterfeit supplies
light like lights and lightweight apparatuses, likewise as common brightening by
catching light from the sun.

2. Music played in the background

Background music is that the art of sounds arrangement during a time in order that it
can produce a continuous, unified, and evocative composition, as through melody,
harmony, rhythm, tempo and timbre. it's also refers to varied sorts of music or also
referred to as soundscapes originally intended to not be actively listened to. it's can
also be said as supplement or additional features that are apply during a particular
situation or event. Background music that's usually played at a coffee volume and it's
not the most focus to be listened by the audience.

3. Colour

Colour and also referred to as hue is that the element of art that's produced when light,
striking an object and it's reflected back to the attention or in other words is that the
property possessed by an object of manufacturing different.
4. Visual Merchandising

Visual merchandising are includes the mixture of products, atmospheres

and spaces into an interesting and interesting displays and arranging goods
and merchandise assortments within a store to enhance the layout and store
appearance.

5. Customer Experience

Client experience is that the whole of all experience a client has with a
provider of merchandise or administrations, over the term of their
relationship with the provider. This viewpoint incorporates the client's
mindfulness, revelation, fascination, cooperation, buy, use, exchange,
perception and interest.

6. Customer Behavioural Intention

Customer behavioural intention are often defined as a course of action, aim

and concern that a consumer brings to deal on a current or future purchase
activity. it's referred to as the theory of reasoned action which may be a
model for the prediction of human behaviour, feeling and attitude. it's also a
cognitive decide to perform a behaviour that has created through a choice or
decision process that focuses on beliefs about the results of the action.
 Chapter 2
LITERATURE REVIEW
2.1 Review of Literature

Raymond R. Burke and Alex Leykin ( 2007) well “explained the retail
shoppability because the power of the retail environment to translate consumer
demand into purchase with the numerous determinants for it as store layout ,
navigation, product profilation and presentation, defining the shopping attitude i.e
intentions for store entry and buy but retailers (often mistakenly) believe stocking
more products means selling more products. This has led to an explosion within the
number of products available in many retail channels. Store Atmospheric as a
crucial a part of the general merchandising strategy.

(Kotler 1973; Markin, et ale 1976)”. “Marketing researchers have come to

understand that if consumers are influenced by physical stimuli experienced at the
point of purchase, the practice of making influential atmospheres should be a
crucial marketing strategy for most exchange environments”

(Bitner, 1990; Donovan et al., 1994; Kumar & Karande, 2000; Turley &
Milliman, 2000). “This view is explained by the SOR paradigm, from the
environmental psychology, consistent with which environmental stimuli (S) are
processed by the organism (O), leading to behaviours towards or far away from the
individual in reference to the environment—response (R). consistent with
Mehrabian and Russell (1974) environmental stimuli influence the emotional states
of individuals represented in their PAD model with the dimensions P (pleasure), A
(activation) and D (dominance), and determine their behaviour so as to approach
(affiliation, exploration, purchase) or removal/avoidance (disinterest, not purchase)
of that environment. It is important to remind that the environmental stimuli of the
shop atmosphere are captured by consumers through the senses of sight (colours,
shapes, and sizes), hearing (music), smell (aroma, odour) and touch (softness,
temperature)”.
“Mehrabian and Russell’s (1974) seminal conceptualization is that the basis of
most researches on the impact of environmental factors on shopping behaviour.
They propose that the environment’s sensory variables, the environment’s
information rate (the amount of data within the environment), and individual
differences in people’s affective responses to the environment, successively induce
people to approach or avoid a particular environment. Mehrabian and Russell’s
model (1974) was tested on the retail environment by various authors” (for
instance,

Donovan & Rossiter, 1982; Donovan et al., 1994; Kenhove & Desdrumax,
1997) “and as a conclusion it had been found that consumer’s response to pleasure,
which represents what proportion the environment is pleasant or to not the
consumer, and activation that shows if it's challenging or not, were the most
outputs. In short, within a store, stimuli that cause positive emotional responses
also cause approach behaviours, and stimuli that cause negative emotional
responses, on the opposite hand, cause the behaviour of removal from the shop”.

“Kotler (1973) warns that even the atmospheres considered successful must
undergo a periodic review, as its influence declines over time, counting on the
purchasers getting used to it or the progress of competitors within the direction of
more efficient and new atmospheres. Complete reformulation of atmosphere isn't
an easy challenge, but it's the power to significantly alter the perception of the
buyer on the shop”

(Turley & Chebat, 2002). “The sensory system (consumer’s perception) has been
investigated since the start of consumer behaviour theory systematization”
(Solomon, 2008) and it's considered the “gateway of data surrounding the
individual as he perceives the planet around him. Vision, hearing, olfaction, palate
and tact are the senses that enable humans to know the planet, and that they bring
positive and negative feelings to a particular consumer experience. Thus, the
components present during a sensory retail environment emerge as tools for the
supply of experiences to consumers, which may bring competitive advantages if
worked differently and consistently with the market segments targeted”.
Kaltcheva and Weitz (2006, p. 109) have discussed in their paper “when a retailer
should create an exciting store environment, and used three basic constructs for this
to happen: motivational orientation, arousal and pleasantness. consistent with them,
the arousal construct is employed to designate two somewhat distinct phenomena in
psychology. Objective arousal is defined because the release of energy collected
within the tissues, a variable representing the extent of nonspecific physiological
response. Subjective arousal is defined because the subjective experience of energy
mobilization”.

