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VISUAL MERCHANDISING
THEORY
PRINCIPLES - DISPLAY MANAGEMENT - FUNCTIONING
Visual Merchandising Theory
PART – A
1. Understanding of Visual Merchandising
2. Visual Merchandising principles
a. Store Layout & Patterns
b. Display Parameters & Architecture
3. Retail & Visual Merchandising in a Theme Park
4. 10 Ways a store can turn-off customer
PART – B
5. Retail Stores
a. Site Layouts
b. Store Designs
c. Store Planogram
6. Fixtures
a. Types & Utility
b. Dimension
7. Display Management
a. Display Approach
b. Placement
PART – A
Understanding of Visual Merchandising
Visual Merchandising Theory
 First impression… on your potential consumer thru window, shelf,
aisle; helps them to spend more time!
 Sales Maximizer... once they spend more time, chances to spend
money too is high!
 Building unique identity… strategically presenting your products in
your retail space
 Accessibility… Making your retail space warm, friendly and
approachable
What's Visual Merchandising
 First impression is formed within the 1st 5 seconds!
 Research says 85% of consumers decide their buying at floor level!
 Present your retail space in a way that pulls consumers in & make consumer
to spend maximum time!
 Allow maximum LOV & channelize to relevant section!
 Product positioning (on shelf) to create unique identity for the
brand/category… make it appealing to consumers!
VISUAL MERCHANDISING –
Ground Facts & Principles
 Is a daily routine.
 Maintenance is much more difficult & critical than anything else
 Routine change is must to achieve freshness
 Make your product noticeable for consumer
VISUAL MERCHANDISING - Belief
VM THEORY – critical aspects
Best used in
super/hypermark
et retail
environment
Wall fixtures &
Gondolas are
placed in long
rows OR ‘runs’
usually at right
angles, throughout
the store
Easy to
merchandise, cost
efficient, easy
accessible
Store Floor Space… GRID TYPE
STORE LAYOUT
Heavily used by
big-sized
fashion/departme
ntal stores
ranging from
3,000 – 7,000 sft.
Exposes shoppers
to the greatest
possible amount of
merchandise by
encouraging
browsing and
cross-shopping
Store Floor Space… LOOP TYPE
STORE LAYOUT
Store Floor Space… LOOP TYPE… Example
Heavily used by
big-sized
fashion/departmen
tal stores ranging
from 3,000 – 7,000
sft.
Exposes shoppers to
the greatest
possible amount of
merchandise by
encouraging
browsing and cross-
shopping
STORE LAYOUT
Used by small-
sized specialty
stores ranging
from 500 – 1,500
sft.
Aesthetically
pleasing, Relaxing
& invites browsing
Bulk of stock –
straight racks,
gondolas & other
rounders
Feature areas –
windows, walls &
POS areas
Store Floor Space… FREE-FLOW TYPE
STORE LAYOUT
Store Floor Space… FREE-FLOW TYPE… Example
STORE LAYOUT
Used by small-
sized specialty
stores ranging
from 500 – 1,500
sft.
Aesthetically
pleasing, Relaxing
& invites browsing
Bulk of stock –
straight racks,
gondolas & other
rounders
Feature areas –
windows, walls &
POS areas
Heavily used by medium-
sized specialty stores
ranging from 2,000 – 7,000
sft.
Based on single main aisle
running from the front to the
back of the store
(transporting customers in
both directions)
In fashion stores the spine is
subtly as a change in floor
coloring or surface and is not
perceived as an aisle
Store Floor Space… SPINE TYPE
STORE LAYOUT
Heavily used by medium-
sized specialty stores
ranging from 2,000 – 7,000
sft.
