In the competitive world of retail and marketingTo stand out and attract the attention of consumers is a constant challenge for companies.
In this context, the merchandising has emerged as a powerful and strategic tool, capable of influencing consumers' purchasing behavior, optimizing product exposure and strengthening the brand's image in the market.
In this article, you'll learn about one of most powerful tools in marketingIt can boost sales and create a memorable shopping experience for the consumer. Keep up!
What is merchandising?
In principle, the concept refers to the practices adopted by retailers and manufacturers to present products in an attractive way to consumers, stimulating purchases and maximizing sales.
At the heart of merchandising is presentation, how products are displayed, promoted and sold to the end consumer. This can include the physical arrangement of products, promotions and even the layout and atmosphere of the store.
Objectives
Undoubtedly, the main objective of merchandising is to create a pleasant and memorable shopping experience for consumers, where products are presented in a strategic and attractive way, whether in physical stores or online. The strategy also contributes to:
- Encourage impulse buying;
- Maximize sales and profitability;
- Reinforce the brand image;
- Increasing product visibility;
- Create a positive shopping experience for the consumer.
Types of Merchandising
Nowadays, various strategies can be used to increase the visibility of products and stimulate consumers' desire to buy. The choice between one or the other depends on the type of business and the results you want to achieve. Read on.
Visual Merchandising
This refers to the visual presentation of products at the point of sale, using lighting techniques and product layout, colors and decoration to attract consumers' attention and stimulate purchases.
Merchandising at the Point of Sale (POS)
It consists of the organization and strategic display of products at the point of sale, using displays, shelves, gondolas and other elements to highlight products and make it easier for consumers to choose.
Editorial Merchandising
It is the practice of integrating products into editorial content, such as magazines, newspapers, TV shows and films, in a subtle and contextualized way, to promote the brand and products in a more organic way.
Digital Merchandising
This refers to merchandising strategies applied in digital environments, such as websites, social networks and e-commerceusing visual elements, texts and promotions to attract and engage consumers online.
Retail Merchandising
It consists of merchandising strategies applied in retail establishments, using display, pricing, promotion and communication techniques to optimize sales and the consumer's shopping experience.
Factors that can influence merchandising strategies
The success of a merchandising strategy is directly related to the ability to understand and adapt to the variables and trends that influence consumer behavior and the market environment.
Therefore, before designing and implementing merchandising strategies, it is essential to take them into account in order to develop effective actions in line with the expectations and needs of the target audience. Below, we detail some of the main factors that must be taken into account:
Consumer behavior
A thorough understanding of consumer behavior is fundamental to developing effective merchandising strategies.
This means getting to know consumers' preferences, buying habits, motivations and expectations in order to create more targeted and personalized actions capable of generating greater engagement and conversion.
Market trends
Being aware of market trends is crucial to maintaining the relevance and competitiveness of strategies.
Keeping up with news, innovations and changes in the market allows you to identify opportunities, anticipate consumer demands and adapt merchandising strategies quickly and efficiently.
Competition
Analyzing and understanding competitors' merchandising strategies is essential for identifying opportunities for differentiation, improvements and innovations.
Competitive benchmarking makes it possible to find out about the best practices in the market, identify highlights and define strategies that position the company in a unique and competitive way.
Location of the point of sale
The location of the point of sale directly influences visibility, customer flow and product display opportunities.
Therefore, adapting product promotion strategies according to the characteristics and specificities of each point of sale makes it possible to optimize the performance of actions and maximize results.
Seasons and holidays
Taking advantage of holiday seasons and dates is an effective strategy for boosting sales and attracting the attention of consumers.
Creating themed actions, promotions and campaigns aligned with seasonal and commemorative dates allows you to create an emotional connection with the public and stimulate impulse buying.
Product availability
Proper management of product availability is key to ensuring the effectiveness of merchandising strategies.
In other words, you need to keep products in stock, organize replenishment strategically and guarantee the variety and diversity of products available. These are essential aspects for meeting consumer demands and optimizing sales opportunities.
Budget available for investment
The budget available for investment in merchandising directly influences the possibilities and scope of the strategies to be implemented.
Therefore, set an appropriate budget, optimize investments and look for creative and efficient alternatives to develop merchandising actions in line with the company's expectations and objectives.
The importance of merchandising for business
Merchandising plays a fundamental role in the success and competitiveness of companies in today's market.
As we saw earlier, it goes beyond simply displaying products on shelves or creating eye-catching advertisements. It is, in fact, a comprehensive and integrated strategy that offers a number of benefits for brands:
- Influencing consumer buying behavior;
- Optimize the product mix;
- Strengthen the brand image;
- Improving the display of products;
- Maximize sales opportunities;
- Engage and retain customers;
- To be differentiated and competitive in the market.
How can you develop an effective merchandising strategy for your company?
Developing an effective merchandising strategy is a complex process that requires careful planning, analysis and execution.
In order to maximize results and achieve the desired goals, it is essential to follow a set of guidelines and good practices, such as those listed below:
1. Know your target audience
The first step in developing an effective merchandising strategy is to get to know your target audience in depth.
After all, understanding consumers' needs, preferences, behaviors and buying habits makes it possible to create more targeted and personalized actions, capable of generating greater engagement and conversion.
To do this, it is worth market researchsegmentation analyses and consumer behavior studies to gain valuable insights and guide strategic decisions.
2. Set SMART targets for your merchandising strategies
Establish goals clear, specific, measurable, achievable, relevant and time-bound (SMART) is essential to guide and evaluate the performance of your merchandising strategies.
