IMPACT OF VISUAL MERCHANDISING ON SALES

AT
LALY’S HYPERMARKET

PROJECT REPORT

Submitted by

ASHAS.N.G

Register No: 15936F0002

in partial fulfillment for the award of the degree

of

INTEGRATED M.Sc. IN FASHION DESIGN

at

THE TIPSGLOBAL INSTITUTE

COIMBATORE
DECEMBER 2016

i
 THE TIPSGLOBAL INSTITUTE

COIMBATORE

PROJECT WORK

DECEMBER 2016

This is to certify that the project entitled

IMPACT OF VISUAL MERCHANDISING ON SALES

AT
LALY’S HYPERMARKET

is the bonafide record of project work done by

ASHAS.N.G
Register No: 15P36FOOO2

of the Integrated M.Sc. in Fashion Design during the year 2015-2020.

Prof. K. Ramakrishnan Dr. S. Narayanan

Project Guide Program Director

Submitted for the Project Viva-Voce examination held on :12:2016

----------------------------- --------------------------
Internal Examiner External Examiner

2
 DECLARATION

I affirm that the project work titled, “IMPACT OF VISUAL MERCHANDISING ON

SALES AT LALY’S HYPERMARKET,” being submitted in partial fulfillment for the
award of Integrated M.Sc. in Fashion Design, is the work carried out by me. It has not formed
the part of any other project work submitted for award of any degree or diploma, either in this or
any other University.

ASHAS.N.G

15P36F0002

I certify that the declaration made above by the candidate is true.

Prof. K. Ramakrishnan
Project Guide

3
 ACKNOWLEDGEMENT

“Gratitude is the music of our hearts.” A project of such a comprehensive

finish cannot be completed without the help of numerous sources and people
throughout the long rugged path of success. And so I am deeply indebted to all of them
and take this opportunity to thank them.
First and foremost, I would like to thank god almighty whose blessings made
me complete the project successfully.
It is a great pleasure to acknowledge my sincere thanks to Dr. S. Narayanan,
Managing Director, THE TIPSGLOBAL INSTITUTE, Coimbatore for providing
me an opportunity to get practical knowledge about my theoretical studies.
I am indeed greatly thankful to my faculty guide Prof. K. Ramakrishnan,
Professor, THE TIPSGLOBAL INSTITUTE, for guiding me to successfully
complete the project.
I wish to express my gratitude to all the staff members of the institution for
their encouragement to complete this project.
Finally I would like to thank my parents, and all my friends who have helped
me immensely throughout the project work.

4
 INDEX

Chapter No. Topic Page No.

1 Introduction and theoretical 7-20

background of the study

2 Research Methodology 21-23

3 Industry and company Profiles 24-29

4 Analysis and Interpretation of data 30-45

5 Findings and conclusions 46-49

6 Bibliography 50-51

7 Appendices 52-58

5
 List of Tables

Table No Particulars Page No

4.1 Frequency of visitors to the LALY’S HYPERMARKET 31
4.2 Factors tells about new product arrival in the store 32
4.3 Perception about product arrangement & display in the store 33

4.4 Perception about following the displays and layout to find a

product 34
4.5 Action after entering the store 35
4.6 Perception about promotional activities in the store 36
4.7 Most relevant activity regarding shopping 37

4.8 Factors effecting buying behavior 38

4.9 Experience of impulsive buying in the store 39
4.10 Place of impulsive buying 40
4.11 Perception about product arrangement 41
4.12 Perception about change in buying decisions with the
influence of display 42
4.13 Perception about factors affecting the buying decisions 43
4.14 Shopping Experience at LALY’S HYPERMARKET, Thrissur
44
4.15 Product recall 45

6
 CHAPTER -I
Introduction and Theoretical
Background of the Study

7
 EXECUTIVE SUMMARY

Background:
The India Retail Industry is the largest among all the industries, accounting for
over ten percent of the per country ‟scent of the G employment. The Retail Industry in India
has come forth as one of the most dynamic and fast paced industries with several players
entering the market.

This project has been done in LALY’S HYPERMARKET,Thrissur.LALY’S

HYPERMARKET is the most exclusive shopping center in Pattikkad, Thrissur. They are
commit to provide the best in-class retail service.
Purpose:

The purpose of the study was aimed at finding out the Impact of Visual
merchandising (VM) on customer buying behavior at LALY’S HYPERMARKET,
Thrissur.

