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Effectiveness Of In-StoreDisplays in a Virtual Store

EnvironmentJournal of Retailing 87

(1,2011) 75-89Submitted to : Prof A.

Sivakumar

Submitted by : Group 5

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Effectiveness of In-StoreDisplay (ISD)

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Effectiveness of In-StoreDisplay (ISD)

ISD

Promotional Signs

Ads

Results

Attention towards product Increase Sales

C a n th is b e

a p p lie d to O n lin e

re ta il sto re s?

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Online Shoppers

Action Oriented (Pre-decide)

State Oriented (On the Spot)

Time Saving & ConvenienceShoppers

Utilitarian attitude

Hedonic attitude

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Online ISD (Proposition 1)

Product pictures , Incentives

Increase Experiential features

Enhance hedonic shoppingexperience

Attract hedonic oriented shoppers

Positive effect on sales of displayedproducts

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In-store display types

First S cre e n

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In-store display types

A isle D isp la y

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In-store display types

S h e lf ta g d isp la y

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Online ISD (Proposition 2)

First Screen Display

Preempt competition

amount of exclusivity

Aisle Display

Offer Isolation (Preempt)

Focused attention (targeting

objective)

Shelf tag Display

Highlight specific product

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Online ISD (Proposition 2)

Greater positive effect on sales

First screen display > Aisle display >Shelf tag display

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Data

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Brand Sales Model

Brand Sales ( Brand b at time t) Category Sales (at time t) * marketshare (Brand b at time t)

Category expansion - ISD influences to buy a product(captures Category Sales (at time t) )

Brand switching effects - ISD influences to buy a differentbrand (captures market share (Brand bat time t))

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Results (market sharemodel)

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Results (category salesmodel)

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Results

Market Share modelFirst Screen display

Attractive SKUs generate increase inbrands market

Category sales model

No significant positive effects

ISD mainly depends on Brand sales

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Implications

Manufacturer

identify differences betweensuccessful ISDs

Target customers by preempt (appearearly)

Isolated and exclusive display

Retailer

Display fees

More space results in lesseffectiveness of display

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Limitations

Individual differences in displayreaction

Extensive set of FMCG categories

Dynamic effects and interactioneffects

Display cost v/s Profitability (online

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References

Vandelaydesign.com

Presidiacreative.com

Hellotrade.com Ehow.co.uk

Titanworld.com

Retailworld.com

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THANK YOU