Mehrabian and Russell’s (1974) “framework involves subjective arousal. These

authors define arousal as an affective dimension starting from sleep to frantic
excitement and use a self-report scale to live it”. "Pleasantness is characterized in
light of the fact that the decadent valence (charming or upsetting) of the full of
feeling reaction to a boost; it is bolstered the degree to which the upgrade (the
object of the full of feeling reaction) empowers individuals to know their striking
objectives. Upgrades that encourage objective accomplishment are experienced as
wonderful, though boosts that block objective accomplishment are experienced as
horrendous” (Kaltcheva and Weitz, 2006).

To Kotler (1973), “a product goes beyond the tangible aspects normally related to
it, adding several other items, including a planned environment, a package that
constitutes the true product perceived by consumers”. Kotler’s (1973)” store
atmosphere impact on the acquisition probability is presented in the causal chain
connecting atmosphere and purchase probability”.
1. “Buyer’s perception related to sensory qualities of the space”.
2. “Effect of perceived sensory qualities on modifying buyer’s information and
effective state”.
3. “Impact of buyer’s modified information and affective state on his purchase
probability”.
4. “Sensory quality of the space surrounding purchase object”.

Source: Kotler (1973, p. 54).

2.2 Dimensions of Store Atmosphere

While looking at some the theoretical dimensions of store atmosphere we come

across-

1. Store Atmosphere

According to Levy and Weitz (2009), “store atmosphere is referred because the
attribute that aims to accentuate the shop environment with the mixture of various
cues like lighting, colour, background music, layout, space, design and scent. The
store atmosphere seems ready to affect customer feeling and experiences”.

Besides, According to Milliman, (1986) “categorized atmosphere as a term that's

wont to explain customer feeling towards the shopping experience which cannot
always be seen. When the customers receive fantastic experiences while visiting a
store, then, they're going to pass a positive word of mouth to their closed peoples
like friends and families. The percentages of the customer to return back to the
shop also are high since they were comfort with the shop environment”.

Additionally, Kotler (1973) was “the primary one that used the atmosphere term
described it because the design of store environment which will stimulate buyers’
emotions and ultimately affect their purchase behaviour about that.” Developing a
robust positive atmosphere has become important to the businesses to sustained
competitive advantage.

Birtwisle and Shearer (2009), has stated that “research about the shop atmosphere
has allowed retailers to make positioning strategies, develop store image and
enabled them to differentiate their stores in terms of the products and services on
offer. A dynamic store atmosphere also typically form a positive impression of a
mercantile establishment through various method of communication like word of
mouth, personal experience, advertising, recommendation then on” (Estelami et
al,2006).
Sirgy et al. (2000) suggest that “an honest combination atmosphere factors during
a store can create a positive consuming context and generate positive perceptive
emotions about the store among consumers”. “Store environmental factors can
influence the subjective feelings experienced by consumers within the store and
influence the shopping experience, consumption amount, perceived quality,
satisfaction, and shopping value” (Babin &Attaway, 2000). Therefore, a pleasing
store atmosphere can affect the time consumers spend within the store.

Based on Hu and Jasper (2006), “store atmosphere also gives impacts on the
customer minds. From years ago, store displays were mainly used just for the
promotional purposes. However, as customers nowadays became more
sophisticated and knowledgeable, store managers have discovered new roles for
effective atmosphere”. “The latest, store atmosphere play roles like communicating
product information and store image, assisting consumers in making purchase
decisions and make exiting shopping experience. Moreover, customers perceived
that they might be more likely to come a store that have more in-store displays
along side high graphics dimension and user friendly meaning” (Mitchell &
Oppewal, 2009).

2. Colours and Store Atmospherics

Bellizi et al. (1983) argue that “meaning is obtained through symbols. The
communication occurs when symbols are exchanged between the source and
receiver. Communication in marketing typically involves many symbols, forms of
words, objects, sounds and colours so as to supply meanings. the colours produce
different reactions in individuals (biological, emotional, and draw attention to an
object). Thus, following the psychology outlines, retailers try to use colours to
bring consumers to a mood state that results in product purchase”.
Bellizzi and Hite (1992) tested the consequences of red and blue during a
shopping-related context. consistent with the authors, “red is perceived as negative
and tense also as physically arousing. On the opposite hand, blue was identified as
calm, cool and positive”. The study of those authors has proved the physical desire
offered by colours, which is relevant to retailers, who must plan their promises so
on be attractive to customers, so as to supply an interesting shop experience.

Crowley (1993) “studied the impact of colour on shopping and perceived that its
effects are described as a function of colour wavelength. Evaluative effects are
most positive at the short wavelength (blue) end of the colour spectrum, while the
activation response engendered by colour exhibits a U-shaped pattern across
wavelengths”.

During this sense, Babin, Hardesty and Suter (2003) examined “the relation
between colour and shopping intentions and therefore the findings indicated that
there are several consumer reactions with the three-way congruence between a
store’s environmental cues, consumers’ cognitive categories representing known
store types, and salient situational shopping motivations”,

Bellizi et al. (1983, p. 41), “warm colours seem to be more preferred in attracting
potential customers closer to the windows”.

“According to Kouchekian (2012), many past researchers are administered a study

about the physiological effects of colour towards the customer. it's disappointed
when there are still many retailer didn't aware or didn't know the utilization of
colour psychology in their business. Colour features a powerful subconscious effect
on every a part of human lives” (Zalanski, Paul & Fisher, 1989).

