EXECUTIVE SUMMARY

The retailers are facing a keen competitive market place and as a consequence of that they find
many difficulties to differentiate their stores on the basis of product, place, people, price and
promotion. Retail store elements such as color, lighting and visual merchandising have always
been considered as having immediate effects on the buying decision making process. The present
study has been undertaken to determine the important factors of visual merchandising which
influence consumers buying behaviour and in-store promotion activities.

During the study, customers visiting apparel section of Big Bazaar, Lucknow were surveyed.
The study reveals that visual merchandising practices certainly influence customers buying
behavior. The results proved that there was relationship between customers buying behavior and
in-store form/mannequin display, promotional signage and window display. Since these tools of
visual merchandising significantly influence customers buying behavior, retailers should
continuously reinforce their usage to create favorable shopping environments to influence the
customers. The study also provided insights about types of visual merchandising that can
influence customers buying behaviors. Three most important factors of visual merchandising
namely attractiveness of window display, innovative assortments and cleanliness and neatness of
store/ store environment have been identified. Various visual merchandising techniques like
graphics and signage, fixtures, props, lighting and space management have been identified. It
was also observed that displays and signage play a very important role in the purchase process.
The study also elucidates the relationship between impulse buying and visual merchandising.
Visual merchandising practices serve as stimuli and ultimately motivate customers to make an
unplanned purchase decision upon entering the store thus, significantly influencing customers
impulse buying behaviors.

The study indicates that the activities of visual merchandising influence the behavior of the
customers and create a change in the sales performance. Visual merchandising can, by attracting
more customers, increase the traffic in the store, which ultimately increases the sales figures.
Hence, visual merchandising has the capability to invite people to enter the store, which
increases the traffic in it, and thus influences the sales performance.

With the business of fashion in the country getting more competitive, visual merchandising is the
only differentiator, especially in a scenario where consumers encounter the same fashion designs
almost uniformly everywhere. Thus, the application of more attractive visual merchandising
techniques will help to obtain better results.




TABLE OF CONTENTS

S. No

Title Page No.
Acknowledgements i
Executive Summary ii
Table of Contents iii-v
List of Exhibits vi-viii
List of Figures ix
1 INTRODUCTION 1-6
1.1 Background 1
1.2 Visual Merchandising 1-5
1.2.1 Role of Visual Merchandising 2-3
1.2.2 Tools of Visual Merchandising 3-4
1.2.3 Visual Merchandising: Current Trend and Future Prospects 4-5
1.3 Problem Statement 5-6
1.4 Objectives 6
2 COMPANY PROFILE 7-13
2.1 Background 7
2.1.1 Group Vision 7
2.1.2 Group Mission 7-8
2.1.3 Corporate Statement 8
2.2 Future Retail 8
2.3 Pantaloon Retail India Limited 9
9-13
10
10-11
S. No Page No.
2.4.3 Timelines 11-13