Consumer Behavior Special Topic Store Layout Design and

Consumer Behavior Special Topic: Store Layout, Design, and Atmospherics

Meeting Store Design Objectives • Design store and product mix to fit target market. • Design for Convenience and/or Image and/or to increase sales/profitability • Atmosphere: “Any surrounding or pervasive element or influence” • Non-Product Related Stuff (Atmospherics) • vs. Product Related Stuff (Merchandising) Source: Funk & Wagnalls Standard College Dictionary, 1974

Effect of Atmospherics on Mood • Enjoyable shopping environments can induce positive moods in shoppers (1) Smith and Sherman 1993

Effect of Mood on Shopping Behavior • Positive Correlation between Mood and: • Satisfaction with Retailer (2) • Rating of Overall Store Image (3) • Number of Items Purchased (3) • Time Spent Shopping (3) • Amount of Money Spent (3) (2) Babin and Darden 1996 (3) Sherman and Smith 1987

Retail Atmospherics: Outline • Social Factors – Retail Density / Employee Availability • Ambient Factors – Music / Lighting / Scent • Design Factors – Color / Signage / Layout

Atmospherics - Social Factors • Retail Density – Eroglu and Machleit 1990 • Web download time analogy • Employee Availability – Baker et al. 1994

Atmospherics - Design Factors • Color (Warm vs. Cold) – Bellizzi et al. 1983 • Signage (Present/Bold vs. Absent) – Various Sources • Layout (Grid vs. Free-Flowing) – Various Sources

Receiving & storage Grid Store Layout Fruit Vegetables Books, magazines, seasonal display Checkouts Cart area Entrance Office & customer service Exit

Grid Layout • Who uses it? • Used in grocery and drugstores. • What’s good about it? • Cost efficient. • Easy to navigate / remember

Racetrack Layout • Who uses it? • What’s good about it? • Draws customers around the store. • A. K. A. --loop. • Time spent in store…… • Show BEST Product “racetrack” design:

Free-Flowing Layout

Free-Form Design • Fixtures and aisles arranged asymmetrically • Used in small specialty stores and departments within large stores. • Pleasant ambiance doesn’t come cheap.

Free-Form Layout Clearance Items Feature Open Display Window Tops Accessories Pants Stockings Casual Wear Jeans Checkout counter Feature Open Display Window Skirts and Dresses Dressing Rooms Underwear Hats and Handbags Storage, Receiving, Marketing

I. C. B. @ Bloomingdale’s • Fixtures with latest garments are placed along the perimeter to draw customers into area. • Flooring and lighting delineate department. – See picture on next slide. . .

Store Layout for Cost, for Image, or for Convenience ? • Wal-Mart? • CVS? • JC Penney? • Building 19? • Staples?

Behavioral Design Issues • Show Paco Underhill Clip – Decompression Zone – Butt-Brush Factor – etc.

Atmospherics - Ambient Factors • Music (Waiting in Line) – Hui, Dube and Chebat 1997 • + Perceived wait duration • + Emotional Eval. of Service Environment • + Approach Behavior • Music (Loudness) – Smith and Curnow 1966

Atmospherics - Ambient Factors • Music (Liked vs. Disliked) – Gorn 1982 • Music (Fast Tempo: Supermarket) – Milliman 1982 • Music (Slow Tempo: Restaurant) – Milliman 1986

Atmospherics - Ambient Factors • Lighting (Harsh vs. Soft) – Various Sources • Scent (Present vs. Absent) – Hirsch and Gay 1991 • Scent (Odor #1 vs. Odor #2) – Hirsch 1995 (Casino Study) – Show Casino Layout

Alan Hirsch, M. D (The Scent Guy…)

Casino Study Questions • Do you see any relation between this and a normal retail environment? • Is pumping in a scent like Odorant A any different than pumping bakery smells across a grocery store? • Of you were a store owner, would you use Odorant A if you could? • Is there a potential downside to it?