The New Rules of Retail Merchandising

In the advent of retail industry, small business owners need to understand their customers and they have to engage in conservations and other public conventions. This helps them to understand and determine the current trends and the inventory levels. After implementing these changes, retail stores began to slowly gain control over the quality of merchandise and the retail industry.

This not only began to shape the retail industry but it also increased the economy and the reduced the risk of handling merchandises. Retail merchandising has since been in a constant change to comprise quality, quantity and purpose.

With steady progress in technology and other advancements, customers today can acquire accurate information which influences their buying decisions. In order to make complete use of technology, retailers must work on a unique factor to establish their businesses on a firm ground.

With the customer circle being as extensive as the entire globe, retailers need to understand certain prospects to strive in today’s competitive marketplace. Following are some of the new rules of retail marketing.

Rule #1: Let The Merchandise Speak For Itself

Customers have to be presented with the products that they want to buy. Visual Merchandising has to be done in a such way that the customer finds exactly what he or she is looking for. The way the customers purchase products has changed over the years and it is mainly centered over parameters like affordability and quality. Make sure your products are easily accessible and usable.

Rule #2: The Visual Merchandising Process Should Last For Three Months

One of the best strategy or a system that retailers have been following, which has proven to be profitable is Open to Thrive. This necessarily requires you to understand Purchases, Sales and Expenses. Overbuying affects your retail business in more ways than low sales. Make sure that you have a merchandise stock for three months or for at least a  season.

Rule #3: Lifestyle Of Customers Matter

While merchandising is all about your products, lifestyle and the culture of your buyers also matter. The merchandise should be promising and reliable so that customers can include it into their daily lives. Like and dislikes decide on the buying factor of the customer.

Rule #4: Pricing Should Be Done Through Experimentation

While deciding on the merchandise of a store, it is necessary to remember that higher the price, lower is the sales. Also, pricing should be in such a way that the store gets a profitable gain as well. Pricing a merchandise does not come up with a steadfast rule. It should be decided upon months of experimentation and analyzing, after which it should be finalized.

Rule #5: Let Social Media Decide On Visual Merchandising Decisions

While the staff and customers offer a wide range of ideas and opinions about merchandising, they do not have enough information about the marketplace. Social media makes it easier to interact and collaborate with other similar competitors.

Social media lets you understand your position in a marketplace and lets you decide on having your merchandise improved. They can help in promoting and advertising ,and also in bringing new information on various aspects of establishing a customer base.

Keep the above rules in mind to boost your  retail sales.

References:

http://www.oracle.com/us/industries/retail/oracle-retail-new-rules-wp-080053.pdf

http://ricksegel.com/how-do-you-really-make-money-in-the-retail-business-open-to-thrive/

https://nrf.com/blog/the-new-rules-of-retail-merchandising