Based on single main aisle
running from the front to the
back of the store
(transporting customers in
both directions)
In fashion stores the spine is
subtly as a change in floor
coloring or surface and is not
perceived as an aisle
Store Floor Space… SPINE TYPE… Example
STORE LAYOUT
Display Criteria– CRITICAL ASPECTS
IN-STORE DISPLAY
Parameters & Architecture
Good
Design
Story/Theme
Simple
Presentation
communication &
graphics
Integration
Color Usage
Color Blocking
Creating Band
Color Flow
Elements
usage
Props to Enhance
Grouping
Balance
Product
Placement
Composition
within style
groups
Start with a
center feature
Best sellers/hot
items in
prominence
Evaluation
QUESTIONNAIR
E for self
evaluation
Up-Keep
Overall Hygiene
Aesthetics
Line of Visibility
Fixtures
Approvals for
placement
Approvals for
Make-Overs
Vacant Units
Display Criteria – Parameters & Architecture
DISPLAY SALIENT FEATURES – Good Design
Shall embrace
story or a theme
Merchandise
simple & yet
scientific
Integrate ‘point of
communication’
with graphics
GOOD DESIGN
GOOD DESIGN – Simple Merchandise yet appealing…
• Story
• Simple
• Communication
GOOD DESIGN – Simple Merchandise yet appealing…
Merchandise … Vertical, Horizontal OR Balancing way...
• Story
• Simple
• Communication
DISPLAY SALIENT FEATURES – Color Usage
GOOD DESIGN
COLOR BLOCKS
(natural
tendency)
CREATE BANDS
(aisle walk)
FLOW from L-D
or D-L
(within group)
COLOR
DIFFERENTIATES
(choose carefully)
COLOR USAGE
COLOR USAGE – Color blocking & Vertical bands…
COLOR USAGE
COLOR USAGE
• Color Blocking
• Brand wise
• Color flow
• Differentiation thru Color
COLOR USAGE – Color blocking & Vertical bands… COLOR USAGECOLOR USAGE
• Color Blocking
• Brand wise
• Color flow
• Differentiation thru Color
COLOR USAGE – Color as a differentiator…
• Color Blocking
• Brand wise
• Color flow
• Differentiation thru Color
COLOR USAGE – color flow… D – L or L - D
COLOR USAGE
DISPLAY SALIENT FEATURES – Display Elements
GOOD DESIGNCOLOR USAGE
PROPS ENHANCE
(elevate product
perceived value)
GROUPING
(complimentary
categories &
Balancing)
COLOR BALANCE
is the KEY
DISPLAY ELEMENTS
DISPLAY ELEMENTS
Props
Enhance
• Props
• Grouping
• Color Balance
PLACEMENT… Most IMPORTANT Technique
BRANDS…
Present brand-
wise, never mix-
up
SEGMENTS…
Group by Age,
by Segment
FACINGS….
Present Products
facing the
Consumer
KEY BUYING
Shelves…
Use center piece
units/shelves for
showcasing key
drivers
TACTICS….
Tactical
order…!
PLACEMENT – Critical Aspects
Majorly 2
ways go for
in-store
display
By
Brand
By
Categor
y
By
Season
al
Tactics
PLACEMENT… Most IMPORTANT Technique
Horizontal Placement:
Situation:
 SKUs/assortments low on qty.;
horizontal placement (side by
side) of that product range is
applied
Situation:
 SKUs/assortments are high on
qty.; it has to be the vertical
placement.
PLACEMENT… Way to go..
Remember consumer walks fast through the aisle…
it’s vertical blocks which get quickly registered.
Vertical Placement:
Horizontal Placement
 High on SKUs//Option/s
 Low on SKU count
Horizontal Placement
 High on SKUs//Option/s
 Low on SKU count
Vertical Placement
 High on SKUs
 High on SKU count
Vertical Placement
 High on SKUs
 High on SKU count
PLACEMENT … Going Vertical with Price flow
Big Boxes
Big Boxes
Big Boxes
Shoppers slide down the aisle too FAST
Pegging
PLACEMENT… segmentation within brand
SEGMENTS
… Group by
Age, by
Segment
PLACEMENT… Facings are basics
FACINGS….
