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Chapter 7: SUGGESTIONS AND

RECOMMENDATIONS

This chapter presents:

7.1 - Proposed models based on finding

7.2 - Limitation of study

7.3 –Practical recommendation for–cosmetics and Perfumes category

7.4 – Suggestions and recommendations

The researchers three years’ work on the topic of study of visual merchandising practices in

Retail Industry in Mumbai with special reference to cosmetics and perfumes, and her

favorable response for her data collection helped her in creating the model

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7.1- Proposed models based on findings

(A) Proposed model of impact of Visual merchandising on Customers

buying process.

Model developed by Harmeet Kaur Bhasin

The above model is based on the findings. This model explains in eight steps how visual

merchandising creates an impact on the customer during his shopping or buying process. As

Steps in the buying process

Step 1. Need recognition

Step 2. Awareness

Step 3. Comprehension

Step 4. Attitude

Step 5. Legitimization

Step 6. Trial

Step 7. Adoption

Step 8 Post purchasing behaviour

Elements of Visual

Merchandising

Store Location/ Store Entrance/Facade

Window Displays, Awings, Exterior display

Store planning and Layout

In-store merchandise arrangements and

assortment planning

Sensory retailing and store

atmospheric/ambience

Open and touch displays, testers and

samples

Displays at cash counters and at the exit of the

store

Impactof Visual

Merchandising

Customers attention:Customers get attracted and pays attention/ Makes

Store selection

Customers impression: Customers Get information about the line of

merchandise / creates Store impression

Customers navigation:Customers navigates towards the right merchandise

/Focal points /Brand impression

Customers ease: Customer selects the right merchandise easily

Customers Delight:Techniques of VM Delights customers/ engages and retains

customers in store

Customers decision climax:Finalizes customers buying decision

Customers Action: Customer purchase action

Customers satisfaction: Creates Store loyalty and store image

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mentioned in by Ramaswamy Namakumaru in their book “Marketing Management –Global

perspective – Indian context” regarding buying process which is identified as eight stages in

buying process. The researcher had highlighted the impact and efforts of visual

merchandising in each step so that the customer completes the buying process with simplicity

and ease.

Step 1- Need recognition – This is the first step in the buying process where the impact of

the visual merchandising techniques results in Consumers attention – The process of buying

starts with the recognition of need for the product. The customer gets attracted with the

exterior store appearance, beautiful entrance and well planned façade and decides to enter the

store.

Step 2 – Awareness – At this stage the efforts of Visual merchandising creates an impression

in the minds of the customer related to the line of merchandise the retailer is and the store

image plus the brand image. At this stage the customer becomes aware of the type of the

product. The customer gets full knowledge about the line of merchandise ,brand image,

objective of the retailer etc through the window displays and exterior signage’s and displays

which induce his interest further to enter the store with a specific plan in his mind.

Step 3 – Comprehension - Comprehension comes out of his ability to reason with the

information. Interior displays, signage’s and fixtures, layout of the store, planned

arrangements and displays helps him in navigating in the store towards different merchandise

and the merchandise of his interest.

Step 4 – Attitude – A customer develops an attitude favorable or unfavorable towards the

merchandise. The in-store merchandising display with right assortment planning helps

develop a favorable attitude towards the merchandise and the retailer. It also makes the

customer feel that the retailer is serious about his business and values customers. Further the

right assortment, mannequin display, range of color, right merchandise, proper lighting, and

color display in the store which puts the customer at ease. Etc. Helps the customer while

choosing a product and making a buying decision and positively activates his buying process.

Step 5 –Legitimization – At this stage the customer legitimizes his purchase decision. The

greeter, the fixtures, music and fragrance, the over-all store ambience the use of sensory

retailing, the lay out creates a positive image in his mind about the store and the brand and

delights the customers. This further relaxes him and makes him a fun shopper to explore the

store or the retail outlet.