“Being understood about the meaning of colour especially in business gives the
shop manager a useful tool to make a successful business by do the marketing,
promotional efforts and receives best customer experience and feedback.
Colour are often defined because the visual perceptual property corresponding in
humans to the base categories that we called primary colours which are red, blue,
and yellow” (Bellizzi, 1992).

“Colour derives from the spectrum of sunshine interacting within the human eyes.
With colours the retailers can set mood, attract attention, and also make statement.
Colours can also use to energise and also to chill down. By selecting the proper
colour scheme, the shop manager can create an ambience of elegance, warmth and
tranquillity and convey a picture. So, to form it simple, colour are often the retailer
most powerful design element if they learn to use it effectively” (Kemmis, 1998).

“The advantage of getting a neutral or earth store colour, it are often adapted to any
style, from traditional, country and contemporary. Earth tones and therefore the
warmth of wood and stone and along side the patina of varied metals are the set of
the harmonious mood (Annemiek, 2008)”. “By employing a neutral colour as the
store background, it can facilitate the shop manager to embellish the shop when it
come to the seasonal month like Holi celebration, New Year, Deepavali,
independence day, Christmas and more” Chebat & Dube, 2000).

3. Music and Store Atmospherics

“Playing the suitable background music can help retailers develop a desirable
atmosphere, which contributes to the image of the shop and consumer choice.
How can the background music help consumers fill their shopping needs? the
solution is simple: playing the right kind of music, for there's evidence that this
features a direct impact on consumer behaviour” (Harrington & Capella, 1994).
“Attempts to elucidate this phenomenon results in discussion of individual models
of interaction with the environment, where people respond both voluntary and
involuntary to environmental stimuli”.
Harrington and Capella (1994) discuss the “sensible implications of music in
retail environments and services, highlighting the varied features of music
(emotional and physical) that has the potential to evoke desired behaviours in
individuals. Some studies have shown that atmospheric music can: increase sales”
(Matilla & Wirtz, 2001); “influence purchase intentions” (Baker et al., 2002),
“increase the time to shop for and hold” (Milliman, 1982); “decrease the
perception of buying time and waiting” (Chebat et al., 1993), “influence the speed
of consumption of a meal in restaurants” (Milliman, 1986); “influence consumer
perception of a store” (Hui et al., 1997); and “facilitate consumer official
interaction” (Dube et al., 1995).

Recently, “some studies have examined the role of environmental background

music and its importance within the buyer purchase” (Chebat, Chebat, &
Vaillant, 2001; Alpert, Alpert, & Maltz, 2005; Eroglu, Machleit, & Chebat,
2005; Morin, Dubé, & Chebat, 2007; Vacaro et al., 2009).

“These works have advanced and contributed to understanding the connection

between consumer perceptions and their responses on the products, behaviours
intentions, store image then on. Although these finds have implications for
academics, it's not been systematically applied within the world”. Based on Yalch
(1993), “background music is that the art of arranging sounds continuously,
unified, and evocative composition through the melody, harmony, rhythm, and
timbre.
It consists of varied sort of music and soundscapes primarily intended to be
passively listen and listen to by the shop visitor. There are many studies show that
background music in a mercantile establishment can inspires customers to shop for
and make their shopping experience more pleasant. A store can simply create the
mood, ready to stimulate the customer’s mind with install the proper music.”
“Since years ago many retailer set a background music in their store because the
power to enhance the shop atmosphere.
Besides, music is popularly referred to as the influence factors of customer’s
emotion and behaviour” (Milliman, 1982).

“Compatible background music means the shop played the proper music at the
proper time which is depends on situation and season to make positive impact on
the customer experience” (Ruchi et al, 2010). “A lot of studies state that
background music is capable of evoking spirit , leaving an enduring impression and
behavioural responses in consumers” (Matilla & Wirtz, 2001). supported
Kulkarni (2012), “retailer should carefully select musical genre , style and tempo
from their marketing toolbox”.

Morrison (2001) stressed that “playing classical background music can influence
the choice making instead of the merchandise itself. It also can create prestigious
store atmosphere, resulting in a customer perception of luxury merchandise”.

According to Milliman (1982), “rather than arousing the customer’s feeling, background
music also one among the effective tools to speak with customers in non verbal
way”. “Playing a cheerful and upbeat background music can creates customer’s
enthusiasm towards particular products while or slow music ready to create high
purchase decision and intention” (Alpert et al, 1988).

4.Smell and Retail Environment

According to Gulas and Bloch (1995), “the olfactory stimulus has relevancy to
consumer behaviour in two ways: the specific object smell and therefore the smell
of the environment itself”. “Smells emanated by objects or products are often a clue
to the buyer quality and attribute evaluation of those objects, especially those where
the smell may be a major factor, like food, beverages, cosmetics and cleaning
products” (Milotic, 2003).
“The smell in these environments could also be from the merchandise or not, since
the technology is now enabling the utilization of artificial smells” (Bosmans,
2006). “Unlike the smell coming from the merchandise, the environmental aroma
can influence the reactions to any product sold during a store, even those which
might be difficult or inappropriate to feature a man-made scent. consistent with”

Baker and Parasuraman (1994) “individual characteristics like age, income,

gender and culture are often determinant of how people associate quality and
atmospheric elements”.