Present Products
facing the
Consumer
PLACEMENT… key drivers on key shelves
KEY BUYING
Shelves…
Use center
piece
units/shelves
for showcasing
key drivers
SHELF MERCHANDISING… Optimizing shelf placement
Moving product from Ankle level to Eye Level shelf….
Increase sales by 85%
Sales decreases by 15% when moving heavy
items from lower to the higher shelf… difficulty in
lifting
Left side of a unit generates Most Sales
70% of Sales occur between waist & eye level
shelves
‘Z Philosophy’… Movement of Human eyes follow
Z Pattern. People will more likely compare
products horizontally
• Think safety first for these shelves
• Light products & High ticket option
• For display only
• Products on demand from consumers
• Small items
• Less important for consumers [increase
visibility]
• Large items
• Important products [products consumer
will look for]
TOP LEVEL
EYE LEVEL
WAIST LEVEL
ANKLE LEVEL
WHAT PRODUCT ON WHICH SHELF
PART – A
Retail & Visual Merchandising in a Theme Park
Visual Merchandising Theory
STORE STANDARDS
 Fit-Outs
 Hygiene
 Pricing
 Promotions
Retail & Visual Merchandising… inside Theme Park
Promotion/Offer is on &
Communication isn't noticeable
Store planning:
 Routing: Clear walkways must be in use to direct the guests to see as much products as possible &
that leads to high chance to sell.
 Hot spots: While customers are usually surrounded by merchandise; a visual break is created for
creating interest towards certain goods. This also helps in creating visual impact.
 Fixture placements: Spinners - most favorite fixture among rest of the floor units. Since this unit
accommodates high capacity of small goods & those mostly are impulse ones. At times, these units
also help in routing customers.
Retail & Visual Merchandising… inside Theme Park
Store planning: contd.
 Zoning: Create category segregation.
 Why those peggable plush at top level…
 If TG of the range is for kids, can kid grab it…
 If shelves OR pegs appear empty; are products out of stock OR Over…
 Why even stock issues…
 Lighting - There cant be a dark
corners in store…
Or multiple bulbs illuminating the
same product…
Retail & Visual Merchandising… inside Theme Park
Top Ways which can Turn-Off Customer
1. Burned-out or Poor Lighting
2. Offensive Odors
3. Crowded Aisles
4. Messy Merchandise space
5. Disorganized Checkout Counters
6. Lack of Shopping Bags/Baskets
7. Messy Dressing Rooms
8. Loud Music
9. Handwritten Communication/Signs
10. Stained Floor or Ceiling Tiles
11. Stinking Washrooms
Retail Store Planning – CRITICAL ASPECTSPLANOGRAMING
 Provides complete visual guide to every fixture in a
virtual environment/store
 Shows how shop floors fixtures can be laid out
 Plugs merchandise on shop fixtures
 Provides shelf capacity to merchandise a particular
product
 Gives a foolproof instructions to shop floor staff for
merchandise placement
RETAIL VM GUIDELINE – PLANOGRAM
Copyright 2016 Sanjeev Kaboo
RETAIL VM GUIDELINE – PLANOGRAM
RETAIL VM GUIDELINE – PLANOGRAM
RETAIL VM GUIDELINE – PLANOGRAM
MID FLOOR – Fixtures & Types
FLOOR DISPLAY
SOLUTIONS –
GONDOLAS
• Using 4 Kinds
of Gondolas
• 6 Way, 4 Way
3 Way &
Rotating
Gondola
• Provisioned
with uprights &
Shelves
• Adaptable to
Pegging fit outs
GONDOLA. Has 2 main sides & 2
end-caps; provisioned with
adjustable shelves & has option of
Pegs & Waterfall
4 Way-GONDOLA. Has 4 sides;
provisioned with adjustable
shelves
3 Way-GONDOLA. Has 3 sides;
provisioned with adjustable
shelves
Round-GONDOLA. Has 2 main
sections; provisioned with shelves
FIXTURE – POSM & Accessories
DIMENSION
and UTILITY
POSM &
Utility.pptx
PART – B
DISPLAY MANAGEMENT
Visual Merchandising Theory
a. Display Approach