Step 6 – Trial –AT this stage the impact of the visual merchandising techniques brings the

customer to his final decision. Conviction leads the customer to try the product. Proper

arrangement s of samples and testers play an important role here. The touch and check kind

of display play wonders for simplification of the buying process.

Step 7 –Adoption – The customer ultimately makes his buying action and completes his

process of buying and is satisfied with the retail environment, choice of store, choice of

merchandise and his shopping efforts. He accepts the invitation created by the retail outlet for

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his repeat visit. The store environment further helps in creating and building store patronage

which gets reflected in his post purchase behavior.

Step 8- Post purchasing behavior -- Visual merchandising helps him to attain a specific

type of post purchasing behavior where he is a satisfied customer towards the store and the

merchandise without any doubts his mind and cherish his shopping experience. It further

ensures a repeat visit of the customer towards its retail outlet whereby the customer buying

process is simplified. The shopping experience, as created by the store environment,

plays an important role in building store patronage and customer loyalty towards a

store.

(B) Visual Merchanding Communication and sensory retailing in relation to

store design

The below model is based on the findings of the research. The researcher wants to specify the

role of VMC (Visual Merchandising communication) in relation to the store design and the

use of sensory retailing which is the best combination for winning retail. She stresses on the

following aspects from the above model that is

Visual Merchandising communication is one of the quickest and most effective ways

to improve retail profits.

Visual Merchandising and communication helps improve the conversion of visitors to

purchasers and increase transaction values by encouraging multiple sales.

Visual Merchandising communication with the help of sensory retiling plays wonders

in today’s retail.

The purpose of Visual Merchandising is to attract customers to the merchandise for

closer examination.

Store design is an extension of integrated retail communication which is also a

powerful weapon to communicate store image.

Visual Merchandising communication is successful when the store design is made

keeping in mind the sensory retailing technique:

Design for visual appearance

Design for feel of the environment through smell and sound

Design to release stress of the customers

Design for merchandise touch

Design for store perception and convey a story

Design for Image and reputation.

The below model states the Store design motives and objectives of an effective store

environment helps in winning customers and brings success in retail business.

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Model 2 – Proposed Model -Visual Merchanding Communication and sensory retailing

in relation to store design

Model No. 2: developed by Harmeet Kaur Bhasin

Visual Merchandising communication and Sensory

Retailing

Customer Senses and Retail Design

Retail Design for Merchandise

touch/ Physical apperance/ Touch

Interactive

display

Touch and Feel

displays/ Texxtures, fixtures , flooring

Sight /Retail

Design for Visual

apperance

Merchandise presentation

Signage

Graphics

Store Layout

Presentation methods

Assortment

Lights

Colours

Window display

Mannequins

Store design

Design for

creating store

image

Design for reputation,

store perception and unique

identity

Design for feel of

environment/ Hearing and Smell

Music , Fragrance,

aroma

Store Design Motives

Market competition,

Introduction store concept,

Developing customer loyalty,

To Improve customer

satisfaction rate

Store

Design/Environment

Fixtures, signage,

Layout, Décor, Store

Façade, Floor / Ceiling

etc.

Objectives: To

Provide pleasant

environment for

making shopping

decision and

choice,

To create an

attractive

atmosphere for

shoppers and give

alternative choice

dimension for

consumers,

To provide

consumers with

varied judgment of

value

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(C) Proposed diagrams -Importance of Visual Merchandising in India in

winning modern retail Each time when a vendor arranges his goods to look more attractive it is Visual

Merchandising. Everything depends upon presentation and presentation plays a key role in

retail. The best combination to make a sale success is product+ Environment + space which

should result into a stimulating and engaging display which encourages sale.

Diagram -1.