In this sense, set concrete objectives, such as increasing sales by 20% in the next six months, increasing engagement on social media by 30% in three months or improving product visibility and exposure by 50% in the next two months.
Next, align the goals with the company's objectives and establish performance indicators to monitor and evaluate the results achieved.
3. Offer an attractive store layout for customers
The visual presentation of products at the point of sale is a crucial aspect of merchandising. Invest in creating an attractive, organized and intuitive store layout that makes it easy for customers to move around, highlights products strategically and encourages exploration and discovery.
Consider using attractive visual elements, adequate lighting, a logical and functional arrangement of products, efficient signage and themed decoration to create a pleasant, welcoming and stimulating shopping environment for consumers.
It's worth noting that these principles are also valid for online businesses, where the organization, navigability and visual presentation of products are essential for optimizing users' shopping experience.
4. Invest in the right sensory stimuli for your audience
Sensory stimuli play a key role in creating an engaging and memorable shopping experience.
Therefore, use visual, sound, olfactory and tactile elements to stimulate consumers' senses and create a more engaging, emotional and sensory shopping environment.
This can involve selecting pleasant music, attractive aromas, suitable lighting, interesting textures and interactive displays to arouse curiosity, attract attention and encourage interaction and exploration of the products by consumers.
5. Bet on cross-selling
Cross-selling, also known as cross-merchandising, is an effective strategy for increasing the average purchase ticket and optimizing sales opportunities.
To do this, you should offer a combination of related or complementary products, create themed and integrated displays and encourage consumers to explore and discover new products during the shopping process.
Cross-selling makes it possible to expand the variety of products purchased by consumers and maximize the profitability of transactions.
6. Don't forget to decorate the shop windows
This is another merchandising tip for both physical and virtual businesses. This is because shop windows are your point of sale's calling card and play a crucial role in attracting and retaining customers.
So invest in creative, thematic and attractive decoration and display of products in store windows to arouse curiosity, attract attention and encourage consumers to visit and explore the store.
Regularly renovate and update shop windows, create themed displays and promote promotional actions and seasonal campaigns to maintain consumer interest and engagement and optimize sales opportunities.
7. Take advantage of commemorative dates
Take advantage of commemorative and seasonal dates and relevant events to create themed promotions, promotional campaigns and merchandising actions in line with consumer expectations and interests.
Develop personalized actions, create themed displays, promote special offers and encourage impulse buying during periods of high demand and public interest.
In addition, take advantage of the emotional appeal and festive atmosphere of commemorative dates to strengthen the brand's image, generate engagement and boost sales.
8. Make promotional banners
Use promotional banners strategically placed in the store, on the website and on social media to highlight offers, promotions and product launches.
The aim here is to develop clear, creative and persuasive messages that capture consumers' attention, arouse interest and encourage them to explore and buy the promoted products.
Optimize the design, language and content of your banners to maximize visibility, engagement and consumer conversion.
9. Benchmarking
Benchmark and study competitors' merchandising strategies to identify opportunities for improvement, innovation and market differentiation.
Analyze the practices, trends and strategies adopted by competitors, identify points of emphasis and define actions that position your company in a unique, competitive and attractive way for consumers.
In other words, learn from your competitors' successes and mistakes, look for inspiration and insights and develop innovative, creative and effective merchandising strategies to sell more and strengthen your brand.
10. Analyze and monitor results
The analysis and monitoring The continuous monitoring of results is crucial to the success of any merchandising strategy.
To do this, use analysis tools and metrics to evaluate the performance of the actions implemented, measure the return on investment (ROI) and identify opportunities for optimization and necessary adjustments.
In addition, monitor indicators such as sales, customer engagement, conversion, average purchase ticket and customer satisfaction to evaluate the effectiveness of strategies and guide future decisions.
Success stories in merchandising
To exemplify the effectiveness of merchandising strategies, it is worth highlighting some companies that have stood out in the market:
Coca-Cola
Coca-Cola is recognized worldwide for its innovative and creative merchandising strategies.
The company uses visual merchandising efficiently, with attractive packaging, themed displays and seasonal campaigns that align with consumer trends and interests, creating an emotional connection and strengthening the brand's image.
Natura
Natura is another company that invests in differentiated and personalized strategies.
The brand uses editorial and digital merchandising effectively, integrating products into relevant and contextual content, such as magazines, blogs and social networks, to promote the brand and products in an organic and attractive way.
Casas Bahia
Casas Bahia is known for its merchandising strategies at the point of sale and its strategic partnershipsThe most notable of these were the partnerships with Rede Globo soap operas. Who doesn't remember the soap opera The Lady of the Pieceright?
In addition to the strategic merchandising developed together with Estúdios Globo, the company uses merchandising at the point of sale efficiently, with a strategic organization of products, attractive promotions and promotional actions that encourage purchases and maximize sales.
Source: Adnews
Conclusion
Developing an efficient merchandising strategy is key to optimizing product displays, attracting and engaging consumers, boosting sales and strengthening the brand's image in the market.
By following the guidelines and best practices presented in this article and taking inspiration from successful cases, companies can develop and implement innovative, creative and effective merchandising strategies that generate positive results and drive business growth.
For best results and to achieve the desired success, it is advisable to have the support of a 360º marketing agencyWe are a company like CMLO&CO. With the expertise of more than a decade in the market, we offer customized, integrated, creative and innovative solutions that generate positive results and boost business growth.
Invest in merchandising and boost sales, strengthen your brand image and create a unique and memorable shopping experience for your customers with the support of those who really understand the subject. Talk to our marketing and advertising experts.
