01 MERCH & PROM R Store Mng stud.ppt [Modo de compatibilidad] retail_mk_deju… · Design of a...

mm

on

sC

reati

veC

om

na L

icen

cia C

3.0

, S

pain

RETAIL MARKETING

bli

ca b

ajo

un

mp

art

ir I

gu

al

a o

bra

se p

ub

erc

ial –

Co

m

Instructor :

Dr. Mayo De Juan Vigaray

Vig

ara

y Est

ato

–N

o C

om

y g y

Power points: conceptual framework

ayo

De J

uan

eco

no

cim

ien

t Power points: conceptual framework

Ma

Re

mm

on

sC

reati

veC

om

na L

icen

cia C

3.0

, S

pain

bli

ca b

ajo

un

mp

art

ir I

gu

al

PART 1

a o

bra

se p

ub

erc

ial –

Co

m V

igara

y Est

ato

–N

o C

om

ayo

De J

uan

eco

no

cim

ien

tM

aR

e

RETAIL MARKETING

2. COURSE DESCRIPTION AND OBJECTIVES

merchandising philosophyretail store image atmospherics and visual merchandisingFirst part atmospherics and visual merchandisingcustomer service“retail-tainment” and Lifestyle merchandising

promotional process

p

promotional process promotional methods promotion objectivessales promotion tools

Second part

gara

y

p

gara

y ay

o D

e Ju

an V

igay

o D

e Ju

an V

igM

aM

a

MERCHANDISING OBJECTIVES

To examine the concept of retail image

To describe how a retail store image i d t

VISUAL MERCHANDISING

is conveyed to consumers

gara

y

ATMOSPHERICS

ayo

De

Juan

Vig To show the importance of communicating with customers & customer service

© Mayo De Juan Vigaray 2007

Ma

MERCHANDISING CONTENTS

M.1. Communication methods

M.2. Retail image

M.3. Design of a store

gara

y

M.4. Physical environment

Exterior

Atmospherics

ayo

De

Juan

Vig M.5. Customer service General interior

Store layoutInterior displays


Ma p y

MERCHANDISINGCommunication

methodsM.1.

MERCHANDISING

COMMUNICATION METHODSM.1.

Retail imageM.2.

Design of a storeM.3.

gara

y

Physical environmentM.4.

ayo

De

Juan

Vig Customer serviceM.5.


Ma


methodsM.1.

A REVIEW

A t il d i ti t t

A REVIEW

well-devised well-executed

A retailer needs a communications strategy

To properly position itselfin customer’s minds

gara

y ay

o D

e Ju

an V

ig


Ma

Communication methods

M.1.

A REVIEW

MERCHANDISING

A REVIEW

O t tt t d Once customers are attracted: it is imperative . . .

To create a

“PROPERLY MOOD

gara

y

MOOD

for them”

ayo

De

Juan

Vig f m


Ma

For shoppers to achieve the “nirvana” of pp“fulfilling their dreams” ……

t il t i i th t b …… retailers must inspire them to be positive, “smart” shoopers

It is the “smart”, inspired, positive shoppers who stay longer and purchase more …..

gara

y ….. due to the psychology

ayo

De

Juan

Vig of the perception of time


Ma

Kaltcheva, V. and Weitz, B. (2006) “When Should a Retailer Create an Exciting Store Environment?” Journal of Marketing, Vol. 70, January, pp. 107-118.

If in negative mode, they will leave early, will grab and go, or even worse !!!

they simply get out quickly,

might abort the purchase and

gara

y

might abort the purchase and,

maybe, never shop there again!!!

ayo

De

Juan

Vig

And… even do not recommend it to anybody!!!!


Ma


methodsM.1.

A REVIEWA REVIEW

The information must be interpreted by the target marketby the target market

In the manner inteded by the

retailer

gara

y

retailer

ayo

De

Juan

Vig


Ma

Communication methods

MERCHANDISING

COMMUNICATION METHODM.1.

