35 terms

retailing chapter 13

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4 elements that compose the store environment
1. visual communications
2. store planning
3. store design
4. merchandising
2 primary objectives of a retail stores environment
1. creating the desired store image
2. increasing space productivity
the starting point in creating the store image
is the merchandise carried in the store, along with the retailer's promotional activities, customer service, cleanliness, and sales force
shrinkage
represents merchandise that cannot be accounted for due to theft, loss, or damage
planning an effective retail store
resembles planning an effective piece of writing, and moving through a store as a customer is similar to reading an article or a chapter in a book
floor plan
is a schematic that shows where merchandise and customer service departments are located, how customers circulate through the store, and how much space is dedicated to each department
microretailing
occurs when a chain store retailer operating over a wide geographic area, usually nationally, tailors its merchandise and services in each store to the needs of the immediate trading area
stack-outs
are pallets of merchandise set out on the floor in front of the main shelves
5 basic type of space needs in a store
1. back room
2. office and other functional spaces
3. aisles, service areas, and other consoling areas of the main sales floor
4. wall merchandise space
5. floor merchandise space
back room
to operate virtually any type of retail store, some space is required, which includes the receiving area to process arriving merchandise and the stockroom to store surplus merchandise
offices and other functional spaces
this often includes a break room for associates, a training room, offices for the store manager and assistant managers, a cash office, bathroom facilities for both customers and employees, and perhaps other areas
aisles, service areas, and other non-selling areas
even on the main sales floor, some space must be given up to non-selling functions, the most obvious of which are aisles that move shoppers through the store
wall merchandise space
The walls are one of the most important elements of a retail store. They serve as fixtures holding tremendous amounts of merchandise as well as providing a visual backdrop for the merchandise on the floor
floor merchandise space
the store space with which we as shoppers are most familiar. Here many different types of fixtures are used to display a wide variety of merchandise. Generally speaking, retailers use bulk fixtures on the floor to carry large quantities of merchandise
space productivity index
is a ratio that compares the percentage of the store's total gross margin that a particular merchandise category generates to its percentage of total store selling space used
free flow layout
is a type of store layout in which fixtures and merchandise are grouped into free-flowing patterns on the sales floor. Customers are encouraged to flow freely through all the fixtures since there are usually no defined traffic patterns in the store
grid design
in which the counters and fixtures are placed in long rows or "runs," usually at right angles, throughout the store. Customers circulate up and down the fixtures
loop layout
is a type of store layout in which a major customer aisle begins at the entrance, loops through the store-- usually in the shape of a circle, square or rectangle-- and then returns the customer to the front of the store
spine layout
is a type of store layout in which a single main aisle runs from the front of the store to the back of the store, transporting customers in both directions, and where on either side of this spine, merchandise departments using either a free flow or grid pattern branch off toward the back side walls
on-shelf merchandising
is the display of merchandise on counters, racks, shelves, and fixtures throughout the store
bulk or capacity fixture
is a display fixture that is intended to hold the bulk of merchandise without looking as heavy as a long, straight rack of merchandise
feature fixture
is a display that draws special attention to selected features (ex. color, shape, or style of merchandise)
visual merchandising
is the artistic display of merchandise and theatrical props used as scene-setting decoration in the store
4 main parts of a store design
1. storefront design
2. interior design
3. lighting design
4. sounds and smells: total sensory marketing
ambience
is the overall feeling or mood projected by a store through its aesthetic appeal to human senses
storefront design
if the retail store can be compared to the book, then this is like the book cover
interior design
we can breathes into two types of elements: the finishes applied to surfaces and the architectural shapes
lighting design
brighter lighting in a wine store influences shoppers to examine and handle more merchandise. Department stores, on the other hand, have found raising lighting levels in fashion departments can actually discourage sales because bright lighting suggests a discount-store image
sounds and smells: total sensory marketing
effective store design appeals to the human senses of sight, hearing, smell, and touch, the majority of design activity in a retail store is focused on affecting sight
5 types of signage
1. name, logo, and retail identity
2. institutional signage
3. directional, departmental and category signage
4. point-of-sale signage
5. lifestyle graphics
name, logo, and retail identity
the first and most visible element in a comprehensive visual communications program is the retailer's identity, which is composed of the store name, logo, and supporting visual elements
institutional signage
describes the merchandising mission, customer-service policies, and other messages on behalf of the retail institution. This signage is usually located at the store entrance to properly greet entering customers, as well as at service points such as the service desk, layaway window, and cash registers
directional, departmental and category signage
serves as the highest level or organization in an overall signage program
point-of-sale (POS) signage
is intended to give details about specific merchandise items, it usually contains more words and is affixed directly to fixtures. It includes a set of sign holders used throughout the store, along with a variety of printed signs that can be inserted into the hardware
lifestyle graphics
many stores incorporate large graphics panels showing so-called lifestyle images in important departments. These photo images portray either the merchandise, often as it is being used, or simply images of related items or models that convey an image conductive to buying the product