Scope:
The scope of the study is to find out the impact of visual displays in the store
which causes to change the buying decisions of the customers. It is important to
notice that Visual merchandising is involved in getting more visitors to stores; it is
of immense importance which attracts customers towards impulsive buying in the
store.

Research methodology:
A sample size of hundred and fifty customers was selected for the study. Data was
collected by the simple random sampling method. Questionnaire was the tool used
to capture data from the customers, which was prepared on a Likert scale. Data
was analyzed through Ms Excel.

8
Major Findings:

The major findings of the study are listed below:

 Fifty five percent of the customers changed their buying decisions with
the influence of visual merchandising in the store. 

 Eighty seven percent of the customers can recall the product display in
the store. 

 Seventy four percent preferred to follow the layout of the store to find the
product. 

 Eighty percent of customers are satisfied with the shopping experience at
LALY’S HYPERMARKET, Thrissur. 

Major Recommendations:

 As stated in the findings Seventy four percent preferred to follow the

layout of the store to find the product. But only Fifty five percent of the
customers changed their buying decisions with the influence of visual
merchandising in the store. So it is important to improve the visual
merchandising inside the store to get hike in sales. 

 By effective presentation of the sign boards/drop downs and with promo
activities like melas & celebrations, only 60percent people came to know
about different offers in the store. Offer is the sustaining factor for
hypermarket like LALY’S HYPERMARKET. So it is crucial to get the
attention of the customers to enhance sales. 

9
Literature Review:

Visual Merchandising is an important component in atmospheric management.

It includes both store exterior and store interior. Store exterior includes window
display retail premises and facade whereas store interior includes store layout,
fixtures and fittings, wall display and store highlights.

Also there are components governing both store exterior and interior, which
include colour coordination, lighting design, mannequin selection and the
application of design principles.

If retailers want to project the best side of its company, a good selection of the
visual merchandising with a detailed consideration of proper cooperate
expressions are vital.

Visual merchandising helps maintaining the overall image of a retail store in

consumers „mind .
Visual merchandising focuses on various aspects of consumers, which include
sensory pleasure, affective pleasure and cognitive pleasure

Sensory aspect includes personal feeling of consumers, such as response to

temperature and noise, feeling crowded in a store

Store related and product related information can also be acquired from store
environment. Also window display plays a crucial role in affecting store entry
decisions as it is very important information cue for consumers A little research
about the inter relationship between the importance of store aesthetics and
consumer decision process, as a result, the aim of this study is to look into this
specific relationship.

10
 INTRODUCTION

Shopping has transformed from necessity to an adventure. It is more of an

experience, opportunity for celebration. The good old days have gone when a list
is made and shopping is done at the nearby store. Now shopping is a welcome
break from hectic schedules. Retail giants like LALY’S HYPERMARKETs rule
hearts with conversion theory converting visitors into buyers.

At this juncture it is important to notice that visual merchandising, which deals

with the display of products and creating an ambience. A good display makes
people walk into the store and also helps in making them feel like taking a look
around.

It not only communicates the store’s advertising efforts and encourages impulse buying by the
customer. Visual merchandising is a major factor often overlooked in the success or failure of
a retail store.

Visual merchandising is the art and science of displaying and presenting product
on the sales floor and in the windows with the purpose to increase store traffic and
sales volume. Along with the store desi identity and best form of advert.

Visual merchandising can be defined as everything the customer sees, both

exterior and interior, that creates a positive image of a business and results in
attention, interest, desire and action on the part of the customer. It includes the
presentation of merchandise as well as other important, features that create the
store’s overall Eighty percent atmosphere of impressions are created. by sight; that
is why one picture is worth a thousand words. Each customer has a mental image
of a store and its merchandise. A store should have an inviting appearance that
makes the customer feel comfortable and yet eager to buy. Visual merchandising
11
is directly involved in two-third of the entire process of converting a mere visitor
into a buyer.

Visual merchandising can be defined as everything the customer sees, both

exterior and interior, that creates a positive image of a business and results in
attention, interest, desire and action on the part of the customer. It includes the
presentation of merchandise as well as other important, features that create the
store’s overall Eighty percent atmosphere of impressions are created. by sight; that
is why one picture is worth a thousand words. Each customer has a mental image
of a store and its merchandise. A store should have an inviting appearance that
makes the customer feel comfortable and yet eager to buy. Visual merchandising
is directly involved in two-third of the entire process of converting a mere visitor
into a buyer.

