Improving the in the store shopping experience has become a key priority for many. The role of the store is certainly evolving from what customers want and expect from their store experience to how they choose to receive (and return) goods they purchase online. But one store experience constant remains: merchandising sells goods.
Why? Because merchandising can affect two important variables in the Revenue Equation, closure rate and transaction size.
But by how much? To find out, The Farnsworth Group joined forces with the North American Retail Hardware Association (NRHA) to update their Merchandising for Profit Study, last conducted in 2002. The results are eye opening and prove the point that detail merchandising still pays off.
The research investigated various merchandising techniques and the sales gains associated with each. Here are some highlights:
- Disposable dump bin: + 660%
- Endcap clip strip: + 177%
- Power aisle stack out display: + 114%
- Permanent dump bin: + 86%
- Multiple item endcap: + 63%
- Endcap with “Sale” sign: + 53%
The results of the Merchandising for Profit Study once again validated that attention to detail merchandising can provide sales lifts in both promotional and in-the -aisle settings. It is a reminder to dealers how they do have in-store solution options to the challenges of increasing closure rate and transaction sizes with their customers. Detail merchandising does pays off!
For more information on the Merchandising for Profit study, contact the North American Retail Hardware Association at www.nrha.org or Jim Robisch at The Farnsworth Group, firstname.lastname@example.org.