Retailers practice merchandising in India by employing dynamic and innovative techniques, promoting products and driving sales. All visual merchandising strategies focus on enhancing the appearance of retail displays to grab the customers’ attention. Wherein the ultimate goal of the product display strategy is conversion.
For example, at clothing stores, merchandise is displayed in a manner that first grabs eyes, leading interested buyers to pick it up, try it on, and ultimately make a purchase.
Almost all retail brands use visual merchandising to generate sales. The key to efficiently displaying retail merchandise is to arrange and organise it strategically. Mentioned below are a few insights that will help you merchandise your store like an expert:
What is Retail Merchandising?
Retail merchandising refers to the strategic placement and presentation of products in-store to attract customers, enhance their experience, and ultimately drive purchases. It’s not just about making shelves look neat – it’s about telling a story that resonates with your target audience.
Retail Merchandising Made Easy: Key Elements
Effective product merchandising includes several core elements: well-planned store layout, strategic product placement, attractive signage, and a focus on sensory engagement. Every touch point should be designed to guide a customer from interest to intent to purchase.
Consistency in visual themes, seasonal updates, and the use of props or motion can turn ordinary shelf space into powerful selling tools.
What Is In-Store Merchandising?
In-store merchandising refers specifically to the on-ground execution of product displays and promotions within a physical retail space. This is where the brand’s design meets execution – helping customers find, interact with, and purchase products easily.
Important Aspects of In-Store Merchandising
Key aspects of in-store merchandising include shelf arrangement, product grouping, planogram adherence, promotions setup, POSM placement, and attention to lighting and space optimization. These practices help create an immersive brand experience.
Retailers that regularly audit their in-store execution can make quick improvements and adjust based on customer behavior and sales data.
In-Store vs General Merchandising: What’s the Difference?
General merchandising involves planning product lines, pricing, and promotions, while in-store merchandising is the execution of that plan inside physical stores. Both are vital to an effective retail and merchandising strategy.
How to Merchandise Your Retail Store
Let’s Dive into 8 Insights That Can Transform Your Approach to Product Merchandising:
1. Refresh Your Retail Displays Regularly
How often do you need to modify the product display at your retail store?
It depends on products, seasons, and circumstances. For instance, during the holiday season, retail merchandisers switch to having a lively display of products to capitalise on the gift-giving frenzy.
On the other hand, grocery stores usually have essential products such as milk, eggs, bread, etc., farther in the store. The front racks sport all the new products so that customers get a chance to see these products as they move towards the essentials.
As a result, it is advisable to keep changing displays regularly to refresh your store environment. An efficient way to modify the display positions is to keep track of product performance and change the shows accordingly.
Related Read: Best Ways to Enhance Your Merchandising Performance
2. Product Grouping
In a retail store, products can be arranged in groups. You can steer this practice by categorising it as per the colour, brand, size, functionality, etc. Merchandisers can also group products as per the price.
However, the best way to set up your retail display is by the appearance of the products. You can group products in a colour-coordinated format. A monochromatic store merchandising does not attract attention.
Successful brands merchandise their products at retail stores based on the functionality of the product. For example, Nestle’s milk powder can be part of the brewing/tea section, while Nestle Maggi can be placed on the snack shelf.
3. Focus on the Front of Your Store
The most attractive and newest arrivals at your store must be placed at the front racks. As soon as customers enter the store, they must be greeted by the best of what your retail store has!
Visual Merchandising plays a vital role in the customer’s buying decisions. First, the shopper visits the store with an intention in mind. Then, ensure that as the shopper moves towards the product they’re looking for, another product grabs their attention, and the shopper considers adding to their essentials.
4. Use Props
You can enhance the appearance of your retail store window by adding a prop. Even the shelves and racks at your store can have a prop that intrigues the audience. This prop could be unrelated to the product at the display.
For instance, you can place a stuffed toy sitting with a bunch of candies or a skateboard at the display of a clothing store. Such extra elements make the audience curious and add to the value of “visual” merchandising.
5. Add Signage at the Store
Signboards at the stores add stellar value to retail merchandising by enhancing the shoppers’ experiences. Signs at the store direct and inform the customers and add to the store’s visual appeal. For example, a giant red sign that says “SALE”- pulls more and more customers towards it.
While installing signs in the store as a part of retail merchandising, it is best to ensure that the characters aren’t too small or unreadable, placed in the wrong position, do not obstruct the shoppers’ way, and are simple yet helpful.
6. Rotate the Displays, Not Fixtures
As new inventory comes into the store, you will need to change the position of the displays. However, the fixtures at your store will remain in the same place.
The products in the front rack will eventually move down the middle. On the other hand, the ones in the middle will be shifted to the back of the store.
7. Appeal to the Senses
To increase the impact of brands and products on the customer, brands need to cater to the five senses- smell, taste, sight, touch, and hearing. For example, you might have come across stores with fragrance diffusers inside the store; these cater to the sense of smell.
Apart from that, announcements at the store that help shoppers cater to hearing. For instance, important discount announcements, new product arrival, etc., can be announced to create awareness among the shoppers.
8. Add Motion to Your Displays
Static merchandising creates a visual appeal through colours and patterns arranged strategically. However, adding a tad bit of motion to your retail display could help merchandisers scale up their merchandising game. A rotating shelf at a grocery store is an example of motion.
Common Merchandising Mistakes to Avoid
Avoid cluttered displays, inconsistent branding, poorly lit areas, or signs that confuse more than help. Neglecting regular updates or not tracking customer flow can also reduce the impact of my merchandise strategy. Keep learning and refining.
Tips for Better Merchandise Displays in Stores
- Start with a customer-first mindset
- Use data to inform decisions (bestsellers, walk paths)
- Keep displays clean, inviting, and interactive
- Reinforce promotions with endcap displays
- Test what works, and rotate frequently
Also Read: Retail Store Layout: Key Steps to Consider Before Store Design
Conclusion
These 8 insights are just the starting point for building an impactful product merchandising strategy. Creativity, customer psychology, and real-time data all play a role in how you present your products. By applying these methods consistently, your store can offer a more engaging experience, turning casual browsers into loyal buyers.
Frequently Asked Questions
1. What is the best way to merchandise a retail store?
Focus on product grouping, visual balance, and high-impact entry zones. Use props, signs, and sensory elements to influence shopper decisions.
2. How can I improve my store’s visual merchandising?
Refresh your displays regularly, group items logically, and use eye-catching signage. Keep it clean, consistent, and aligned with your branding.
3. How often should I change my store displays?
It depends on product cycle, promotions, and footfall. Seasonal changes and monthly refreshes are common benchmarks in retail and merchandising.
4. How do I choose the right layout for my store?
Consider your target shopper journey, popular product categories, and space optimization. Flow and accessibility are key.
5. How can lighting affect my merchandising?
Good lighting draws attention to key products and enhances the overall ambience. Poor lighting can hide great merchandise and reduce sales.