Visual merchandising plays a very important role in attracting customers of

different sections to buy the goods. The basic objective for visual merchandising is
a desire to attract customers to a place of business in order to sell the merchandise.
Visual merchandising is offered to the customer through exterior and interior
presentation. Each should be coordinated with the other using theme. Creating and
maintaining a store not a simple task. It is necessary to continually determine what the
customer sees.

12
 THE 5 SENSORY ELEMENTS

Sight: The first thing that motivates a consumer to walk into a store is how the
store. A looks ‟welcoming and friendly store always scores a plus over those
which are not. Bright colours, well-placed merchandise and in-store
advertisements, all go into working for example, in a furniture store, facts and
helpful tips by interior designers can be put up next to merchandise to aid the
consumers. They can see, read and take informed decisions.

Sound: Indulging the sense of sound through pleasing music (in accordance with
the merchandise and brand concept) is a must. At an apparel store for young
adults, fashion shows on screens and tips by stylists can be aired in the store to
help shoppers select clothes for themselves. Interviews or quotes by famous
authors can be played at bookstores to educate the customers on what books to
pick up.

Smell: A pleasing smell always adds to the ambience of a store. A visual merchandiser while
working in accordance keep in mind the sense of smell of a shopper. Good odour is a sure-shot
bonus to the store, it may not be remembered always, but its absence shall surely be
remembered.

Touch: This is a tricky sense to indulge- I conscious consumer it is more than a neces
merchandise. Be it in trying on clothes in the trial room, or testing a perfume with
a tester. The client should always be made to feel at home when it comes to the
sense of touch over The emphasized worth this cannot

13
Taste: Not all retail stores can hope at utilizing the sense of taste.
But for those who can, like chocolate stores, candy stores, F&B
outlets, snack and juice bars should aim at always treating the sense
of „taste‟ samples for tasting, free dishes or drinks on certain
amount of purchases or sweets and chocolates for kids at any other
kind of store are a few ways the retailer can indulge in the sense of
taste of the consumer.

Pampering the five senses of the consumers ensures a sensory

shopping experience for them. Working out the visual
merchandising of a store with this end in mind can work wonders for
a brand. The sixth sense, in this case, can be the sense the consumer
exercises in purchasing the product. But that sense shall only prevail
if the other five have been effectively stimulated.

VISUAL MERCHANDISING ELEMENTS

 Exterior Presentation

 Exterior Signs

 Marquees

 Banners

 Entrance & Aisles

 Window Displays

14
PRINCIPLES OF DESIGN

Interior Presentation
Selling space is the most important part of a store and therefore, efforts to utilize
each square foot will help to maximize sales. When planning interior displays, it
should be kept in mind that the theme and image presented on the exterior must be
carried throughout the interior of the store to provide consistency for the customer.
The purpose of interior display is to develop desire for the merchandise, show
what is available, and encourage both impulse and planned buying.

Three major goals of a store should be to motivate the customer to spend money,
project the image of the store and keep expenses to a minimum. Well-designed
displays and in-store promotions are essentials for a consistent theme and to help
the customer find advertised items.

Impulse buying - The trick of Visual Merchandising

A research conducted in US suggests that 64.8 per cent of all purchases decisions
were made inside a supermarket. This included impulse purchase along with
substitutions and generally planned buys where the shopper had an item in mind,
but no brand. Most people indicated they purchased the item because they
saw it in displays.Advertising alone may not increase product sales substantially.

However, combining advertising and display into an integrated promotional

campaign will usually be more effective. Some effective displays are created by
suppliers or brand-name manufacturers, while others are developed from scratch.
The main principles of design used in display are balance, emphasis, proportion,
rhythm, colour, lighting and harmony. These principles apply to all displays,
window and interior.

15
Display Design

An effective way of attracting customers to a storeis by having good displays, both

exterior and interior. A customer will be attracted to a display within three to eight
seconds, which is the time a customer spends to determine interest in a product.
Every display should be planned and must have a theme. Good design makes a
visual presentation come together.This means the design attracts attention in a way
that strengthens the store image, as well as introducing merchandise to the
customer. Sale or promotional good in front of the store should be placed for short
period of time only. If the sale or promotion lasts for several weeks, merchandise
should be moved to the rear of the store. The customer should always get to see
new exciting and creative merchandise with display at the front of the store.

