Nicola Kaminska
Unit 33
Nikki Echezona
Visual Merchandising
By Nicola Kaminska
Nicola Kaminska
Unit 33
Nikki Echezona
P1: Describe the visual merchandising and display techniques used by three different types of retail outlets. In this assignment I am going to define the visual merchandising and describe different techniques which the company use to produce them. I am also going to talk about different types of retail outlets and I am going to analyse the visual merchandising of a three companies.
What is visual merchandising? Visual merchandising is an essential part of every business. Visual merchandising could be defined as an art of products which involves displaying them at the retail outlets. All of the companies put a lot of effort in producing and planning them. Visual merchandise involves decorating the outside and inside the storages to attract the customers. This is important part of the business as the look of the storage influence the customers’ view about the whole company. Visual merchandise is also responsible for creation of company’s image. Visual merchandising could be very powerful as it encourages the customers to buy the particular products thus increase the amount sales.
What is the purpose of visual merchandising? There are many reason why the companies use visual merchandising. The first and the most important reason is that this catching the customers’ attention and often increase the sales. However, visual merchandising is also used to create a unique image of the business and helps the customers to find what they looking for. It also shows what the current trends in fashion are.
What are the different types of retail outlets? A retail outlet is a store which sells products directly to the public. The businesses which operates as a retail outlets will rather buy the products from the manufactures for the lower price instead of producing them by themselves. However, there are exceptions of it, where the companies producing the goods in their own manufactures. For the businesses which are retail outlets is very important to invests in visual merchandising as they have to attract the customers and influence their buying behaviour. There are different types of retail outlets.
Department stores
Nicola Kaminska
Unit 33
Nikki Echezona
Department store is a business which offers a range of different products. It means that the target market for this is difficult to defined as the products offered by this companies comes from many different categories. In department storages the customers are able to get most of the products which they are looking for. The examples of department stores are shops like Fenwick or John Lewis. Discount stores Discounts storages as department storages offers a range of different products, however, the discount storages’ products are much cheaper and have lower quality. The example of discount storages could be the shop called Pound land. Supermarket Supermarkets are storages which sell the grocery and household products. This kind of businesses usually uses the self-service basis and are much bigger than local groceries shops. The examples of this kind of retail storages are ASDA, Tesco or Waitrose. Malls Malls also called shopping malls are large retail complex which contain a variety of small storages, restaurants and other businesses. All of the retail outlets which are allocated in the mall sells their own products and are independent businesses which usually has to pay for the place. The examples of the malls a big shopping centres like Brent Cross in London.
Speciality stores The speciality storages are those one which sells only the particular type of products and has a small target market. For example, JD or Superdrug. Warehouse stores This kind of storages are usually allocated in big buildings and sells products from the raw material or the good which has been manufactured. The prices of products in warehouse storages are lower and often any of the visual merchandising techniques are not used here. Hypermarkets
Nicola Kaminska
Unit 33
Nikki Echezona
Hypermarkets as supermarkets offers a variety number of products. Usually, they are allocated next to the big cities and have a big car park. Hypermarkets may also offer products like clothes, groceries and or appliances. Franchises Franchises are businesses where the one party grands another party the right to use trademark, name and the particular business process of producing and selling the products. The franchises in most of the cases has to pay for the right to use such things. The visual merchandising for the franchises is going to be the same (same techniques, colours, posters) for every storage with the same company name. The examples of franchises could be McDonald’s, Subway and much more. Factory outlets This kind of retail outlets sells products for the lower price. The items in factory outlets could be a little bit damaged, outdated or has been produced in to high quantity. A factory outlets specialise in selling the products from the particular business, however, some of them may sell products from different companies. For example, TK Maxx. Cash and carry Cash and carry is a form of trade in which the products are selling from the wholesale warehouse. This kind of retail outlets usually using the self-basis service or basis of sample by using catalogues or technology. The example of retail outlet like carry is Argos. Speciality Storage – Apple Apple is an American company which sells technology. It was founded in 1976 by Steve Jobs, Ronald Wayne and Steve Wozniak and become one of the largest company in the world. Apple is also known as company who pay a lot of attention to the visual merchandising and from beginning uses the same techniques to highlight company’s values.
Colour One of the main technique which Apple use in its visual merchandising is colour. When you think about Apple the first thing which comes to your mind is the white colour. Colours can influence the buyers’ feelings and their views on the whole company. The use of certain colours by companies is never random or accidental. The companies enforce the customers to see the company in the way they want to be seen by using the particular colours. The colour which used by apple is white. This colour is associated with: goodness, innocence, purity, perfection and virginity. By using the white colour Apple makes the customers to feel that everything what company is doing is on the highest standard.