The above diagram pinpoints the most important elements for making retail a successful

affair. According to researcher it is a tough job for a retailer to maintain and build brand

awareness through a strategic visual merchandising concept as well as to reinforce the value

preposition of their market at the point of sale. What is needed is a creative fusion between:

Brand communication + window design + Visual merchandising +Retail Architect +

Point of sale marketing

Out of the above mentioned elements of success, VM is a key success factor; it is the heart of

the brand. It works wonders when we see customers interacting with merchandise every day

Proactive Retail Brand Marketing apprach

Window Design

Retailers Key strategy

Retail Architect

Point of Sale merchandise

Brand Communication

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and retail gives this platform. Retail is the most personalized and enduring relationship with

the customer which an online shopping or technology cannot do. The interaction is very

important and when customers interact an environment pleasing to them should be provided.

The researcher believes in ‘Proactive Brand Retail Marketing Approach’ i.e. ideally the

point of sale is turned into a platform to sell where the retailer needs to go beyond the

classical presentation of merchandise. For.eg. instead of classical windows one can have

video windows or video walls (Many electronic companies like LG or Samsung had launched

video walls, such large display of video can be experienced in Airports. A retailer can also

turn the whole building front into a video wall. ) Even 3 dimensional technologies give a

unique look and pull the customer in.

According to the researcher “India market gives strong demographic dividend i.e. ‘young

India’ based on this dividend a lot can be explored.

The young India: Against the backdrop of an ageing world, India possesses the advantage of

having a largely young population. 35 percent of India’s population is under 14 years of age

and more than 60 per cent of the population is estimated to constitute the working age group

(15-60) till 2050. Two-thirds of Indian population is under 35, with the median age of 23

years, as opposed to the world median age of 33. India is home to 20 per cent of the global

population under 25 years of age. This trend is projected to continue for the next decade, with

the share set to reach its maximum in 2012.157

The large proportion of the working-age

population translates to a lucrative consumer base vis-à-vis other economies of the world,

placing India on the radar as one of the most promising retail destinations of the world.

Retailer’s strategy today should be to bring in right range, shoppers engagement, High

pick up and selection rate and one stop shopping facilities for the young generation. The

realities of shoppers today is that they are influenced by peer group, friends. Majority of them

are pre decided of the category and brand they will buy. Shoppers use anchor brands to

navigate. Information and education had changed their behaviors. Mobile and internet is

providing more precision to their shopping behavior. Such customers or shoppers should be

tackled with three important imperatives by the retailers i.e.:

Right Range by optimizing assortments

Efficient Promotions

Clear merchandising where VM plays a great role.

157 IBEF( India Brand equity foundation),Retail and market opportunities , retrieved 25th Oct 2012 from

www.ibef.org

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Diagram -2

Not seen means Not available: so the merchandise should be easily located by the shoppers,

here we need to give simplicity of navigation.

A range complexity is equal to Blindness; The VM strategy should be simple for a layman to

understand and should be easily displayed through internal sign and signage.

Too much merchandise will disinterest the shoppers: VM strategy should be to highlight the

best.

Too little merchandise will result in loss of sale: A right assortment or right range needs to be

put up and it is a challenging job.

Diagram -3

Ret

aile

rs S

trat

egy

- St

ore

imag

e

Shoppers engagement

Clear Merchandising

Efficient Promotions

Merchanding attracting young generation

One stop shopping facilities

Visual Merchandising -

assortment strategy

Clear Merchandising

Not seen means not available

Range complexities is equal to blindness

Right Range/OPtimizing

assortments

Too little merchandise result

im loss of sale.

Too much merchandise

disinterest shoppers

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As per the researcher during the period of 2013 modern retailers has become wiser from

experience and are drawing up expansion plans after a period of introspection and market

shocks of post-recession. They have reworked their strategies to ensure that growth is

consistent and high rents and operational cost is not in the way of growth. Many high street

single store brand closed down their shops to come into the multi-brand retail formats

especially to malls that draw large footfalls.