MERCHANDISE DISPLAY PLANNING

 Shelving
 Hanging
 Pegging
 Folding
 Stacking
 Dumping
 Depth
 Planogram

16
MERCHANDISE AND FIXTURE DISPLAY RECOMMENDATIONS
Goods can be effectively displayed on a variety of fixtures such as gondolas,
tables, cubes, mannequins, waterfalls and other racks, display cases and
manufacture point of purchase displays.
A fixture should not only complement the merchandise, but also the atmosphere
created in the store. Each fixture should present the merchandise to the public and
thereby act as a silent salesperson. One of the most common fixtures in stores is
gondolas - movable shelving approachable from all sides which are used in self
service retail stores, to display merchandise. They can be lined up in rows as in
grocery, hardware and drug stores or used singly to create an island.

17
Basic rules for fixture placement
Outlined below are some basic rules for fixture placement. These are not absolutes,
but rather guidelines that fit in well store set-up and customer traffic patterns.
 Three feet distance between racks must be allowed 

 The aisle leading to directly to the fire exit is considered a major aisle. The
fire exit must not be blocked with fixtures and extraneous materials. 

 A well-planned, geometric aisle pattern works best to maximize sales. 

 Aisle displays must be placed on an island rather than wing fixtures. 

 When placing racks, progress from small (sized or capacity) fixtures at aisles
to large fixtures near the back walls. When working with hard goods, place
cubes in the front with gondolas to the rear of the department or store. 

 Higher priced stores require fewer fixtures because there is less stock
available. T-stands and four ways can be used to create an illusion of space
and selective goods. This feeling is necessary to sell higher-priced goods. 

 Exciting displays of mass merchandise in quantity and colour must be
created. 

 Cubes can be used for folded goods. 

 Fixtures that racks well for sale items include tub tables, round racks and
rectangular racks. 

Errors commonly occurring in display

There is no thumb rule as to how much merchandise should appear in an area.
However one major consideration is the price of the merchandise. The more
expensive item the fewer it is displayed. Some precautions must be taken so that the
display area is not
 Cramped up with may similar items 

 Many different items , such that any selling message is lost 

 Appear aesthetically offensive to the customer 
18
  The display should be absolutely clean without any dust 

 Signs should be attached in the display providing all the
necessary information 

 Lights in the display area should be covered. Moreover caution
is to be taken to avoid fire and other related disasters 

 The display area should be checked from all the angles so that
all merchandise should be easily visible and aesthetically
pleasing Mistakes in applying principles of display 

 The four principles of design and display include emphasis, balance, 
rhythm and proportion. These principles must be reviewed every
time the display is completed.

 Every display needs a point where t display which is displayed too frequently
has no definite point of emphasis 

or the point of emphasis is in the wrong place. 

Use of other sensory organs for merchandising

Use of music
The store image and the mood of the customers can be changed dramatically by the
use of music. Music establishes moods, helps to motivate the subconscious mind
and create long lasting impression on the customers. Specific music for particular
merchandise can create a good shopping experience and can be an important tool
for creating a brand.

Perfumes and Scent

The other use of stimulation can be use of stimulating the olfactory lobe of the
brain. i.e. use of perfumes and scents. Layout having fresh breads and buns, can
entice the customers by the aroma. Segments of the store having soaps and toiletries
19
can enchant the customers by the use of perfumes and scents. A pleasing scent can
create a wonderful ambience and add to the customers shopping experience. Scent
can also be a major factor in determining which product to buy. Everything from
perfumes, scented candles, toiletries, cleaning products are all bought while keeping
scent in the mind. The scent generally determines which product the customer
purchases.

20
 CHAPTER II
Research Methodology

21

Research Methodology
Title: A Study on Impact of visual merchandising on sales in LALY’S
HYPERMARKET, Thrissur.

Primary objective:

 To study the impact of visual merchandising on the buying behavior and

the buying decisions of the customers. 

Secondary objectives:

 To explore the impact of layout in a retail store on customer buying

behaviour. 

 To explore if buying choices are made before reaching the store or based on
visual displays in the store. 

 To analyze whether customers can recall the products displayed by visual
merchandising or not. 

Sampling Plan:

 Target Population: Individuals between the age group of 18 to 70 years

was chosen as the target population. The people under this age group who
are frequent visitors and shoppers to LALY’S HYPERMARKET, Thrissur. 

 Sampling Procedure: The sampling procedure using here is simple
random sampling. Simple random sampling means each sample in the
population has equal chance to be picked up for the study. 

Sample Size: A sample of 150 customers can be taken in order to carry
the study. 

Sample Elements: The sample elements will consist of people who visit
and shop from LALY’S HYPERMARKET. 