Nicola Kaminska
Unit 33
Nikki Echezona
The key words here are perfection and purity. Apple acknowledge its customers that all of the products are innovation, are flawless and that Apple is the pioneer in the technology industry. Power of one The other techniques used by Apple is the power of one. On all of the Apple’s displays focus just on one product. This technique allows the company to enforce the customers to pay attention for the particular products which the company wants to sell. Apple always uses only new products for its visual merchandising. This method helps the company to introduce and increase the amount of sales of a new product. Usually, the company uses the techniques of colours and power of one together what catches customers’ attention.
Consistency and repetition Consistency and repetition is the other technique used by Apple. This particular method involves the repetition of the particular products or patterns. The main aim of this technique is to create an interesting pattern which is going to catch the customers’ attention and which are going to make the public to stop and think twice about the products. Apple often uses in its adverts or in its storages. Symmetry and balance Apple uses symmetry and balance as a key visual merchandising technique. It is obvious in company’s adverts, posters and in the furniture in the Apple’s storages. Everything is symmetric and balanced. Apple uses loads of minimalism. The pattern is easy, there is a lot of repetition. This kind of symmetry makes the shopping easy and makes the customers to feel good. It also highlighting the purity and genius of Apple company. The customers feel that Apple is much more than a company, it makes them feel that Apple is a future.
Nicola Kaminska
Unit 33
Nikki Echezona
Department Storage – Fenwick Fenwick is one of the independent chain of department storages which operates in UK since 1882. There are many different brands in Fenwick which often use different methods of visual merchandising. However, the company producing its own displays which promoting all of the brands or only the certain ones.
Rule of three The first visual merchandising techniques which is often used by Fenwick is the rule of three. This method focusses on the three main elements which together creating the whole aspect of what the company wants the customers to see. This technique is one of the best as it grasps the customer’s attention very quickly. The odd number will always look better than an even one. It comfortable for the eyes and makes people look longer. The other reason why Fenwick is using the rule of three, is the fact that this allows the company to fully show the best or most interesting products. Story telling Story telling is also very important techniques used by company in their visual merchandising. The display which tell the story, which showing something more than the products in the shelves, is always much more interesting. It makes the customers to stop and think about it, to think what the company is trying to say. In the same time company presents its goods and offers. On the picture above we can see that Fenwick produced a display not only to represent the products, but also to send a message, to tell the story. By using the green colour and flowers, Fenwick shows its freshness and freedom. Horizontal Merchandising Horizontal merchandising is another technique used by Fenwick. This is when the products are put across on the shelves. This technique is very useful as there is impact on the key items. The products are also put in the certain patter, so the shopping becomes much easier. This also enable the customers to see all of the products. Colour
Nicola Kaminska
Unit 33
Nikki Echezona
Colour is also one of the technique which Fenwick uses in its visual merchandising. The colour which is used most frequently by this company is green. Green is associated to balance, harmony and growth. Green is an emotionally positive colour and gives us the ability to love. Fenwick uses green to attract the customers and make them to come in to the storage. Because of green they feel comfortable and feel happy to come. This particular colour may also describe the main values of Fenwick which are harmony and balance. The other way in which Fenwick is using the colours are displays in the shelves. Mix of different colours are put together. This makes the customers to feel happy and relaxed what encourages them to buy more products and spend more money. Supermarket – Marks & Spencer Marks and Spencer (M&S) is one of the major UK retailer. It was founded in 1884 and throughout the years it become one of the most powerful company in UK. However, in the beginning the company used operates only in fashion industry. In 2000/2001 the company decided to expand the business and created the Marks & Spencer simply food which is a supermarket offers the high quality groceries products. Horizontal Merchandising Horizontal merchandising is when company put the products across the shelves. This kind of techniques enables the customers to buy quickly and effectively. Because of this method the potential customers can find whatever they need much quicker as in situation where the company would use another method. Horizontal merchandising also helps M&S to represent all of its products and make customers to buy them. Prince Points Prince points is the technique in which the products are put with the larger signs next to it. M&S uses it to sell the particular products, introduce them or inform the customers about offers. This method is very good for the customers who are value-orientated and might looking for different occasions and offers. This method could also increase the number of sales for less popular products. The Pyramid Principle The pyramid principle is the way of setting the products on the shelves. This technique is upstanding as the company is able to show more than few products in the same time. This method could be very effective, however, the display has to be nice and interesting. It should be mixed with colours and telling some kind of story. In the picture above we can see how M&S uses the pyramid principle. The products displayed on the shelves a connected to each other. When the customers will see the things which going with wine is more likely that they going to buy this product.