Shop layout and consumer behavior

Marta Krlewicz,
Giulia Massi,

Aleksandra Gudaniec,
Weronika gwa

What is store layout?

A store layout is such design in which sets up stores interior. They are usually well
thought out with the intention of providing the best possible product exposure and create an
attractive image for consumers.
The most popular types of store layout and their main advantages and disadvantages.
Grid Layout this type of layout is very simple. The alleys within the store are arranged in
such way that are parallel to each other and they lead straight to checkout counters located at the
front of the store near entrance. Very popular layout used mainly in grocery stores or drug stores.
Diagonal Layout it is quite similar to grid layout. Like the first one mentioned above, the
assortment in the store is placed within parallel alleys leading to the checkout counters. The
difference is that in diagonal layout the aisles are placed at the angle to the entrance of the store.
Such solution is case of smaller shops allows to use available space to the maximum.
When it comes to main advantages occurring in the use of this types shop layout is efficient
use of space. The alley usually hold quite large amount of different products. This strictly
associated with cost efficiency, in other words less wasted space. Another thing is that it is easy
for customers to through entire store and easily find product that they want to buy.
As for disadvantages the visual design is not much attractive and exciting for customers.
Whats more, has limited browsing because not all of the products are good enough exposed to
the customers.

Free flow layout - this type is characteristic primarily for shopping centers, especially for
clothes shops. In such an arrangement furnishing (walls shelves, racks, tables, showcases) varied
depending on the shop owner. Access to all parts of the store is easy.
The main advantage of this type is that provide an intimate atmosphere, makes customers
more relaxed compared to e.g. groceries stores, and what is also important facilitates shopping

and browsing for the customer.

When it comes to main disadvantages, free flow layout do not define any traffic patterns, it is
more difficult to attract naturally the customers to the store. Another thing is that personal selling
in this case becomes more important, thus requires more qualified stuff. Also this type of layout
sacrifices more retail storage and exposition space to create more comfy environment.
Racetrack/loop layout - The shop is divided into the areas of sales, in which are placed
certain categories of products. Furniture used for exposure are chosen for a specific product
category. Provides a major alley that loops around the whole store which guide customers
through particular areas, usually market by different colors. Good example of loop layout is Ikea.
In case of loop layout, indisputably the great advantage is the ability to let customers to see
the available merchandise in variety of depts, they are forced to better look at the products and
thus increase impulse purchasing.
Above mentioned advantage which is forcing customers to have a better look at the product,
take different view angles may be a disadvantage as well. In such situation customer may some
defects, characteristic features that does not like and which normally in case of other layout
would not be able see.
Spine/mixed layout combination of above mentioned layouts.
Four main functions of store layout
When determining the shop layout, retailer has to keep in mind how much space will be
needed for different sections and function of the store.
The largest field is devoted to the showroom, shopping area. Created layout should be open,
with good visibility, easy to navigate. Wide aisles encourage to stay longer in store.

Spacious storage room is very important to the establishment of a retail sale. The storage
room should be well-organized with many shelves and extend floor space to stock extra products.
The size of such storage room usually depends on the amount of inventory and its turnover. A
lager storage is not necessary in case of smaller shop.
In receiving area takes place an acceptance of shipped new goods. Depending on the type
of the store, quantity of shipped products, a loading dock might be necessary. In order to keep
constant inventory control, all new merchandise must enter to store through central location.
Office area must be located in a privet section. Confidential business documents and other
records are usually stored in such offices.
Importance of a store layout
While a creating a stores design, stores layout is one of the most important strategies to
achieve a success. Retailers use different layouts to control customers behavior, using different
methods such as: creating a design of stores flow, assortment placement. Layouts provide as well

