Virtual Business Product Decision & Merchandising

Product Decision Businesses must identify products/services & create a product mix that will best fill customers needs.

Merchandising Often called “Product Placement” in which merchandisers must decide what products to carry and where to place them in the store

Visual Merchandising The coordination of all of the physical elements in a place of business that are used to project the right image to its customers.

Display The visual and artistic aspects of presenting a product to a target group of customers.

Store Layout -Way store floor space is used to facilitate & promote sales. Selling Space – Space for interior displays, product demos, & sales transactions. Merchandising Space – Areas used to stock & display items sold in the store. Personnel Space – Areas used for employees (i.e. Breakroom) Customer Space – Areas used for customer comfort & convenience. (i.e. restrooms)

Fixtures Permanent or moveable store furnishings, such as display cases, counters, shelving, & racks that visually display store merchandise.

Strategic Merchandising Certain products may be placed in such a location as to encourage shoppers to navigate through different parts of the store

Impulse Sales Place impulse products in locations in which there is a high amount of store traffic

Complementary Sales Place related products near each other will increase sales.(I.e. chips & salsa placed near each other)

Merchandising Terms Merchandising Space – Part of the store assigned to products that are kept for selling Point-of-Purchase Display – Display found close to or at the register to promote impulse purchases Impulse Products – Products that you do not specifically go to a store to buy, but may buy if you see them. Products of Necessity – Products you need & specifically enter a store to purchase. Complementary Item – Product that is usually consumed with another product. Related Merchandise Display – A display containing complementary products.