For some researchers (e.g., Donovan & Rossiter, 1982; Mitchell, 1994;
Bosmans, 2006), “the smell is primarily an environmental stimulus, whose
influence on the buyer goes far beyond the communication of attributes or
qualities of products consistent” with Mitchell (1994), “matching environmental
scents can cause emotions and memories related to rescue of the shop and
therefore the product sold, encouraging the acquisition , while incongruous smell
can trigger emotions and recall irrelevant memories, not compatible with the shop
and products, and negatively affecting the acquisition context. the consequences
of smells in retail environment were analysed and located to valuation and
behaviours differences in some atmospheres with and without scent, serving as
guidelines for managers in retail and repair establishments that highlight the
advantages of using scents within the store ambiance” (Spangenberg, Crowley,
& Henderson, 1996). “The olfactive cues can exert a robust influence on the
buyer responses associated with a selected store atmosphere”.

Bone and Ellen (1999) argued “that retailers, once perceiving the facility of
olfactory stimulus have searched competitive advantage throught this variable”
(Herrmann et al., 2013). For Morrison and Ratneshwar (2000), “a store that
presents smells that are pleasant is best evaluated by the buyer. the utilization of
perfumes within the environment or odours within the atmosphere as means of
influencing human behaviour seems to be growing” (Morrin & Ratneshwar,
2000, p. 157).
 “Chebat and Michon (2003) tested the effect of ambient scents during a mall
environment and conclude that the cognitive theory of emotions better explains
the effect of ambient scent. Smells emanated by objects or products are often a
clue to consumer evaluation of the standard and attributes of those objects,
especially those where the smell may be a major factor, like food, beverages,
cosmetics and cleaning products” (Milotic, 2003).

To Bosmans (2006) “odours present in stores are often derived from the sold
product, but not necessarily, since todays’ technology allows the utilization of
artificial odours. Viewing the impact of store atmospherics on behaviour
intentions, it's further noted that favourable environment can motivate behavioural
approaches, like the will to remain , shop around and find out the environment,
and to communicate with others within the environment, while unfavourable
environment might direct to adverse effects of approach behaviour which is
avoidance.”

4. Lighting and Retail Environment

“Lighting are often referred because the act of enhancing or illuminating, the
sunshine arrangement to create particular effects, an effects occurred by the
arrangement of lights, and therefore the way light falls upon a face, objects,
products etc, during a various situation” (Freyssinier et al,2006) supported Taylor
(2006), “lighting may be a key design element that contributes to the identity,
comfort, and visual quality of a mercantile establishment” .

Reports from Varley (2006) stated that, “a high contributor to an appeal store
atmosphere is that the lighting used. For many specialty stores, the lighting design
reflects the store’s image and as a tool to feature the store’s merchandise and
business selling strategy”.
According to Hoyle (2003), “a successful lighting at any mercantile establishment
and business environments has the potential and probability to dramatically affect
sales since lighting can increase the ground traffic, create visual interest, bring
effect to the colour of merchandise and ready to direct the customer browsing the
shop either deeper”.

Based on Perney (1974), “ideal store lighting can draw the customer’s attention to
observe the products particularly”. “Mehrabian et al (1974), also stated that the
lighting which also one among the environmental psychology can bring impact to
the customer’s emotion and knowledge .

Usually, retailer provide a bright lighting in their store because, with this
conditions, products are more often examined and touched compared to the ‘dim
lighting’ conditions. Lighting can also influence the attractiveness of products
during a store” (Magnum, 1998). within the customers’ eye, products with high
light levels were found to be more captivating than products with lower light levels.

Donnovan et al (1994), “also stated that a bright light and compatible background
music can increased consumer arousal and their enthusiasm”. For the attitude of
Vaccaro (2008), “proper use of sunshine is another method to draw in customer
attention on specific products, capture certain experience and also hide any retail
weakness and error.

Occasionally, hiding some parts of store to make sure those the dark areas are a
technique to maintain good store image”. In fact, “store lighting can influence the
consumers’perception, emotion, cosiness and knowledge of store image” (Banat,
2012). Besides, “lighting can also give impact on consumer’s cognition, value and
eventually the acquisition decision making. Lighting during a store didn't only
specialise in the sunshine itself, natural lighting from the glass windows also plays
its own role during a store.
In automotive industry, most of the retailer chose to possess more natural lighting
by having an outsized glass windows setting in their store. People increasingly
prefer naturalness as possible, which may be reflected in important aspects like
quality” (Zumtobel, 2012).

6.Product Display

Based on Kouchekian & Gharibpoor (2012), “Visual merchandising plays many

important roles in retail sector. It includes the activity of enhancing the products
presentation, support brands, increase store traffic and sales and adds visual
excitement, by having strategic arrangement and illuminated the focal destinations
during a store atmosphere.”

Based on Pillai et al (2003), “visual merchandising is that the presentation of a

store and its merchandise to the customer through the teamwork of the store’s
advertising, display, decoration, merchandise arrangement, special events,
showroom coordination, and merchandising departments so as to sell the products
and services offered by the shop” .

“Visual merchandising is becoming more and more important in giving a store

competitive edge, since many stores share merchandise sources and thus carry
similar items. In other words, good visual merchandising gives the merchant an
invaluable competitive edge also as defining a store’s personality in today’s
marketplace” (Mills et al, 1995).

Based on Moormann (1995), “visual merchandising must attract and hold the
passerby until it can arouse the interest from the purchasers . If a display is
sufficiently surprising and unusual, a possible customer will view it more closely”.
Kim (2013) said that :visual merchandising can heighten the shop images and
increase sales efficiency.
so as to have an honest visual merchandising, the retailer must establish a special
strategy like create an enjoyment store atmosphere and organize the merchandise
within the store effectively. Visual merchandising is integrated with the entire
planning and operation of a store”.