Organized retail firms from the Future group, Reliance and Aditya Birla group are making

money from supermarkets, convenience stores, hypermarkets and specialty stores. The

consumer spending power is rising which has kept the whole show on. New brands are

entering the organized retail. Organized players who had shut up their shops during recession

and post-recession are back now with new strategies.

Recession has increased the importance of retail design as people are looking for new values.

Everybody is searching for new ways to be successful during the crisis and to emerge even

stronger now. Competition in the Indian market is increasing as international brands are

entering the Indian markets. Retail landscape is changing as the concentration is on branded

retail and shopping mall portfolio. Existing brands and retailers are under heavy pressure as

customers awareness is less due to weak brand appearance. There are premium malls

appearing. Retailers are willing to improve their Visual merchandising standards. This can be

judged on the basis of the increasing Indian cliental of the top most retail design firms like

LiGANOVA, four dimensions Retail design India. Pvt. Ltd., DFC, FITCH, Design Forum,

Shark Design studio etc.

Majority of the Indian retailers business lays in the local market which do not follow any VM

standards, they rely on the basic set up which does not incorporate the growing young

population’s needs.

What is needed today is Brand DNA which should be visible throughout the store. There

needs to be consistent brand message through VM standards. The standardization of strong

international brands need not be changed for local needs as even localite needs to be treated

as international customers and get the global feel.

Here lies the question how much localization is needed. What is needed is the concept of

‘Global localization’. The VM needs to give a local flavor which needs to be further

integrated to global concept i.e. ‘Global Localization’.

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(D) Reflection of the researcher on findings

Retail format in India are reflecting Visual Merchandising strategies. New categories are on

their way. Mobile and technology products are still learning to do it. More and more open

browsing formats are coming up but on the on the contrary apparels, fashion and technology

products needs help or assistance for making purchasing decision. It is observed that an

Indian consumer with 3-4 minutes look around for help unlike the west. Open browsing

formats are increasing the consumers’ confidence, but still what is a right format depends

largely on shopping behavior and consumer psyche. A retailer needs to understand the

changing lifestyle of shoppers and should be in a position to deliver their expectations

through retail. Rishi Vasudeva (Brand Director, Arvind Brand) says that “India is a

dynamic market with top shopping trends. 60% of Indian population will be less than 35

years. Development of malls further will be 1.5 times of current mall space in the next 3-4

years. There will be tremendous revamping of Old Street and emergence of new high streets.

So more retail facades will be seen on the high streets”.

The top trend in retail is as follows;

There is a huge rush for brands

Convenience is what customers are looking for today.

Mass customization is on.

‘Pull him in’ is the call of the retailer.

The emergence of women as a major influence in all buying decision. Large working

women population means more self-sufficiency.

Shopping a new family entertainment.

Development of malls and new markets has brought lifestyle retail.

Changing face of high street with retail facades.

As per the Researcher the role of retailers and Visual Merchandisers for

catching up the above trend

Retailers and Visual merchandisers need to play a major role as visual merchandising has

become an important aspect of retail. Mr.Anuraag Singhal (Head-VM, Future Axiom

Telecom Ltd.) gave me a clear picture of what is yet to be achieved. While speaking on the

subject of “Current scenario of Visual Merchandising in India” He said that “India has

just seen a prologue of modern retail. A Country where the trade has been primarily

subjugated by the middlemen- Stockiest, Baniyas and Dukandaars- modern retail is bringing

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about a slow but a steady change in the shopping behavior of the Indian consumer. As

organized retail grows and number of players increases, the pressure on the bottom lines and

throughout in stores increases the role of Visual merchandisers would become more and more

crucial. Higher conversations would be the key accountability for all visual merchandisers.

Even as of today the key metros have already seen a boom in terms of malls,

hypermarkets/supermarkets, fashion and department stores and multiplexes and initiatives

like ‘Adhaar’ and ‘Choupaal’ and efforts being made by corporate to percolate into the

smaller towns and even villages.”