COMMUNICATION METHOD

IMPERSONAL PERSONALID Personal selling

AdvertisingStore atmosphere

Visual merchandising

PA

I Visual merchandising Sales promotion

gara

y

PA

ID Word-of-mouthPublicity

ayo

De

Juan

Vig

UN

P


Ma

AdvertisingStore atmosphere

Visual merchandising VMgSales promotion

P id l i ti Paid nonpersonal communication transmitted through out-of store mass media by an identified sponsor

Advertising

Short-term incentives to increase the

Salespromotions

Short term incentives to increase the effectiveness of the promotional efforts

gara

y A situation in which merchandising is shown to its best advantage and

VM & Store atmosphere

ayo

De

Juan

Vig is shown to its best advantage and

in the most appropriate setting to influence customers to buy


Ma y

FOCUS MORE ON:Communication

methodsM.1.

MERCHANDISING

Store- based retailers Non-Store-based retailers(*)

FOCUS MORE ON:

Overall principles

Mail-order retailer:storefront = covers of catalog

Vsprinciples

aply layouts&displays= interior pages

Even in a product category like apparel, where catalog and internet outlets have

gara

y

internet outlets have made some of their greatest inroads, consumers still make….

ayo

De

Juan

Vig

…. 90% of their purchases at brick-and-mortar stores


Ma

(*) Sautter, P., Hyman, M. and Lukosius (2004) “E-tail Atmospherics: A Critique of the Literature and Model Extension”, Journal of Electronic Commerce Research, Vol. 5 N. 1.

MERCHANDISING

Retail imageM.2.

MERCHANDISING


RETAIL IMAGEM.2.


gara

y


ayo

De

Juan



Ma

MERCHANDISING

Retail imageM.2.

Image how a retailer is perceived by perceived by consumers and others.

___________

___________

gara

y

___________

ayo

De

Juan

Vig


Ma

MERCHANDISINGRetail imageM.2.

Positioningfirm’s devising its strategyg gy

In a way that projects an image relative to its retail category and its competitorsits retail category and its competitors

That elicits consumer responses to this imageimage

gara

y ay

o D

e Ju

an V

ig


Ma

MERCHANDISING

Retail imageM.2.

Image and…?…

Space productivity represents h ff i l h il ili how effectively the retailer utilizes its space

and is usually measured by:

• sales per square “metres” or “cm”

gara

y

p qor “foot” of selling space

• gross margin ($ €) per square “metres” “cm” “foot” of selling

ayo

De

Juan

Vig metres cm foot of selling

space.

1 foot=30 48 cm


Ma 1 foot=30,48 cm

1 mile=1.609 metres

Typical Grocery Gondola Size Has Remained Stagnantyp y g

Confectionery In-Aisle GondolaGrocery Space

1993 20061993 2006

Length (Feet) 21.7 22.2

# Shelves 7.4 7.9

Shelf Space(Li F )

160.0 176.6

gara

y

(Linear Feet)

• The length (running footage) is almost exactly

ayo

De

Juan

Vig The length (running footage) is almost exactly the same as it was 13 years ago

• Retailers have added shelves & increased pegs


Ma

to accommodate more productSource: Store Audits

MERCHANDISING

Retail imageM.2.

O GELEMENTS OF RETAIL IMAGE

Attributes ofPhysical Facilities______

Market

C t

Firm’s_______

ShoppingExperiences

Customer_______

__________Service

OverallRetail

gara

y

Store_______

ServiceImage

ayo

De

Juan

Vig _________

Attributes


Ma _________

MERCHANDISINGDesign of a storeM.3.

MERCHANDISING


Retail imageM.2.

M.3. DESIGN OF A STORE

gara

y


ayo

De

Juan



Ma

MERCHANDISING


lighting, visual fixtures, communications

ceiling, walls and floor

RETAILERS THINK OF A STORE AS ......

Like the theater, the store design and all its

gara

y

, gcomponents should work in harmony to

support the merchandise rather than ti ith it

ayo

De

Juan

Vig competing with it

staff Consumers


Ma

merchandisingConsumers

MERCHANDISING

Design of a storeM.3.OBJECTIVES WHEN DESIGNING OR REDESIGNING A STOREOR REDESIGNING A STORE

Managers must bear in mind the costs associated with the design and the reocurring costs

