Amy Louisa Riley
Unit 16: Visual Merchandising
How should we set out the shop and why?
Introduction
Visual merchandising in a retail setting is described as the art of attracting, engaging and
motivating the customer to make a purchase. It starts on the outside of a store and carries on
to the interior presentation. There is also a science behind it with different visual merchandising
techniques being used by retailers to develop floor plans and to decide how to optimize the
presentation of products and highlight their features.
The two businesses with contrasting styles which I have chosen for this report are Hennes &
Mauritz (H&M) and LUSH. H&M is a clothing retailer and LUSH is a cosmetics retailer.
H&M group is a global fashion retailer started in Sweden in 1947. Originally called Hennes
(Swedish for ‘hers’) the companies name was changed in 1968 when clothing lines for men and
children were also introduced. Today the company has grown into a global brand with more
than 3,500 stores, delivering the hottest fashion trends around the world. 289 of these stores
are based in the UK. The layout of the front entrance of each store typically has big window
display that changes every week to keep up with the demand for new trends. Their indoor
displays focus on a young target market with an interest in upcoming trends and a variety of
visual merchandising techniques are used to maximize sales and therefore profit. In this report I
will look in detail at those techniques.
LUSH retail limited is a British cosmetics retailer headquarter in the UK. It was founded in
1995 and has 951 stores globally in over 45 countries and an annual turnover f more than £215
million. About 100 of these stores are based in the UK. As a cosmetics retailer LUSH uses visual
merchandising heavily as they realize how they present their products to their customers has a
,huge impact on sales. The bath bomb product Is what actually produces color in store. The
layout and the products themselves are designed to be visually appealing and engaging to
customers, making them want to pick up and smell different products. LUSH uses a lot of visual
merchandising techniques and I will look at them more in detail below.
In this report I will thoroughly investigate, explain, analyze and evaluate the contrasting visual
merchandising role and display techniques used by these two companies as well as the
legislation and safety considerations implemented by both companies.
An investigation of the visual merchandising and display techniques used in retail outlets
Window displays face the outside of the shop so that people can see them when walking by.
They do not have to be shapable and so can focus almost entirely on displaying products in a
visually appealing way to draw passing customers into the store. They are therefore one of the
most important and creative aspects of visual merchandising as they reflect the spirit of the
brand. On one hand they must be attractive and make customers want to know more, but they
should also give a strong sense of understanding of what can be found inside the store
Store layout. This is the shop floor plan, which is generally focused on encouraging people to
stay longer in the store to buy more. To achieve this different techniques are used to impact
traffic flow, customer movement and experience, even guiding customers to a particular
product. For example, people tend to start their shopping at the left side of the shop, so if a
retailer designs the shop layout to attract the customer first to the right hand side of the shop
they are likely to stay longer and spend more money.
Interior display. Modern consumers typically shop in a hurry so the job of interior display is to
slow them down and increase dwell time in the store. An eye catching and informative display
can help sell specific products within store and drastically increase profit. Equally, the needs of
the customer must take priority as poorly designed displays can ruin a stores sales.
Point of purchase (pop) and point of sale (pos) displays. Pop displays are any displays separate
from standard shelving that a product is featured on and can therefore exist anywhere in a
retail setting. The aim of this technique is to draw extra attention to a particular brand or
product. They should be distinguished from pos displays which are close to the checkouts and
contain products that may appeal to spur of the moment purchases. These are displayed in
such a way that they are easily visible and accessible to customers who an engage with the
product by picking it up, testing it out, and then purchasing it.
Sales team knowledge. Every member of the sales team needs to be knowledgable about the
products presented in the visual merchandising display. This is especially important with
interactive displays where members of the sales team become an integral part of the visual
merchandising experience. If a team member can’t answer a customers question, confidence
falls and potential to lose a sale increases.
, Lighting design. Lighting has a direct influence on customer decision. It can highlight
products, create virtual spaces, impact how customers feel, what they think of a product, and
the ultimate choice of whether to buy or not to buy. Lighting can also be used to sub-
consciously motivate customers to follow through the store layout exposing them to more
products. The four main types of lighting are ambient lighting, to make customers feel
comfortable. Task lighting, where more light is needed to perform tasks such as changing rooms
or check out areas. Accent lighting, to emphasise displays, products, or areas within the store.
Lastly, decorative lighting, to add to the general look and feel of the store.
Music. Music is an important part of the store atmosphere and can promote brand image. A
1982 study found that playing slow music in store lead to more time spent in the store front
browsing and this translated into a 30% increase in sale. Music has an impact on age as well,
with older customers shopping for longer and purchasing more when background music is
playing while younger customers shop longer and purchase more when foreground music is
playing. It is therefore clear that the correct music selection can improve in store time rate,
leading to more sales. The right music can also create brand loyalty and customers to return if
the music is appropriate. Music generates an identity.