b. Placement

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Visual Merchandising Theory Principles Display

  • 1. VISUAL MERCHANDISING THEORY PRINCIPLES - DISPLAY MANAGEMENT - FUNCTIONING
  • 2. Visual Merchandising Theory PART – A 1. Understanding of Visual Merchandising 2. Visual Merchandising principles a. Store Layout & Patterns b. Display Parameters & Architecture 3. Retail & Visual Merchandising in a Theme Park 4. 10 Ways a store can turn-off customer PART – B 5. Retail Stores a. Site Layouts b. Store Designs c. Store Planogram 6. Fixtures a. Types & Utility b. Dimension 7. Display Management a. Display Approach b. Placement
  • 3. PART – A Understanding of Visual Merchandising Visual Merchandising Theory
  • 4.  First impression… on your potential consumer thru window, shelf, aisle; helps them to spend more time!  Sales Maximizer... once they spend more time, chances to spend money too is high!  Building unique identity… strategically presenting your products in your retail space  Accessibility… Making your retail space warm, friendly and approachable What's Visual Merchandising
  • 5.  First impression is formed within the 1st 5 seconds!  Research says 85% of consumers decide their buying at floor level!  Present your retail space in a way that pulls consumers in & make consumer to spend maximum time!  Allow maximum LOV & channelize to relevant section!  Product positioning (on shelf) to create unique identity for the brand/category… make it appealing to consumers! VISUAL MERCHANDISING – Ground Facts & Principles
  • 6.  Is a daily routine.  Maintenance is much more difficult & critical than anything else  Routine change is must to achieve freshness  Make your product noticeable for consumer VISUAL MERCHANDISING - Belief
  • 7. VM THEORY – critical aspects
  • 8. Best used in super/hypermark et retail environment Wall fixtures & Gondolas are placed in long rows OR ‘runs’ usually at right angles, throughout the store Easy to merchandise, cost efficient, easy accessible Store Floor Space… GRID TYPE STORE LAYOUT
  • 9. Heavily used by big-sized fashion/departme ntal stores ranging from 3,000 – 7,000 sft. Exposes shoppers to the greatest possible amount of merchandise by encouraging browsing and cross-shopping Store Floor Space… LOOP TYPE STORE LAYOUT
  • 10. Store Floor Space… LOOP TYPE… Example Heavily used by big-sized fashion/departmen tal stores ranging from 3,000 – 7,000 sft. Exposes shoppers to the greatest possible amount of merchandise by encouraging browsing and cross- shopping STORE LAYOUT
  • 11. Used by small- sized specialty stores ranging from 500 – 1,500 sft. Aesthetically pleasing, Relaxing & invites browsing Bulk of stock – straight racks, gondolas & other rounders Feature areas – windows, walls & POS areas Store Floor Space… FREE-FLOW TYPE STORE LAYOUT
  • 12. Store Floor Space… FREE-FLOW TYPE… Example STORE LAYOUT Used by small- sized specialty stores ranging from 500 – 1,500 sft. Aesthetically pleasing, Relaxing & invites browsing Bulk of stock – straight racks, gondolas & other rounders Feature areas – windows, walls & POS areas
  • 13. Heavily used by medium- sized specialty stores ranging from 2,000 – 7,000 sft. Based on single main aisle running from the front to the back of the store (transporting customers in both directions) In fashion stores the spine is subtly as a change in floor coloring or surface and is not perceived as an aisle Store Floor Space… SPINE TYPE STORE LAYOUT
