MAM 1010 Management and Marketing Basics Retail Merchandising

MAM 1010 Management and Marketing Basics Retail Merchandising Strategies

Retail Merchandising l An element of marketing concerned especially with the sale of goods and services to customers

Retail Merchandising Promotional sales activities designed to show a product or service in a favorable light so that it will be purchased by the consuming public. l The act of managing and arranging the merchandise on display in a store so as to promote its sale. l

Retail Merchandising Retail merchandising in Canada covers a wide range of businesses, from the small independent sole proprietor to the large national department store chain. l The role of merchandising within a business is influenced by the size of the operations and the retailers perceptions of advertising’s importance in the promotion mix. l

Retail Merchandising Strategy l "The planning involved in marketing the right merchandise or service at the right place, at the right time, in the right quantities, and at the right price. "

5 Types of Retail Merchandising Strategies l Product l Pricing l Placement l Service l Promotion

Product Merchandising Strategy Sampling and product demonstrations l Shelf positioning l Shelf control l Packaging l Brand selection and identification l Scrambled merchandising l Narrowing the product line l

Pricing Merchandising Strategy l Multiple Pricing l 1 l for $1. 00 or 2 for $1. 75 Unit Pricing on Shelves l Translation of product price into cost per standard size or weight l Loss Leaders l. A product or service sold at a substantial discount in order to generate additional sales.

Place Merchandising Strategy Size of Store l Layout of Store l Use of direct lighting to enhance products l Items placed at check out l

Service Merchandising Strategy Hours of operations l Franchising l Loyalty programs l Delivery l Gift wrapping l Installation and repair l Satisfaction guaranteed l

Promotional Merchandising Strategy Visual merchandising l Posters and advertisements l Shelf cards indicating specials l Free samples l Contests and coupons l Packaging and labeling l