Retail Image - UMasspeople.umass.edu/debevec/mktg491r/Retail Image.pdfRetail Image What Contributes...

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Retail Image What Contributes to a Store’s Image? Physical characteristics Customer Service Location Merchandise Pricing Shopping experience Community service Shoppers Advertising and promotions Store Image is based on its Atmosphere: Exterior Interior Store Layout Traffic Flow Patterns Why is the store environment so important? Most Common Pathway Through the Store Store Coverage This map illustrates how far shoppers penetrate into the store. Only 14% of shoppers made it all the way to the back of the store. Sometimes a more efficient layout or better directional signage will improve store penetration, thereby increasing sales Penetration of shoppers into the store

Transcript of Retail Image - UMasspeople.umass.edu/debevec/mktg491r/Retail Image.pdfRetail Image What Contributes...

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Retail Image

What Contributes to a Store’s Image?

Physical characteristicsCustomer ServiceLocationMerchandisePricing

Shopping experienceCommunity serviceShoppersAdvertising and promotions

Store Image is based on its Atmosphere:

Exterior

Interior

Store Layout

Traffic Flow Patterns

Why is the store environment so important?

Most Common PathwayThrough the Store

Store Coverage

This map illustrates how far shoppers penetrate into the store. Only 14% of shoppers made it all the way to the back of the store. Sometimes a more efficient layout or better directional signage will improve store penetration, thereby increasing sales

Penetration of Shoppers into the StorePenetration of shoppers

into the store

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Layouts determine Traffic Flow

Straight Grid

Free Flow (Curving)

Boutique

Loop

Encouraging Customers to Spend more Time

Goal: Increase Sales and Profitability

How do you encourage consumers to spend more time in the store?

Experiential Merchandising…Solutions Selling

Store Atmospherics

Consider the Physical and Psychological Impact of a Store’s Design

Sight AppealSoundScentTouchTasteTheatrics

Entertainment and recreation

What feeling do you get when you walk into:

Barnes & Noble vs Walden’sHome Depot vs Lowe’s vs Rocky’sWalMart vs TargetJC Penney’s vs Sears vs Filene’s

Which stores do you find aesthetically pleasing?Which stores/layouts lead you to spend more money? Browse more? Buy on impulse?What stores turn you off – that you can’t wait to get out of?How do retailers get people to the back of stores? (Disney)How do retailers encourage people to eat quickly in restaurants?

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Envirosell: Behavioral Market Research and Consulting Company

Testing agency for banks, stores, restaurant chains and consumer product companies worldwide

Examines shopping behavior using:In-store video recordingObservationCustomer intercept interviews

www.envirosell.com

Envirosell is a behavioral market research and consulting company.

Our specialty is examining consumer shopping behavior using a combination of in-store video recording, observation and customer intercept interviews. We are a testing agency for Fortune 500 banks, stores, restaurant chains and consumer product companies, with offices in New York City; Milan, Italy; São Paulo, Brazil; and Tokyo, Japan.

While we maintain a global presence, we continue to serve our international clients out of our New York office when appropriate.

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By understanding how long people spend in each section, we may be able to suggest alternate section adjacencies to improve traffic flow.

Can suggest best adjacent depts.To improve traffic flow

Average Traffic Flow Into the Store

Traffic flow by time of dayAnd demographic

Percentage of Passers-by Noticing and Entering

Overall, 31% of passers-by noticed the store windows.

Twenty percent of passers-by entered the store.

% of passers-by who Noticed the store window

And entered the store

We will analyze how shoppers are assisted and if there can be any improvements in reaching those customers who need help.

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Women spent more tThan men on avg.

Staples’ New Store Design

“Dover” store formatBetter Service and Self- serviceImproved revenueSolutions Center (rather than selling individual products)

Dover Store Features

Race Track Design with shorter aisles and lower fixture heightsSignage that clearly marks each categoryIncrease “Shopability” with Cross Merchandising

Ink cartridges and paper with printersFax paper with fax machines

Self- Service Kiosks to link to Staples.com

Retail Promotional Strategy

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Promotional Objectives

Long-term: Positioning

Short-term: Sales

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