Retailers need to consider th t i t d ith

costs

the costs associated with each store design

Versus

gara

y

Versus

ayo

De

Juan

Vig the value received in terms of

higher sales and profits


Ma

Visual Merchandising DefinedVisual

M h di i & Merchandising & Atmospherics

DefinedEverything the customer sees,

both exterior and interior,

Defined

both exterior and interior, that creates a positive image of a

business and results in

Visual Merchandisingand results in

attention, interest, desire, and action 1. Supports sales- “the silent

salesperson”

g

gara

y

salesperson

2. Supports retail strategies

3 C i t ith t

ayo

De

Juan

Vig 3. Communicates with customers

4. Communicates image


Ma

5. Supports retailing trends

Visual Merchandisers

Visual merchandisers are responsible forpthe total merchandise or servicepresentation, the overall business image,presentation, the overall business image,and even the building and placement ofdesign elements

gara

y

design elements

ayo

De

Juan

Vig


Ma

MERCHANDISINGPhysical environmentM.4.

MERCHANDISING


Retail imageM.2.


gara

y

M.4. PHYSICAL ENVIRONMENT

ayo

De

Juan



Ma


THE PHYSICAL ENVIRONMENT COMMUNICATES

Managing Attention is KeyRetailers’ Goal:• Get Initial Attention• Direct Attention• Sustain Attention• Sustain Attention

St Pl i

gara

y

Store PlanningCreating the Physical Environment• Exterior Building Design

ayo

De

Juan

Vig • Exterior Building Design

• Interior Design• Allocation of Space


Ma Allocation of Space

• Arrangement and Location


MERCHANDISINGAtmospherics


Retail imageM.2.


gara

y

M.4.

ExteriorG l i i

ATMOSPHERICSPhysical environment

ayo

De

Juan

Vig Customer serviceM.5. General interior

Store layoutInterior displays


Ma

(*) Donovan, R.J., Rossiter, J.R. (1982) “Store Atmosphere: An Environmental Psychology Approach” Journal of Retailing, Spring, Vol. 58, n. 1, pp. 34-58.

(*)Park, C. Iyer, E. y Smith, D. (1989) “The Effects of Situational Factors on In-Store Grocery Shopping Behavior: The Role of Store Environment and Time Available for Shopping” Journal Shopping Behavior: The Role of Store Environment and Time Available for Shopping , Journal of Consumer Research, march, Vol. 15., pp. 422-433.

(*) Spies, K., Hese, F. y Loesch, K. (1997) “Store Atmosphere, Mood and Purchasing Behavior” J l f R h i M k i V l 14 1 17

(*) D’Astour, A. (2000) “Irritation Aspects of the Shopping Environment” Journal of Business Research, Vol. 49, n. 2., pp. 1º49-156.

Journal of Research in Marketing, Vol. 14, pp. 1-17.

gara

y

, , , pp

(*) Sharma, A. y Staffor, T. (2000) “The Effect of Retail Atmospherics on Customer’ Perceptions of Salespeople and Customer Persuasion: An Empricial Investigation”, Journal of Business Research Vol 49 n 2 pp 183 191

ayo

De

Juan

Vig Research, Vol. 49, n. 2., pp. 183-191.

(*) Turley, L. y Milliman, R. (2000) “Atmospheric Effects on Shopping Behavior: A Review of the Experimental Evidence”, Journal of Business Research, Vol. 49, n. 2, pp. 193-211.


Ma


ATMOSPHERICSAtmospherics

ATMOSPHERICS

The physical characteristics of the store, p y ,such as

•Architecture, Layout•Signs and Displays•Color, lightingT t•Temperature

•Noise and Odors

gara

y Together they create an image in the

ayo

De

Juan

Vig an image in the

consumer’s mind


Ma

(*) Kotler, P. (1973-74) “Atmospherics as a Marketing Tool” Journal of Retailing, 49, núm. 4, pp. 48-64.


ELEMENTS OF ATMOSPHEREAtmospherics

ELEMENTS OF ATMOSPHERE

Exterior

General Interior

gara

y

Store Layout

ayo

De

Juan

Vig

Interior Displays(point-of-purchase)


Ma (p p )

(*) Donovan, R.J. y Rossiter, J.R. (1982) “Store Atmosphere: an Environmental Psychological Approach, Journal of Retailing, 58, pp. 34-57.

01 MERCH & PROM R Store Mng stud.ppt [Modo de compatibilidad] retail_mk_deju… · Design of a...

Documents

Transcript of 01 MERCH & PROM R Store Mng stud.ppt [Modo de compatibilidad] retail_mk_deju… · Design of a...