In addition, “top level executives like store planning director and therefore the
visual merchandising director who are those that responsible to satisfy with the
company executives of a corporation to work out such things like the company
image, changes of physical facilities, seasonal projections and various other
retailing innovations” (Paul et al, 1995).

7.Customer experiences

“Every business provides a customer experience. that have could also be good, bad
or indifferent. Customer experience are often defined as a sum of all experiences
and perceptions a customer has while purchasing goods or services with a retailer
supported all interactions and thoughts about the business. In other words, it's a
private experience whether conscious or subconscious while having a transaction
during a store” (Gilboa et al, 2003).

“Customer experience consists of awareness, discovery, attraction, interaction,

purchase, communication, and emotion. When a retailer success to deliver and
create different experience to the purchasers, the probability for the customer to
spend within the store are high. Besides, experience can also inspire loyalty to the
purchasers” (Richardson, 2010).

Based on SAS Institute (2013), “customer experience refers to the practice of

designing and reacting to customer interactions to satisfy or exceed customer
expectations and thus increase the customer satisfaction, loyalty and advocacy.
Good customer experience management can strengthen the brand and store
preference through different experiences, boost revenue with incremental sales,
improved the customer loyalty through valued and memorable store atmosphere,
and can also lower the value by reducing dissatisfied customer”.
Based on Johnston & Kong (2011), “customer experience also a phrase wont to
describe the relationship a customer has with a business. Customer experience also
an integral part of customer relationship management (CRM), and it's important to
company because customers who have positive experiences tend to become repeat
and constant customers of a business.” “Many previous studies stated that
regardless of the product or service that a business offer to the customer to shop for
or receive, that customer will have the experience whether it good, bad or
indifferent” (Johnston & Kong, 2011).

“There is a problem that companies cannot fully control experiences, because

experiences inevitably involve perception, feeling, emotion, and unexpected
behaviour from the customers. consistent with Yoo, C.J., Park J.H., & Maclnnis
D.J. (1998), to deliver customer experience, the shop manager has got to know the
customer better than ever before. meaning creating and maintaining complete
customer profiles that help managers to know and measure the customer’s
experience when handling a business transaction. The more relevant the business’s
offer, the closer the connection between the business and therefore the customer”
(Yoo et al, 1998).

8.Customer Behavioural Intention

“Customer behaviour intention is driven by the mixture of attitude toward the

purchase behaviour and individuals’ beliefs and motivations toward the customer
behaviour” (Burnkrant & Page Jr, 1982).

“In retail perspective, the intentions usually will be determined by the customer
willingness to remain longer within the store, their willingness to repurchase within
the future and provides the opposite peoples recommendation and good word of
mouth to go to and buy at the shop” (Baker et al, 2002).
A model suggested by Mehrabian & Russell (1974), “which is that the S-O-R
model, it is about the customer behavioural response are from the customer’s
intention to approach or avoid a particular environment and it's also called as
approach-avoidance behaviours”.

“Approach behaviour occur when the customer show a positive response like
willing to stay longer within the store, explore, interact, identify within the
environment, having an honest impression on the environment and shall return and
are available to feel the environment again” (Han, 2011).

A previous study from Grewal et al (2003), “there are important relationship between store
environment cues, store choice criteria and therefore the store patronage intention”. “As
stated by Grewal at al. (2003), they need identified several amount of control over factors
that can contribute to consumer’s patronage intention. The factors include the social factors,
design factors and also the ambient factors” (Grewal, 2003).

“Store managers can creatively design the layout of the shop and displaying the merchandise
in attractive way to give positive reaction and perception from the customer when being at
the retail store. additionally, the shop manager can also enhance the store’s atmospherics
through visual communications, lighting, colours and odour” (Kouchekian et al, 2012).

“Consumer behaviour may be a study about the way or attitude of the buyer when it
comes to purchase or spending pattern like how, what, when, and why they buy. It
is a combination from various elements which are psychology, sociology, socio
psychology, anthropology and economics. Besides that, it attempts to know the
buyer decision making process. The study also includes the buyer characteristics
like their demographics, psychographics, and behavioural variables so as to know
the consumer’s want” (Sangvikar & Katole, 2012).
Based on Kang et al (2010), “interesting environmental factors like pleasant
background music, fresh scent, bright light and soft fabrics evoke pleasure and
arousal which is cause patronage intention. Behavioural intention also includes the
buyer willingness to shop for , spending longer and money, revisit intention, having
thought to recommend other peoples and trusting the environment component
values” (Wakefield & Brodgett, 1996).

“Behavioural intention become a robust predictors of actual behaviours have

thoroughly been researched. supported Kang et al (2010), 45% consumers are
driven to go to a mercantile establishment by recommendation by other peoples
like family and friends”.
 CHAPTER 3
RESEARCH METHODOLOGY
3.1 RESEARCH OBJECTIVES-

To measure the impact of different store atmospherics on consumer’s attention,

perceived value and purchase intention. To measure the impact of different visual
communications used on consumer’s attention, perceived value and purchase
intention:

1. To identify environmental stimuli influence shopping behaviour.

2. To identify the influence made by the Lighting and design layout on consumer’s
store choice decisions.

3. To find out the influence made by Product Display to encourage

customer’s buying decisions

3.2 RESEARCH QUESTIONS

1. What are the various atmospheric factors which affect the consumer
buying behaviour?

2. How important is an ambience of a store to retain a customer for a

longer time while they are shopping?

