The elements of a
store’s environment & its two primary objectives are very important in
setting the retail store. There are two primary objectives of the store
environment. First is the store image. It is how much we spend in order to get
customers into the store.
It were affected by such
things like location, employees,
promotional activities, layout, merchandise, lighting, cleanliness, service offerings.
Meanwhile the second one is space productivity. It is how much is necessary to keep customers inside the
store for longer periods so that we can expose them to more products, thus
increasing the probability that they purchase.
Figure 1: Elements
of the Store Environment
The
figure 1 above shows that the four important elements of the store environment
in store layout and design. First is store planning. In store planning, it is
more focus on the allocation of space and how it is used. There are numerous types
of space which are walls, sales floor, back room that receive areas for
shipments & stockroom, office & other functional areas such as break
& training rooms, offices, and bathrooms, aisles, service areas, and other
non-selling space such as dressing rooms, service desks, and others. In order
to plan space allocation, it requires the retailer to first analyze the
profitability and productivity of various merchandise lines. Besides that,
retailers also need to improve an existing store’s space productivity through
the space productivity index. For example, we can compares the percentage of
the store’s total GM for a category to the percentage of space allocated to
that category and compare the index figures such as 1.0 is ideal, need to
increase allocation to make more money by having more product available if
greater, and need to remove some space if less. Space allocations for a new store has 2 methods for calculating sales per Sq. Foot which are traditional that total
sales / total sq. ft. in the store and Bob Kahn’s approach can be calculated through the number
of customers X the length of time in the store
·
Layout
and Circulation Patterns:
·
Free-Flow
Layout
·
The
Grid Layout
·
The
Loop Layout
·
The
Spine Layout
Disney
·
Kohl’s
“Modified” Loop Layout
·
The
Only Patented Layout –
Clarence Sander’s Piggly Wiggly
Clarence Sander’s Piggly Wiggly
Merchandising
In planning fixtures and merchandise presentation, it is dramatically affected by one’s store layout and design. For example, the placement of offices
& other security windows. This is to increased emphasis on presentation as retailer seek to
maximize sales out of existing square footage. There are two basic types of merchandise presentation:
- On-shelf merchandise
The display of merchandise on counters, racks,
shelves, and other fixtures throughout the store. Fixtures must not only present merchandise attractively, but also
display in such a way that it’s easy to understand and is accessible.
- Visual merchandising
The artistic display of merchandise and theatrical
props used as scene-setting decoration in the store. It is typically not shoppable, but impacts affect and
accessorization. For example, how retailers can offer service without people and helps customers know what to buy.
Example of
Visual Merchandising
Merchandise Presentation and Likely Customer Affect & Price Image
• Methods of merchandise presentation:
1. Shelving
2. Hanging
3. Pegging
4. Folding
5. Stacking
6. Dumping
Merchandise Presentation and Likely Customer Angles or Sightlines
Merchandise Presentation and Vertical Color Blocking
Store Design
It is an overall goal is to create a desirable ambience. A function of at least four different factors:
1. Storefront design
All successful retailers will have storefronts that
are noticeable, memorable, easily identifiable. It must includes not only the store front décor, architecture,
and building materials, but also window displays and any advertising. Besides, poor performance here will dramatically lessen one’s
overall traffic.
Storefront Design
Visual Communications
•
5
General Areas of Visual Communication:
1.
Name,
Logo, and Retailer Identity
2.
Institutional
signage
3.
Directional,
Departmental, and/or Category signage
4.
Point-of-Purchase
(POP) signage
5.
Lifestyle
Graphics
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