Those small, inexpensive products lining your way to checkout—retailers place these here for a reason. Understanding consumer psychology is a powerful tool in retaining customers and driving revenue for your store, and designing your point of purchase (POP) displays with this knowledge in mind is essential to in-store efforts. According to a study from A.T. Kearney, “40 percent of consumers spend more money than they had planned in stores, while only 25 percent reported online impulse shopping”—a telling statistic of how store fixtures influence buying decisions. Learn how to harness the power of customer impulse purchases with Vulcan Industries’ Director of Creative Strategies, Chuck Lee, and see your store’s profits steadily begin to rise.
Seeing is Buying
Donald R. Lichtenstein, a professor of marketing at the University of Colorado, says that getting your product in front of customers is “the first and most important step in impulse buying.” Even if an item isn’t on their list, it might be at the back of their minds. Bring those unconscious needs into consciousness with point of sale displays, and seal the deal on additional sales.
Positioning for Impact
Place impulse items near products customers intended to buy when they entered your store. For instance, in clothing stores, ties should be located near dress shirts and belts near suits. The more you can group these complimentary items together, the better. Groceries and big box stores often use small aisle displays (also called “interrupters”) and clip strips to call attention to impulse items. A cardboard aisle display with honey might be located near bread, or clip strips holding small toys will be positioned within reach of children. Another positioning strategy that works is cross-merchandising products in grocery or snack display fixtures. Displaying water, snacks, and sunscreen together during the summer months encourages consumers to purchase items they might need but left off their shopping list.
As you probably expected, the prime location for impulse purchases is near checkout. For example, a home improvement store may sell soft drinks, batteries, breath mints, and magazines—products not usually associated with the store’s offerings. The goal is to keep customers from purchasing these items from other stores and to offer them a more convenient shopping experience. Especially during the holiday season, store visitors spend a significant amount of time waiting in queue. Along this line, position several POP displays with additional items customers want or need. You’ll likely find that sales rise simply as the result of these well-placed store fixtures.
Strategically Placed Signage
Influence purchasing decisions with signage that highlights sales and BOGO (buy one, get one) deals. Create urgency with limited-time promotions that trigger a shopper’s instinct to buy more. Keep sales messages succinct and easy to read, accenting one offer per space to avoid overwhelming, and therefore, dissuading customers from purchase. Locate these signs near bestselling products and other areas customers tend to visit in your store. With these signs in place, customers will instinctively begin gravitating toward your impulse products.
Find the perfect merchandising display for your unique retail, marketing, and design needs with custom and in-stock fixtures from Vulcan Industries. Contact us or request information to get started today!