Store Layout, Design, and Atmospherics 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) (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)

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

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

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?