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1. Introduction
There is a dynamic change happening in the Indian retail
market, where urbanization is increasing with increase in
purchasing power of consumers. This rise in demand and
consumers are getting more and more brand conscious.
There are lots of changes happening in the retail industry of
India from past one decade. Retail has been one of the
growth areas in the global economy. It has witnessed a high
growth rate in the developed countries, while for the
emerging countries it is on exponential growth. India is one
of the fastest growing retail market and Indian retail market
is one of the top five countries in the world. In terms of
population India is basically a young country. It has large
youth population. Hence, it has conducive environment for
208
Figure 1. Source: Deloitte Retail POV, (2010), "Indian Retail Market: Changing with the changing times"
Source: Deloitte Retail, (2013), "Indian Retail Market: Opening More Doors"
2. Review of Literature
Visual merchandising or visual display is communicating
the product retailers wants to sell by effective presentation
of the same which creates an impact on the customers in
terms of their purchase and builds a positive image of store in
customers mind. It is the science of shopping that tells one
ways to use those tools, ways to design signs that consumers
will actually read and ways to make sure each message is in
the appropriate place. It also tells one how to arrange display
that consumer can find comfortably and easily, so that they
can reach every part of the store easily (Underhill, 2009).
Visual merchandising is everything that customer sees both
exterior and interior, that creates a positive image of the
business and results in attention, interest, desire and action
on the part of the customers (Passewitz, et al, 1991). Artistic
role play a major role in creating an ambience which will in
turn motivate customers for shopping (Diamond and
Diamond, 2007). This may be the impact of various goods
and services sold by the retailer which increases importance
of retailing in marketing (Davies, et al, 2003, Passewitz, et al,
1991). The purpose of visual merchandising is to educate
the customer, to enhance the store/companys image, and to
encourage multiple sales by showing apparel together with
accessories (Frings, 1999). It also highlights various criteria
one must include regarding store set up which are
eye-catching and also shows diverse merchandise (Garvey,
2010). The message is clearly conveyed to customers by
effective signage and certain other significant aspects of
arrangement. Products are introduced in style with colour by
visual merchandising (Storms, 2006).
209
210
3. Research Methodology
The research design is divided into two parts, the first
part is exploratory in nature and the second part is
descriptive. In the exploratory study the visual
merchandiser and marketing manager of the mall were
interviewed to understand and find the dimensions of visual
merchandising. The study was intended to focus on the
impact of visual merchandising in terms of furniture
segment as a product category. The sample size of the
research was 385. The sampling technique was mall
intercept method, customer who walk out of the store were
surveyed with the help of structured questionnaire. Thus,
sampling procedure is purposive sampling. The survey was
conducted in five furniture outlets viz Home Town, @Home,
Godrej Interio, Durian and Housefull, located in
Ahmedabad city of Gujarat state in India. The dependent
variable of study is purchase behavior (section 1in table 1)
and independent variables are window display, store front,
floor display, merchandising display, store layout and
organization, creative style & trend co-ordination,
signage/graphics, and store environment (section 2 to 8 in
table 1). These variables have individual constructs which
are tested on five point Likert scale which ranged from
never = 1 to frequently = 5. Since likert scale is a
continuous scale, reliability test, factor analysis, correlation
4. Research Hypothesis
H1: Customers purchases are influenced by window
displays.
H2: Customers purchases are influenced by store front.
H3: Customers purchases are influenced by
merchandising display.
H4: Customers purchases are influenced by store layout
and organization.
H5: Customers purchases are influenced by Creative
Style & Trend Co-ordination.
H6: Customers purchases are influenced by
signage/graphics.
H7: Customers purchases are influenced by store
environment.
211
References
Self Developed
Bakarne, 2008
9, 10 (Banot and
Wandebori, 2012), 11, 12,
13 (Levy and Weitx, 1996)
212
KMO and
Bartletts
Component
0.500
0.944
0.944
1.783
% of Variance Explained
89.145%
0.921
0.935
0.841
0.947
0.915
3.455
% of Variance Explained
86.383
0.916
10. The way through the store is well-structured so that consumers have no difficulty
fi di th i
11. Shelf space is appropriately occupied (proportionately arranged).
0.945
0.892
0.948
0.941
0.917
4.355
% of Variance Explained
87.107
0.890
15. Creative combinations of colors gives new design ideas for home.
0.905
0.899
0.896
0.878
18. The store offers new idea for my home decoration or furnishings.
0.858
0.881
20. The store offers useful and accurate information about current trends and items.
0.870
5.460
% of Variance Explained
78.006%
Section 7: Signage/Graphics
21. Signage of directions is so good that it does not require help of salesperson.
0. 897
0.903
22. Price tags are so good that it does not require help of salesperson.
0.945
0.929
24. Discount or clearance items are displayed together in a specific area of the store.
0.922
0.908
4.245
% of Variance Explained
84.895%
0.868
0.942
0.947
0.960
0.956
3.617
% of Variance Explained
90.427%
213
Pearson Coefficient
Significance (p)
Window Display
0.743
0.000
Store Front
0.727
0.000
0.572
0.000
0.596
0.000
0.463
0.000
0.476
0.000
0.449
0.000
214
R2
Adjusted R2
.743a
.551
.550
.57830
.781
.610
.608
.54002
.801c
.642
.639
.51806
.806d
.649
.645
.51372
Sig.
.653
4.480
.000
.790
20.290
.000
(Constant)
.257
1.746
.082
.478
8.365
.000
.416
7.084
.000
(Constant)
-.023
-.150
.881
Model
1
B
(Constant)
Window display attractive leads into the store
.415
7.411
.000
.333
5.718
.000
.213
5.469
.000
(Constant)
.098
.629
.530
.421
7.564
.000
.374
6.242
.000
.262
6.086
.000
-.123
-2.579
.010
Variables
Beta In
Sig.
.380b
7.084
.000
.169b
3.634
.000
.279
6.874
.000
.104b
2.444
.015
Price tags are so good that it does not require help of salesperson
.126
2.992
.003
.135b
3.316
.001
.088
1.928
.055
.220c
5.469
.000
.006c
.135
.893
Price tags are so good that it does not require help of salesperson
.087
2.169
.031
.082c
2.086
.038
-.596
.552
-2.579
.010
Price tags are so good that it does not require help of salesperson
-.005
-.109
.913
-.006d
-.151
.880
.010e
.190
.850
Price tags are so good that it does not require help of salesperson
.039
.860
.390
.044b
.982
.327
-.030
-.117d
are
influenced
by
215
purchases
are
influenced
by
216
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