Colour. This is a very important technique applied to the interior design of any shop to help
create the intended atmosphere. Numerous studies on colour reveal the different emotions
that can be triggered by using different colours as people tend to associate each colour with
different emotions; blue can cause customers to relax, warm colours such as red and yellow can
be exciting, green tends to be associated with feelings of calm and serenity.
Scent. The smell of a shop contributes to the overall feel of a shopping experience, helping to
create a memorable impression and give a competitive edge over the competition. Different
smells influence the emotions of people for example, lavender can be relaxing and soothing,
rosemary can be more energising. If customers can smell a brands scent outside, it will remind
them of the brand and their products. Although this technique is usually used by food related
brands it can also be used in retail stores too.
An analysis of the different approaches to visual merchandising used by two contrasting
businesses
, Window displays. H&M place huge importance on brand awareness and therefore have
characteristically very large front windows in nearly all their stores. Displays change almost
every week to keep up with fast fashion and customer demand for new trends. For example,
they used a ‘Fashion Week’ theme for their London stores during the London Fashion Week.
Their target market is young people who are interested in upcoming trends meaning that
styling and garment presentation are therefore of the upmost importance. Window displays
use mannequins, bright colours, and lighting to present their clothing collections in an inspiring
and commercial way while making sure that the store is fun and fashionable.
This approach can be contrasted to LUSH which adopts a dual stance when it comes to their
window display. On the one hand LUSH aims to make buying and using relatively dull essential
cosmetics items such as soaps and shampoos fun. This is reflected by grouping its bath products
in piles to give colour and shape impact to customers. The company also has a ‘naked’ policy so
that many products are displayed without packaging and window displays therefore
demonstrate that the store is a riot of colour. This is appealing to its target market which of
younger customers. On the other hand, LUSH also uses its window display to create a platform
for the brand to interact with the public in a dramatic way on key issues and to educate and
inform them. This was demonstrated in the LUSH store in London so regent street earlier this
year when a 24-year-old animal activist (Jacqueline Traide) was restrained and had her mouth
clamped open while being subjected to brutal animal testing practices, re-enacting a procedure
where cosmetics are dropped into an animals eye. This was to highlight the issue of animal
cruelty in the cosmetics industry, strongly apples to by LUSH.
Store layout. H&M operates an Interior Department from Head Office responsible for
determining, creating, and planning the layout of all stores worldwide. Architects, designers,
store planners, buyers, and administration all work together to tailor the layout of each
individual store to its particular location. The in-store floor plan is very spread out making it
easy for people to move around. There are clear split areas with modern basic clothing to
Unit 16: Visual Merchandising
How should we set out the shop and why?
Introduction
Visual merchandising in a retail setting is described as the art of attracting, engaging and
motivating the customer to make a purchase. It starts on the outside of a store and carries on
to the interior presentation. There is also a science behind it with different visual merchandising
techniques being used by retailers to develop floor plans and to decide how to optimize the
presentation of products and highlight their features.
The two businesses with contrasting styles which I have chosen for this report are Hennes &
Mauritz (H&M) and LUSH. H&M is a clothing retailer and LUSH is a cosmetics retailer.
H&M group is a global fashion retailer started in Sweden in 1947. Originally called Hennes
(Swedish for ‘hers’) the companies name was changed in 1968 when clothing lines for men and
children were also introduced. Today the company has grown into a global brand with more
than 3,500 stores, delivering the hottest fashion trends around the world. 289 of these stores
are based in the UK. The layout of the front entrance of each store typically has big window
display that changes every week to keep up with the demand for new trends. Their indoor
displays focus on a young target market with an interest in upcoming trends and a variety of
visual merchandising techniques are used to maximize sales and therefore profit. In this report I
will look in detail at those techniques.
LUSH retail limited is a British cosmetics retailer headquarter in the UK. It was founded in
1995 and has 951 stores globally in over 45 countries and an annual turnover f more than £215
million. About 100 of these stores are based in the UK. As a cosmetics retailer LUSH uses visual
merchandising heavily as they realize how they present their products to their customers has a
,huge impact on sales. The bath bomb product Is what actually produces color in store. The
layout and the products themselves are designed to be visually appealing and engaging to
customers, making them want to pick up and smell different products. LUSH uses a lot of visual
merchandising techniques and I will look at them more in detail below.
In this report I will thoroughly investigate, explain, analyze and evaluate the contrasting visual
merchandising role and display techniques used by these two companies as well as the
legislation and safety considerations implemented by both companies.
An investigation of the visual merchandising and display techniques used in retail outlets
Window displays face the outside of the shop so that people can see them when walking by.
They do not have to be shapable and so can focus almost entirely on displaying products in a
visually appealing way to draw passing customers into the store. They are therefore one of the
most important and creative aspects of visual merchandising as they reflect the spirit of the
brand. On one hand they must be attractive and make customers want to know more, but they
should also give a strong sense of understanding of what can be found inside the store
Store layout. This is the shop floor plan, which is generally focused on encouraging people to
stay longer in the store to buy more. To achieve this different techniques are used to impact
traffic flow, customer movement and experience, even guiding customers to a particular
product. For example, people tend to start their shopping at the left side of the shop, so if a
retailer designs the shop layout to attract the customer first to the right hand side of the shop
they are likely to stay longer and spend more money.