3.3 RESEARCH DESIGN

The research design going to be used is descriptive research design because I

want to do the in-depth analysis on retail atmospherics’ influence on consumer

buying behaviour. I have chosen this research design as it contains both

qualitative and quantitative data.

It does not give the answer for how, when or why the behaviour is happening.

Rather it answers what the behaviour is. It gives us the answer to what is the

market size, who are the consumers, what do they think about a brand, and

generally the respondents’ opinions on certain things.

3.4 RESEARCH DATA COLLECTION METHOD

It is the process of gathering all the information that is required for conducting the
research. For this research, I have decided to use primary data as well as
secondary data.

Primary data: Primary data is the first-hand data or rather the raw data. It is
collected by the researcher using various tools like surveys and interviews. It is
collected from a sample population. The source of primary data that I will be
using is a Questionnaire. According to Naresh (2010, p. 132), “primary data are
going to be organized for the precise purpose of addressing the matter available.
the first data which will be used is questionnaire survey whether by online or
manual. While distribute the questionnaire, the researcher need cooperation and
clarification from the respondents”.

Besides that, “primary data refer as first hand information or data obtained
originally by the researcher on the variables of interest for the precise purpose of
the study” (Sekaran & Bougie, 2009, p.180).
 Secondary data: Secondary data is the data which has been already collected in
the past by someone else. The source of secondary data that I will be using is
various Research Papers and Articles. According to Sekaran & Bougie, (2009,
p.184), “secondary data ask information gathered by other party that already
conduct a previous study. It helps researchers to urge better understand and define
the issues . to get secondary data, the previous researchers’ study are often
obtained through online journal databases like ProQuest, EBSCOhost, Emerald
Journal, Malaysian Thesis and other available databases which are available in
Universiti Teknologi MARA (UiTM) online databases. Furthermore, the relevant
articles and other sources through internet and online library are aiding within the

research. It requires inexpensive cost, time consuming and energy to the

researcher. The advance of technology helps tons find resources especially the
web”.

3.5 SAMPLING TECHNIQUE

The sampling method that I have used in the research is called convenience

sampling. Convenience sampling refers to the method in which the data is collected

from consumers who are close to the researcher or the from respondents who are at

the researchers reach. The sample size of the study is 100. And the method by

which I have collected data is Primary Method.

 Chapter 4
FINDINGS AND ANALYSIS
Question1) The Age of the respondant

Out the interviewed people, 20% of them are below the age of 20 years. The maximum of
them of being between the age of 20 years to 40 years at 74%. The rest of the people aged
above 40 years at 6%.
Question2) Occupation Of the respondant?

83% of the respondents were students, 7% of them had their Businesses, 7% were working

or were self employed and rest 3% had some other occupation.

Question 3) Do you prefer to shop from retail outlets?

From the above pie chart we can see that 77% of the respondents prefer to shop from retail
outlets, 15% of them do not prefer it and 8% of them sometimes considers to shop from
these outlets.
Question 4) How frequently do you shop from a retail outlet?

40% of the total respondents like to shop from a retail outlet on a monthly basis, 39% of

them like to shop on an average weekly basis. Whereas, 21% of the people interviewed like

to shop on an occasional basis from the retail outlets.

Question 5) Which type of retail outlet do you prefer?

Out of the 100 respondents, 59% of them like to shop from Shopping Mall Based
Outlets, and 41% of the people prefer to shop from Single Store Based Retail Outlets.
Question 6) What are the main factors you consider while choosing a retail outlet to shop
from?

People most commonly chose Availability of Items at 62% for the main factors they

consider while choosing a retail outlet to shop from. The other factors being Location
which was chosen by 54% of the people. 44% people chose accessibility as an option,
37% of people considered Customer Service, Promotional Offers mattered to people so

42% of them chose this. Store Ambience mattered to 27% of the total respondents as a
factor they would consider while shopping from a retail outlet.
Question 7) Does the store lighting influence your buying behaviour?

52% of the people interviewed said yes to whether store lighting influences their buying
behaviours or not. For 24% of the others left it didn’t matter. And for the remaining 24%
they may or may not consider this as a factor which could influence their buying
behaviour.
Question 8) Does the colour themes in an outlet affect your purchase decisions?

45% of the people agreed to the fact that Colour Themes in an outlet affect their purchase
decisions. For 35% it did not affect their decisions, the rest 20% has probable chances
either way.
Question 9) How the visual merchandising (product display) played a role in your buying decisions?

64% of the people interviewed agree that Visual Merchandising play’s a role in their
buying decisions. 16% of the people don’t believe that this affects their buying
decisions. For the rest 20% it may or may not affect their buying decisions.
 Question 10) Does the background music played in an outlet affect your choice of
bullying and choosing the outlet?

41% of the respondents think that Background Music plays a role in their choice of retail
outlets. 35% of the others disagree to the same fact. 24% think that it may or may not
affect the respondent.
Question 11) Which type of retail store layout would you prefer to shop in?

35% of the people interviewed prefer Loop Store Layout, 35% of them prefer a
Straight Store Layout, 22% prefer shopping in a Grid Store Layout, rest 8% like the
Forced- Path Store Layout.
Question12) Does the overall Store Aesthetics affect your buying behaviour?

61 % of the people interviewed think that the Aesthetics of a retail store affect their

buying behaviour. For 22% of them aesthetics do not matter while they are shopping.