Taking on the Role of Visual Merchandising Mr. Anuraag says that “Visual merchandising

would have to find its own path of growth in these evolving markets. I see the future of

Visual Merchandising evolving into more as a tool for management of customer experience

making sure that the brand ethos touches not just a customer’s mind but also their heart.”

As per researcher few visual merchandisers in city like Mumbai has achieved the below

objectives and few needs to achieve it. Visual merchandising successfully helps in increasing

sale as simple element of visual merchandising like window display would function more as a

store-level marketing tool, which would be more cost-effective than other similar media. As

per the researcher the role of visual merchandiser is also to:

To know and understand what shoppers do while shopping? Retailers need to engage

customers in the store through their displays and then score a sale.

To create such a design and display which would make the customer feel that he is

treated as a friend.

To improve display to communicate a story. It should impress the three generation

specially the young.

To display with a sense of social responsibility by not putting a bad impact in the

minds of young generation.

To create such a design that puts the customer at ease and relaxes him.

To display the Brands in such a way that it should be reflection of style, attitude and

status.

To follow the rule that “Convergence is better than divergence” i.e. standing for

something rather than fall for everything. Standardization is the key of success.

To plan the Assortments properly for mass customization i.e. how to make each

customer feel that the offering is designed for him.

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To create a ‘Pull him in’ strategy through displays and designs without the shoppers

or customers knowledge.

To keep in mind that people want to buy and not to be sold hence eagerness to serve is

negative. Being around in case of help is needed is a great format. Rest should be left

on the Visual merchandising display and design which will do wonders on its own.

As per the Researcher: The VM design and display should delight the customer

therefore the bottom line of VM is to delight the customer and shoppers by its creativity

and simplicity.

According to the researcher Good Design need not be expensive; A Good Design needs to

surprise the customer with something they have not dreamt of. By entertaining the customers

the retailer thinks that he has done his job. But just entertaining is not all. A good retail

design is all about engaging the customer. It is not all about what a retailer sells but about

how he sells.

As per the researcher there are 3 important things a customer wants:

Environment

Service

Product

Out of the above stated elements Environment should provide the shoppers ease like proper

departments, easy navigation etc. There should be a Wow factor in the design of the store.

With consumers getting more and more educated they need an appealing environment which

a visual merchandiser can give.

Finally “a retailer sells hope. People come to buy hope” and VM should play such a role

that even if the hands or purses become empty the customers heart should be full.

A piece of advice to all Visual Merchandisers is

“Do less but do well; Standardization is the key of success” Which will simplify the

shopping efforts of the customers.

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7.2 - Limitations of Study

The study focuses on the impact on Visual Merchandising on increasing sales, store

image, customer satisfaction. Theses outcome also depends on other variables.

This study is limited to the city of Mumbai

This study had mainly focused on the category of cosmetics and perfumes so no

generalization can be made for the other categories

This study investigates the position of visual Merchandising in the Indian setup taking

the mindset of Indian consumers and cannot be compared with International standards

or features

This study largely studies the Visual Merchandising set up in the organized retail.

7.3 –Practical recommendation for–cosmetics and Perfumes category

There is a need of bringing in creativity in the fixtures used for cosmetics and

perfumes in Mumbai retail outlets.

There is a need for better trial counters and demonstrations for the cosmetics and

perfumes category.

There needs to be an improvement and advancement in the type of lighting been

used for the cosmetics and perfumes stores and counters

7.4 – Suggestions and Recommendations

Further Scope of research

There is a wide scope for future research. This same study can be extended in by

comparing the impact of advertising on sales as compare to impact of Visual

Merchandising or comparing the impact of front-end staff on sale as compared to

impact of visual Merchandising on sale.

The study can be extended in comparing the standards of VM nationally and

internationally and their impact on their respective customers

Recommendation

This study can also be extended in designing the budget for visual merchandising and

hiring the retail design firms.

This study can be practically implemented by the retailers and visual merchandisers to

bring in the right techniques of visual merchandising.

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