Interior display. Modern consumers typically shop in a hurry so the job of interior display is to
slow them down and increase dwell time in the store. An eye catching and informative display
can help sell specific products within store and drastically increase profit. Equally, the needs of
the customer must take priority as poorly designed displays can ruin a stores sales.
Point of purchase (pop) and point of sale (pos) displays. Pop displays are any displays separate
from standard shelving that a product is featured on and can therefore exist anywhere in a
retail setting. The aim of this technique is to draw extra attention to a particular brand or
product. They should be distinguished from pos displays which are close to the checkouts and
contain products that may appeal to spur of the moment purchases. These are displayed in
such a way that they are easily visible and accessible to customers who an engage with the
product by picking it up, testing it out, and then purchasing it.
Sales team knowledge. Every member of the sales team needs to be knowledgable about the
products presented in the visual merchandising display. This is especially important with
interactive displays where members of the sales team become an integral part of the visual
merchandising experience. If a team member can’t answer a customers question, confidence
falls and potential to lose a sale increases.
, Lighting design. Lighting has a direct influence on customer decision. It can highlight
products, create virtual spaces, impact how customers feel, what they think of a product, and
the ultimate choice of whether to buy or not to buy. Lighting can also be used to sub-
consciously motivate customers to follow through the store layout exposing them to more
products. The four main types of lighting are ambient lighting, to make customers feel
comfortable. Task lighting, where more light is needed to perform tasks such as changing rooms
or check out areas. Accent lighting, to emphasise displays, products, or areas within the store.
Lastly, decorative lighting, to add to the general look and feel of the store.
Music. Music is an important part of the store atmosphere and can promote brand image. A
1982 study found that playing slow music in store lead to more time spent in the store front
browsing and this translated into a 30% increase in sale. Music has an impact on age as well,
with older customers shopping for longer and purchasing more when background music is
playing while younger customers shop longer and purchase more when foreground music is
playing. It is therefore clear that the correct music selection can improve in store time rate,
leading to more sales. The right music can also create brand loyalty and customers to return if
the music is appropriate. Music generates an identity.
Colour. This is a very important technique applied to the interior design of any shop to help
create the intended atmosphere. Numerous studies on colour reveal the different emotions
that can be triggered by using different colours as people tend to associate each colour with
different emotions; blue can cause customers to relax, warm colours such as red and yellow can
be exciting, green tends to be associated with feelings of calm and serenity.
Scent. The smell of a shop contributes to the overall feel of a shopping experience, helping to
create a memorable impression and give a competitive edge over the competition. Different
smells influence the emotions of people for example, lavender can be relaxing and soothing,
rosemary can be more energising. If customers can smell a brands scent outside, it will remind
them of the brand and their products. Although this technique is usually used by food related
brands it can also be used in retail stores too.
An analysis of the different approaches to visual merchandising used by two contrasting
businesses
, Window displays. H&M place huge importance on brand awareness and therefore have
characteristically very large front windows in nearly all their stores. Displays change almost
every week to keep up with fast fashion and customer demand for new trends. For example,
they used a ‘Fashion Week’ theme for their London stores during the London Fashion Week.
Their target market is young people who are interested in upcoming trends meaning that
styling and garment presentation are therefore of the upmost importance. Window displays
use mannequins, bright colours, and lighting to present their clothing collections in an inspiring
and commercial way while making sure that the store is fun and fashionable.
This approach can be contrasted to LUSH which adopts a dual stance when it comes to their
window display. On the one hand LUSH aims to make buying and using relatively dull essential
cosmetics items such as soaps and shampoos fun. This is reflected by grouping its bath products
in piles to give colour and shape impact to customers. The company also has a ‘naked’ policy so
that many products are displayed without packaging and window displays therefore
demonstrate that the store is a riot of colour. This is appealing to its target market which of
younger customers. On the other hand, LUSH also uses its window display to create a platform
for the brand to interact with the public in a dramatic way on key issues and to educate and
inform them. This was demonstrated in the LUSH store in London so regent street earlier this
year when a 24-year-old animal activist (Jacqueline Traide) was restrained and had her mouth
clamped open while being subjected to brutal animal testing practices, re-enacting a procedure
where cosmetics are dropped into an animals eye. This was to highlight the issue of animal
cruelty in the cosmetics industry, strongly apples to by LUSH.
Store layout. H&M operates an Interior Department from Head Office responsible for
determining, creating, and planning the layout of all stores worldwide. Architects, designers,
store planners, buyers, and administration all work together to tailor the layout of each
individual store to its particular location. The in-store floor plan is very spread out making it
easy for people to move around. There are clear split areas with modern basic clothing to