Rest 17% of the people think that it can affect them sometimes.
 STATEMENTS
60
54 54
50
50

41
40
32
30
26

20 17
14
9
10
3

0
The lighting allows to examine products Level of brightness makes comfortable Combination of natural lighting affects
better. buying behaviour

1. 32% of the people interviewed strongly agreed that the lightning allows them
to examine products better, 54% of the total agreed to the same fact, whereas
the rest 14% were neutral to this statement.

2. 41% of people interviewed strongly agreed that the level of brightness makes
them comfortable while shopping in retail outlets, 50% of people also agreed
to this fact, 9% people were neutral to this anyways.

3. 26% of people interviewed strongly agreed that the combination of natural

lighting affects the buying behaviour, 54% of the total also agreed too this fact,
17 % were neutral to this and 3% also disagreed to this statement.
 STATEMENTS
60
52
50
44
39
40
36
33

30

21 21 21
19
20

10
4 3 3 4

0
Warm Lighting is better thanother Shades The rhythm of backgroundmusic affects Appropriateness of musicvolume affects
buyingbehaviour buyingbehaviour

Strongly Agree Agree Neutral Disagree Strongly Disagree

1. 44% of people interviewed strongly agreed that the warm lighting is better than other
shades, 33% people also agree to the same fact, 19% of the total were neutral about
this fact. 4% of the people also disagreed to this fact.

2. 21% of people interviewed strongly agreed that the rhythm of the background music
affects the buying behaviour for them. 52% of the people also agreed to this
statement, 21% of the total were neutral about this statement, 3% of the total
disagreed and 3% of the total also strongly disagreed to this statement.

3. 39% of people interviewed strongly agreed that the appropriateness of music volume

affects buying behaviour, 36% of the total also agreed to the statement, 21% of the

total were also neutral to this fact, and 4% disagreed to the statement.
 STATEMENTS
60
53

50
46
41
40
32
30 27
24 23 24
20
20

10
4
2 1 2 1
0
The rhythm of background music can affect The tempo of the music makes customer Music can enhance interestof the customer
the customers buying decisions want to stay longer

Strongly Agree Agree Neutral Disagree Strongly Disagree

1. 20% of people interviewed strongly agreed to the statement that the rhythm of
background music can affect the customers buying decisions. 53% of the total
agreed to the same. 24% of the total were also neutral about this, 2% of the people
disagreed to this, and 1% of the people strongly disagreed to it.

2. 41% of people interviewed strongly agreed to the statement that the pace and beats
of the music makes customer to be at the retail outlet for longer while shopping,
32% of the total agreed to this, 23% of the people interviewed were neutral about
this, whereas 4% of the people disagreed to this statement.

3. 27% of people interviewed strongly agreed to the statement that the music can

enhance the interest of the customers while they are shopping at the retail outlets.

46% of the total also agreed to this statement, 24% of the lot reacted neutrally to

this, 2% of the people disagreed to this fact, and 1% strongly disagreed to this.
 STATEMENTS
70

58
60
53
50
45
40
40

28
30
24 23
20
14 13
10
1 1
0
Frequency Percent Valid Repeat Purchase Influence others to come and buy

Strongly Agree Agree Neutral Disagree Strongly Disagree

1. 24% of people interviewed strongly agreed to the statement that the frequency of
their visit to an outlet is affected by the atmospherics, 53% of the total also agree to
the statement, and the rest 23% are neutral on this statement.

2. 40% of people interviewed strongly agreed to the statement that they will again
shop from an outlet in the future if they like the atmospherics out there. 45% of the
total also agree to this fact, 14% of the total have a neutral view on this statement,
and 1% of the total people interviewed also disagree to the same.

3. 28% of people interviewed strongly agreed to the statement that they will

recommend other people to come and buy from a particular retail outlet if they like

its ambience. 58% of the people also agree to this statement. Also 13% of the

people have a neutral point of view on this, whereas 1% strongly disagree to this

statement.
 STATEMENTS
60
55

50
43 43 44
42
40

31
30

20
15 14 13

10

0
The atmosphere success to create positive The atmosphere help in making decision The atmosphere comforts to stay long
image to thestore

Strongly Agree Agree Neutral

1. 42% of people interviewed strongly agreed to the statement that the atmosphere

succeeds to create a good view of the store in front of others. 43% from the total also

agree to this statement whereas only 15% of the total interviewed are neutral about this

fact.

2. 31% of people interviewed strongly agreed to the statement that the atmosphere of the

store helps them to make decisions while buying, 55% of the total also agreed on a

lighter term to this statement. 14% of the total had a neutral view on this statement.

3. 43% of people interviewed strongly agreed to the statement that the atmosphere
comforts to stay long at the retail outlet. 44% of the people are at par where they also
agreed to this statement whereas 13% were neutral to the statement.
 Chapter 5
CONCLUSION
 From the Study done above, we are able to identify what role does a retail outlet’s
atmospherics have on their consumer’s buying behaviour. After studying the various
answers of the people, we can say that it has a strong and positive effect overall in the
minds of the consumers.

 To start with the basic part, it was seen that maximum people in a given audience like

to shop from the retail outlets. And the rest of them who are not on the favour of this

go towards online shopping where if we see they go to save some time on shopping.

 But maximum people will prefer a retail outlet as they have a physical presence there

and they can have an experience while shopping and they can feel assured that

someone is always present there to cater their needs. So, they feel a kind of a personal

touch while they are present at a retail outlet.

 People generally prefer a Shopping Mall Based Retail Outlet over a Single Store Retail
Outlet because of its location and their accessibility to other outlets so that they can
browse for more options if they don’t find one single outlet suitable to satisfy their
demands. But some people tend to choose a single store retailer because for some
products for daily use or due to distancing they would like to go for it. Accessibility to
these outlets are also a major factor to be kept in mind while choosing a preferred
outlet.