  • 14. Heavily used by medium- sized specialty stores ranging from 2,000 – 7,000 sft. Based on single main aisle running from the front to the back of the store (transporting customers in both directions) In fashion stores the spine is subtly as a change in floor coloring or surface and is not perceived as an aisle Store Floor Space… SPINE TYPE… Example STORE LAYOUT
  • 15. Display Criteria– CRITICAL ASPECTS IN-STORE DISPLAY Parameters & Architecture Good Design Story/Theme Simple Presentation communication & graphics Integration Color Usage Color Blocking Creating Band Color Flow Elements usage Props to Enhance Grouping Balance Product Placement Composition within style groups Start with a center feature Best sellers/hot items in prominence Evaluation QUESTIONNAIR E for self evaluation Up-Keep Overall Hygiene Aesthetics Line of Visibility Fixtures Approvals for placement Approvals for Make-Overs Vacant Units
  • 16. Display Criteria – Parameters & Architecture
  • 17. DISPLAY SALIENT FEATURES – Good Design Shall embrace story or a theme Merchandise simple & yet scientific Integrate ‘point of communication’ with graphics GOOD DESIGN
  • 18. GOOD DESIGN – Simple Merchandise yet appealing… • Story • Simple • Communication
  • 19. GOOD DESIGN – Simple Merchandise yet appealing… Merchandise … Vertical, Horizontal OR Balancing way... • Story • Simple • Communication
  • 20. DISPLAY SALIENT FEATURES – Color Usage GOOD DESIGN COLOR BLOCKS (natural tendency) CREATE BANDS (aisle walk) FLOW from L-D or D-L (within group) COLOR DIFFERENTIATES (choose carefully) COLOR USAGE
  • 21. COLOR USAGE – Color blocking & Vertical bands… COLOR USAGE COLOR USAGE • Color Blocking • Brand wise • Color flow • Differentiation thru Color
  • 22. COLOR USAGE – Color blocking & Vertical bands… COLOR USAGECOLOR USAGE • Color Blocking • Brand wise • Color flow • Differentiation thru Color
  • 23. COLOR USAGE – Color as a differentiator… • Color Blocking • Brand wise • Color flow • Differentiation thru Color
  • 24. COLOR USAGE – color flow… D – L or L - D COLOR USAGE
  • 25. DISPLAY SALIENT FEATURES – Display Elements GOOD DESIGNCOLOR USAGE PROPS ENHANCE (elevate product perceived value) GROUPING (complimentary categories & Balancing) COLOR BALANCE is the KEY DISPLAY ELEMENTS
  • 26. DISPLAY ELEMENTS Props Enhance • Props • Grouping • Color Balance
  • 27. PLACEMENT… Most IMPORTANT Technique BRANDS… Present brand- wise, never mix- up SEGMENTS… Group by Age, by Segment FACINGS…. Present Products facing the Consumer KEY BUYING Shelves… Use center piece units/shelves for showcasing key drivers TACTICS…. Tactical order…! PLACEMENT – Critical Aspects
  • 28. Majorly 2 ways go for in-store display By Brand By Categor y By Season al Tactics PLACEMENT… Most IMPORTANT Technique
  • 29. Horizontal Placement: Situation:  SKUs/assortments low on qty.; horizontal placement (side by side) of that product range is applied Situation:  SKUs/assortments are high on qty.; it has to be the vertical placement. PLACEMENT… Way to go.. Remember consumer walks fast through the aisle… it’s vertical blocks which get quickly registered. Vertical Placement:
  • 30. Horizontal Placement  High on SKUs//Option/s  Low on SKU count
  • 31. Horizontal Placement  High on SKUs//Option/s  Low on SKU count
  • 32. Vertical Placement  High on SKUs  High on SKU count
  • 33. Vertical Placement  High on SKUs  High on SKU count
  • 34. PLACEMENT … Going Vertical with Price flow Big Boxes Big Boxes Big Boxes Shoppers slide down the aisle too FAST Pegging
  • 35. PLACEMENT… segmentation within brand SEGMENTS … Group by Age, by Segment
  • 36. PLACEMENT… Facings are basics FACINGS…. Present Products facing the Consumer
  • 37. PLACEMENT… key drivers on key shelves KEY BUYING Shelves… Use center piece units/shelves for showcasing key drivers