the knowledge about revenues per square foot which determines weaknesses and strengths in
shops merchandising mix.
Shop layouts are important because enable to determine consumer purchasing habits. If a
customer stays in a shop some time, then the probability of a purchase increases. The longer he or
she stays the better. Placement of escalator, placement of furniture and fixtures, arrangements of
different departments significantly affects the traffic within the store, e.g. placing childrens
department on the second floor of the shop, so this way a parent shopping for his child must go
through other section of the store, and the probability of purchase increases.
A retail area provides higher profit when it maximizes sales per square foot. This indicator
can be determined by the shop layouts. If particular department is not doing well, the sale is too
low, the retailer can change the arrangement to improve level of sales. The aim is to put as much
as possible products on the floor with a mixture of high - to low- priced merchandises and fast- to
slow selling ones. Common example is a situation when expensive TV set is merchandised with
cheap accessories. Also, expensive products, need more retail space while those cheaper might be
placed on a fixture to put more merchandise on the floor.

The layout also may construct categories of different products together in such way that a
customer can find different products that he or she is searching for in, the same area. Whats
more, same importance have the ability to place complementary product and similar brands close
to each other, so that customers could be more willing to buy additional product connected to the
first one. For instance putting together swimming costumes with straw hats and slippers is a way
to provoke additional sales.
Another factor that determines importance of shop layouts, occurs by preventing shoplifting
and deterring thefts. Very often, highly expensive items are kept in showcases (locked), far
from the entrance to the store. Small product, which could be easy to steal can be kept on a
display in a secured separated part of the store. Sometimes the shop layout constructs the exit in
such a way that customers passes by the security or extra maneuver is needed to exit, making it
very difficult to leave the store with an stolen item.
Most retailers try to make customers to feel comfortable and foster positive attitudes while
shopping. Factors such as products arrangements, fixture colors, space, alleys influence
customers tastes. Store layouts therefore determines what emotions will be evoked during
shopping. To tall fixtures that might affect the visibility often cause anxiety, aisles situated to
close to each other can create tension, rushing shoppers through their purchase. Open and not too
tall layout eliminate tension, and other negative feelings and makes customers shop longer.
Methods for improvement of store navigation, points of purchase displays and sale signs Impact on consumer behavior.
Retail business is characterized by high level of competition, thus it is crucial for managers to put

an strong emphasis on preferences of consumers and clearly understand their purchase behaviors.
A logical and helpful store image can positively affect customer overall shopping experience and
as result lead to increased store loyalty and sales. In 1994 Lewison stated selling floor layouts
are extremely important, because they strongly influence in-store traffic patterns, shopping
atmosphere, shopping behavior and operational efficiency1.
Various consumer behavior research studies have shown a strong relation between consumer
sensitivity to changing prices and the concept of store atmospherics and layout. Nowadays, the
retail service has been revitalized by creation of self-service arrangements, which are possible
only due to constant development of layout design implemented into superstores. Moreover, due
to the current changes in the consumption patterns, the buyers often are not willing or able to
spend much time on shopping, consequently they will be more likely to buy products that are
easy to find in the store environment.

More and more buyers, are not making they purchase decision until they are at the actual point of
sale. Inspiring design and artful presentation of products are one of the key elements having a real
influence on final purchase decision. In order to ensure an friendly, well - coming atmosphere
which in general leads to increase in customer's loyalty, store managers should focus on crucial
factors related to creation of successful layout such as effective navigation methods, point of
purchase displays and placement of promotional and sale signs. Each of selected factors has
been described in detail in this section.
Store navigation
Most recent scientific studies proved the existence of a significant correlation between the
introduction of shopping maps into retail areas and positive feelings of clients about the benefits
and convenience of buying. The theoretical background for this assumption comes from
environmental psychology, which determines the methods of memorizing and perception of
different environments by individuals. Embedment of spatial data concerning location of diverse
products in consumer's mind, which are than stored in shoppers memory in the form of a
cognitive map, is crucial for retailing success. What is more, shoppers guided in a clockwise
direction tend to perceive the shop in the more positive way, they are willing to spend a bigger
amount of money than if they are guided in an anti-clockwise mode. The information concerning
location of goods and services can take form of interactive digital kiosks, directional signs
deployed around the store area.

1 D. M. Lewison, Retailing (5'th edition), Macmillan College Publishing Company, New York 1994.

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