 Some of the main factors which affect the choice of the consumer are Availability of
Items, Location of the outlet, Accessibility to the store, Customer Service provided to
the customers, Promotions and Offers, and Ambience.

 When we come to the lighting part of the atmospherics in a retail outlet, we can see
that for majority of the people it is a of a great concern while they are shopping in a
retail outlet.
 This is because light is one of the main factors in a store which is used to highlight the
products and give guidance to the customers while they shop. The customers look for
the perfect lighting on the products which help to them to clearly look at a product
before buying them and so that they can clearly read the labels and the details of the
product. The level of the brightness of the lights is also of a severe concern where it
shouldn’t be too much dim nor should it be very bright.

 It should have an optimised brightness level which is maintained throughout the retail

outlet so that uniformity is there while the customer is shopping for their products. A

combination of these store lights with Natural lights will also help a store to flourish.

Some retail outlets which maybe showrooms having glass walls and windows will get

help from natural lighting to showcase their products. And also, some people love

natural lights rather than artificial lighting which help them shop in an outlet. We also

found out that if the store has a warm lighting placed in it, customers will prefer to

shop in it more than other kinds of outlets so will tend to keep a more yellowish shade

of light inside the store as they give the customers a warm reception inside the store so

this in order makes them stay inside the store a bit longer.

 Through the questionnaire we can also see that the colour combinations and the overall

themes in a retail outlet do affect the consumer’s buying behaviour. Majority of the

people agreed to this statement. The colour should have a good, dynamic and a trendy

coordination in order to stay updated and so that it can give an overall good look to the

store. Colour Combinations should also be well chosen so that it doesn’t go to look out

very odd distracting the customers. The colour combinations chosen should be

according to the theme desired by the retail store and it should be in such a

combination that can create a desire in the customer to buy more products from that

outlet. If it is a chain of outlets, the colour combinations should be well chosen

keeping in mind all the various factors as, it is to be kept uniform in all the outlets.
 Next Up is the Visual Merchandising which refers to the product display, it is very
important for the stores. This is because if the product offerings are not well
showcased to the customers then how are they going to know about it. The more the
customer is made aware of inside the store and has more products in vision it will in
turn give rise to the sales revenue for the retail store. Majority of the people we
interviewed agreed to the fact that Product display plays an essential role in their
buying behaviour. It was also found out that Visual Merchandising creates a
confidence in the customer’s mind while they are shopping because they will feel that
they are at an outlet which will guarantee to serve them with the products they are
looking for exactly in turn catering to their needs. The product displays also need to be
very convincing and easy to handle by the customers where they have everything in
sight so that even the smallest of the items on offer shouldn’t go unnoticed by the
customers.

 Next, we move on the Music being played in the background in a retail outlet and its

effect on the consumer’s buying behaviour. As a result of the study we found out that

the Background Music being played in a retail store can influence a customer’s mind

while they are shopping. There are factors like the genre of the music, the tempo of the

music, the loudness of the music which affect the shopping behaviour of people. While

shopping it was found that people prefer an outlet which has Background Music

playing over an outlet which doesn’t has music. The music being played in an outlet

should be very rhythmic to attract the consumers, it should have an appropriate volume

which is not too loud nor too low, the tempo of the music should be very constant,

neither very upbeat nor too slow. The study has showed that the right choice of the

artists and songs according to the kind of retail outlet will enhance the interest of the

customers while they are shopping in these outlets.

 Next up, people were asked about what kind of Store Layout do they prefer in a retail

outlet to shop in. Maximum answers came in favour of a Loop based store outlet so

that people could go back to any department they missed while they were shopping

without creating a stoppage in the flow of the other customers who are next in line.

This was followed by a Straight Store Layout and a Grid Store layout. What the people

least preferred was a Forced Path Layout. A retail outlet also needs to take care of its

floor plan so that it doesn’t feel congested to the customers while they are shopping

and so that they can space for free movement.

 If the point of decorations is taken up, it is very important for a retail outlet to be

dynamic and look out for temporary decorations during any events or celebrations

such as Holi, Christmas, New Year, Diwali, Independence Day and should accordingly

put decorations in their retail stores. This will help the customers to have an essence of

the events even while they are shopping in these retail outlets.

 According to the study we can see that people also believe in Aesthetics so the retail

outlets will also have to cater to these needs. The overall aesthetics of the store should

be appealing to the customers who shop in the retail outlets.

 The overall research shows that, the atmosphere of the store leads to create a positive
image of it in the minds of the customer which is very true. The overall atmosphere of
the store also helps the buyers to take decisions while they are shopping. People in
general look out for chilled out, and relaxed environment while they are shopping and
disturbances in that environment will affect their purchase decisions while they are
shopping. So a nice and quiet surrounding should be ensured for the customers while
they are shopping. This type of environment will also help a customer to stay longer in
that retail outlet.

 If the overall atmospherics of a retail outlet is good then, the frequency of the visits of
their customers will increase, they will comeback in the future again and also they will
recommend it to their known people which will in turn become a boon for the Retail
outlet.
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Consumer-Buying-Patterns.pdf?response-content-

disposition=inline%3B%20filename%3DRetail_Shoppability_The_Impact

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%20Atmospherics%20as%20a%20marketing%20tool%20%20(cit%C3%

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APPENDIX
 Questionnaire

Following Questions were asked in the questionnaire: