Visual merchandising has become an indispensable player in the world of modern retail. Stripping away its jargonistic facade, visual merchandising, at its heart, simply seeks to generate sales and increase customer footfall by making products visually appealing.

However there is more to visual merchandising than simple use as a marketing tool.

Whether you run a retail store, manage a hospitality or events venue, or any physical space which relies on retail sales, let's find out how you can level up your visual merchandising game.

What is Visual Merchandising?

Visual merchandising is the practice of creating compelling retail store layouts and displays, often using a mixture of signage and physical merchandise.

There are many reasons to use the power of visual merchandising strategies in your retail environment, but some of the main benefits include:

• Trigger impulse buys
• Increase foot traffic, especially with people passing by
• Improve the customer experience and engagement
• Create a cohesive brand experience between your physical and digital spaces
• Highlight products and their features, use cases or positive reviews
• Create more eye catching product displays

Of course, the ultimate goal of pretty much every visual merchandising strategy is to improve sales.

It’s a potent concoction of visual display techniques, store aesthetics, and layout planning that together create an immersive shopping ambience, smoothly leading customers from the store entrance right up to the checkout counter. That's the theory anyway.

Visual merchandising starts right from the window displays.

Passing consumers catch a glimpse of what's in store, sparking interest and luring them in. It continues throughout the retail floor layout.

With careful product placement, signage, lighting, and more, a well structured product display can significantly boost sales.

Often professional visual merchandisers are tasked with creating these high engagement window displays or in store displays. However, retail business owners who might not have the option to hire a professional visual merchandiser can also flex their creative skills to create engaging product displays and appeal to their target market.

What are the 4 Elements of Visual Merchandising?

Visual merchandising isn't just a case of creating a pretty window display with some of your best products.

In fact, the approach to visual merchandising relies on four specific elements which are all tied into the brand's image and are designed to appeal to the target audience and draw customers into your shop floor.

The four elements of visual merchandising are:

1. Exterior

A compelling window display sets the tone for the entire store experience. They are your first interaction with potential customers walking past your store.

A well-constructed window display taps into the curiosity of passersby. This is why retail owners dedicate significant energy, creative effort, and budget into the creation of engaging, informative, and attractive window displays.

2. Layout

Very simply, this relates to your in store displays, or the way your products are displayed and structured.

A well planned store layout is pivotal for optimizing foot-traffic flow and bolstering customer staying time. Retail layouts can range from grid to free-flowing, each designed to influence patterns of customer movement and product interaction.

Consider how premium stores, such as designer clothing, often have a lot of open space for displaying products, and often only a handful of top priced products.

3. Space management

Space management deals with product placement, which is one of the key components of visual merchandising. This will include elements such as where specific product displays are placed, adding features or details to catch customer attention or even the use of your signs and images.

The entire approach is to enhance product visibility, create easy navigability and maximize customer-merchandise interaction.

4. Interior experience

The physical environment or the store design is one of the most important factors in your customer experience. Consider things such as:

• Lighting
• Music
• Displays, screens and signs
• Ease of navigation

While they might not fall under the banner of visual merchandising, your staff also have a big influence on the in store environment. As the face of your brand image and the human element in your customer engagement, they underscore everything you work towards to give a special store experience.

Why use Visual Merchandising?

While anyone can create a display in their store windows, or pin up a 50% off sign to entice customers, the practice of visual merchandising works on a more psychological level. It's not just a way of displaying products or promoting your upcoming sales or events.

Done correctly, visual merchandising can be used to boost your brand's image and leave your target customer more satisfied with their shopping experience. And, of course, increase sales too...

Distinctive brand identity

Visual merchandising can be used to harmonize your brand's image across the physical or digital environment. Think of it as a way to optimize your branding or imagery both on your website or socials, and your brick and mortar stores too.

Improved shopping experience

Shopping is a much more pleasant experience when the store layout and visual elements are designed to improve or inform your experience.

Creating effective visual merchandising changes the way people see your store. And when people enjoy the shopping experience, they're more likely to be repeat customers or even brand advocates.

Elevated value perception

By creating displays designed to reduce clutter or to focus customer attention on specific products or areas of your store, you can actually improve the value perception of your brand image. That is, you can convey a high value or premium brand image.

If you think about more high end stores, you often find that their in store design looks and feels more premium. This is often down to their minimalistic store layout alongside great visual merchandising.

With retail stores, less is often more, but visual merchandising can make your retail space feel more valuable.

Product or service focus

The use of visual merchandising for in store displays can really help to focus customer attention on your quality products or services. For new product lines or to highlight an additional service, the eye catching nature of visual merchandising can draw the eye, and build curiosity or anticipation.

Add a seasonal feel

Engage customers to enjoy specific products with seasonal displays. From getting ready for summer, to Halloween or Christmas displays, visual merchandisers understand how to hit the seasonal theme and direct interest to product lines which might be season specific.

Does Visual Merchandising Actually Improve Sales?

While visual merchandising might seem like a nice to have, does it really make a difference and increase sales?

Actually, many studies and statistics do highlight how visual displays drive sales and improve everything from brand awareness to impulse purchases.

The majority of retail purchases are still made in-store, with around 80% of sales made in retail stores vs 20% online.

The case for in-store signage and promo is also strong. In a study of over 3000 shoppers, 82% stated that many of their purchase decisions were made in store. And of those people who saw an in-store promotion, 69% admitted to browsing that product and 61% stated that they bought that product, or that in-store displays influenced their purchase decision.

Another study in the UK found that digital signage also helped to both improve our shopping experience and can "positively affect shoppers' “approach” behaviors directly and indirectly".

To put it simply: Yes, in store displays, and those that leverage the power of digital displays, can help to improve sales.

How to Use Digital Signage for Visual Merchandising

While product displays and window dressing is one part of visual merchandising, an increasingly important and ubiquitous element is digital displays. By using digital displays in a retail store, there are numerous benefits beyond the obvious visual engagement.

Promotional content

The most obvious use for digital signage as an in-store display is to play looped promotional content. This might be TV or internet ads, or it might be video that highlights the features and benefits of a specific product or range.

Digital screens can be placed at strategic locations, such as the entranceways, window displays or at check outs.

Improve online engagement

Getting more brand engagement in both physical and digital spaces can now be a unified strategy. Use digital signage to share QR codes linking to your newsletter sign up, loyalty coupons or special offers.

And likewise, send unique codes for store redemption or try before you buy opportunities via your email newsletter.

User generated content

Social proof is one of the most valuable and powerful marketing tools, so what can be more valuable than sharing your UGC in-store? Share social media posts, TrustPilot or other reviews or include user submitted content into your promotional content.

Invite customers to share their experiences on your social media accounts. But don't forget to seek permission from them before you share their info on your in-store displays.

Interactive experiences

Digital signage can incorporate touch screens, QR codes, or even augmented reality. Of course, the uptake on this may depend on your target audience or even your specific retail industry.

However, more customers than ever are engaging with these forms of experiences as part of the digital environment. And as people move to an online retail focus, bringing digital experiences in store can help to attract customers from younger demographics.

Data-driven merchandising

Deploy data analytics to optimize your digital signage. This means displaying relevant, personalized messages at opportune moments.

An example of this might be displaying certain messages or promotions during weather changes, or rush hours.

Brand Storytelling

Clever use of digital signage can relay your brand stories in a captivating and engaging manner, forging a deep emotional connection with shoppers.

Whether this is highlighting your sustainability, showcasing your production process or simply talking about the inspiration behind a product line, digital signage can offer a unique way to create interest and tell your story.

Using digital signage for visual merchandising with ScreenCloud

Whether or not you're a professional visual merchandiser, you can improve the in store experience using ScreenCloud.

Easily create display campaigns, manage a network of digital displays across one or multiple locations, and update your visual merchandising strategy on the fly.

Whether you're using a video wall, or simply displaying products via digital posters, ScreenCloud makes it simple to get started. Created for professionals, but accessible to all, ScreenCloud is your go to visual merchandiser solution.

Get started for free today.