  • 38. SHELF MERCHANDISING… Optimizing shelf placement Moving product from Ankle level to Eye Level shelf…. Increase sales by 85% Sales decreases by 15% when moving heavy items from lower to the higher shelf… difficulty in lifting Left side of a unit generates Most Sales 70% of Sales occur between waist & eye level shelves ‘Z Philosophy’… Movement of Human eyes follow Z Pattern. People will more likely compare products horizontally • Think safety first for these shelves • Light products & High ticket option • For display only • Products on demand from consumers • Small items • Less important for consumers [increase visibility] • Large items • Important products [products consumer will look for] TOP LEVEL EYE LEVEL WAIST LEVEL ANKLE LEVEL WHAT PRODUCT ON WHICH SHELF
  • 39. PART – A Retail & Visual Merchandising in a Theme Park Visual Merchandising Theory
  • 40. STORE STANDARDS  Fit-Outs  Hygiene  Pricing  Promotions Retail & Visual Merchandising… inside Theme Park Promotion/Offer is on & Communication isn't noticeable
  • 41. Store planning:  Routing: Clear walkways must be in use to direct the guests to see as much products as possible & that leads to high chance to sell.  Hot spots: While customers are usually surrounded by merchandise; a visual break is created for creating interest towards certain goods. This also helps in creating visual impact.  Fixture placements: Spinners - most favorite fixture among rest of the floor units. Since this unit accommodates high capacity of small goods & those mostly are impulse ones. At times, these units also help in routing customers. Retail & Visual Merchandising… inside Theme Park
  • 42. Store planning: contd.  Zoning: Create category segregation.  Why those peggable plush at top level…  If TG of the range is for kids, can kid grab it…  If shelves OR pegs appear empty; are products out of stock OR Over…  Why even stock issues…  Lighting - There cant be a dark corners in store… Or multiple bulbs illuminating the same product… Retail & Visual Merchandising… inside Theme Park
  • 43. Top Ways which can Turn-Off Customer 1. Burned-out or Poor Lighting 2. Offensive Odors 3. Crowded Aisles 4. Messy Merchandise space 5. Disorganized Checkout Counters 6. Lack of Shopping Bags/Baskets 7. Messy Dressing Rooms 8. Loud Music 9. Handwritten Communication/Signs 10. Stained Floor or Ceiling Tiles 11. Stinking Washrooms
  • 44. Retail Store Planning – CRITICAL ASPECTSPLANOGRAMING  Provides complete visual guide to every fixture in a virtual environment/store  Shows how shop floors fixtures can be laid out  Plugs merchandise on shop fixtures  Provides shelf capacity to merchandise a particular product  Gives a foolproof instructions to shop floor staff for merchandise placement
  • 45. RETAIL VM GUIDELINE – PLANOGRAM Copyright 2016 Sanjeev Kaboo
  • 46. RETAIL VM GUIDELINE – PLANOGRAM
  • 47. RETAIL VM GUIDELINE – PLANOGRAM
  • 48. RETAIL VM GUIDELINE – PLANOGRAM
  • 49. MID FLOOR – Fixtures & Types FLOOR DISPLAY SOLUTIONS – GONDOLAS • Using 4 Kinds of Gondolas • 6 Way, 4 Way 3 Way & Rotating Gondola • Provisioned with uprights & Shelves • Adaptable to Pegging fit outs GONDOLA. Has 2 main sides & 2 end-caps; provisioned with adjustable shelves & has option of Pegs & Waterfall 4 Way-GONDOLA. Has 4 sides; provisioned with adjustable shelves 3 Way-GONDOLA. Has 3 sides; provisioned with adjustable shelves Round-GONDOLA. Has 2 main sections; provisioned with shelves
  • 50. FIXTURE – POSM & Accessories DIMENSION and UTILITY POSM & Utility.pptx
  • 51. PART – B DISPLAY MANAGEMENT Visual Merchandising Theory a. Display Approach b. Placement