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Design, Layout and Merchandise Strategy


The paper talks about the layout of a business enterprise its design and merchandising strategies, it explains the racetrack layout and feature areas of the business.

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The store utilizes a racetrack layout. This layout has a major customer aisle starting from the entrance and loops through the store in a square or rectangular shape, then return the customer to the front of the store. It allows the customer to see all the merchants in various departments and facilitates impulse purchase. Feature areas are meant to draw customer’s attention; the store has used feature areas such as: Walls which are used to store, display and present a massage, Windows used to draw customers into the store…………………..

The store has optimized the space planning by considering the following; Space productivity, which is allocation of space basing on the merchandise sale, if the merchandise sale is 30% of the store sale then 30% of the store space, is allocated to that item……………….

The store ensures proper location of merchandise since it determines the navigation of the customer in the store. They do the following; strategically placing: the demand or impulse merchandise throughout the store thus increasing the chance that the customer will shop the entire store. At the Entry area: introductory display educates and welcomes the customers. Strike zone: the store ensures that the most compelling merchandise is placed here, this is because after the decompression zone the customers turns to look at the price and quality of the first item they encounter…………………..

The merchandise presentation in the above store is shelving technique since most of the items are beauty products. Hanging, stacking, dumping, pegging and folding are not applicable in the store of interest. This is because the products in the store includes; cherry blossom, almond, shampoo, moisturizer, shower gel, deodorant, hand creams, body oils. . The store uses various techniques in merchandising presentation as follows:
i. It’s all in the display.
An Item such as perfume and body oil, when displayed in a glass case, it implies luxury and an item in the glass case with a lot of space around it implies real luxury.
ii. Lead them to temptation.
The cosmetic store ensures that most profitable departments are always located at the main entrance of the store thus stimulating impulse buys……………….