22
Data Collection:
Data is the information which will be collected from various sources. It concerns
with gather accurate information about the problem.

Data collection mode: Two methods can be used to collect the relevant data, which are
essential for the study.

 Primary Data: Data will be collected to obtain desired information through

structured questionnaire. 

 Secondary Data: Data is collected through books, magazines, newspapers and
internet…etc 

Plan of Analysis:
The collected data from both primary and secondary sources will be tabulated in the form
of tables. The data collection through questionnaire will be analyzed in detail and divided
into various categories of preferences. By giving inputs to various methods in MS Excel I
can observe the impact of visual merchandising on buying decisions of customers. The
analysis of data using MS Excel will give the meaningful conclusion for my research.

Limitations of the study:

There are a few limitations to the study that may arise due to the following reasons:
1. Reluctance of the sample to give a proper feedback
2. The study is confined just to Thrissur, Karnataka.
3. Language barrier prevailed.

23
 CHAPTER III
INDUSTRY & COMPANY
PROFILES

24
Indian Retail Scenario:

The retail scenario is one of the fastest growing industries in India over the last
couple of years. The Indian retail industry is the third largest in the world.
Comprising of organized and unorganized sectors, though initially, the retail
industry in India was mostly unorganized consists of small and medium grocery
store, medicine stores, „subzi mandi‟,„kirana‟stores, „paan‟shops etc. However,
with the change of tastes and preferences of the consumers, the industry is getting
more popular these days and getting organized as well. More than Ninety percent
of retailing in India fall into the unorganized sector, the organized sector is largely
concentrated in big cities. Organized retail in India is expected to grow Twenty
five to Thirty per cent yearly and is expected to increase from Rs 35, 000crore in
2004-05 to Rs109, 000 crore ($24 billion) by 2010.

25
Retail formats in India:

Format Description The Value Proposition

Branded Stores Exclusive showrooms either owned or Complete range available
franchised out by a manufacturer. for a given brand, certified
product quality
Specialty Focus on a specific consumer need, carry Greater choice to the
Stores most of the brands available consumer, comparison
between brands is possible
Department Large stores having a wide variety of One stop shop catering to
Stores products, organized into different varied/ consumer needs
departments such as clothing, house
wares, furniture, appliances, toys, etc.
Supermarkets Extremely large self-service retail outlets One stop shop catering to
varied consumer needs
Discount Stores offering discounts on the retail Low Prices
Stores price through selling high volumes and
reaping economies of scale
Hypermarket Larger than a supermarket, sometimes Low prices, vast choice
with a warehouse appearance, generally available including services
located in quieter parts of the city such as cafeterias

Convenience Small self-service formats located in Convenient location and

stores crowded urban areas extended Operating hours.
Shopping An enclosure having different formats of Variety of shops available
Malls in store retailers, all under one roof. to each other.

26
 Challenges faced by Indian retail industry:

 The tax structure in India favors small retail business 


 Lack of adequate infrastructure facilities 

 High cost of real estate 

 Dissimilarity in consumer groups 

 Restrictions in Foreign Direct Investment 

 Shortage of retail study options 


27
LALY’S HYPERMARKET:
LALY’S HYPERMARKET is not just another hypermarket. It caters to every
need of your family. Where LALY’S HYPERMARKET scores over other stores is
its value for money proposition for the Indian customers.

Laly's Hypermarket the biggest shopping commercial centre of its kind in

the State, is all set to revolutionise the shopping experience in Pattikkad
center, Thrissur, Kerala. With thoughtfully designed spaces, futuristic
facilities and a prime location that ensures ever- increasing footfalls. Laly's
Hypermarket is situated in the center and heart of Pattikkad center with wide
approach from all areas. We are Providing all the needs of a house hold
under one roof, it has made its mark as a single stop shop for its customers.
A wide variety of products are available here, both domestic and imported as
well. Our highly trained staff and professionals have been appointed to take
care of all the needs of customers. At Laly's Hypermarket, we earn the
loyalty of the people we serve by first anticipating, then fulfilling their needs
with a vast spectrum of quality products and we are constantly looking for
new ways to offer a greater choice. We understand that many of our
customers have different lifestyle needs and preferences, and have a range of
international brands to fulfill our commitment to providing a greater choice.
At LALY’S HYPERMARKET, you will definitely get the best products at the
best prices –that is what we guarantee. With the ever increasing array of private
labels, it has opened the doors into the world of fashion and general merchandise
including home furnishings, utensils, crockery, cutlery, sports goods and much
more at prices that will surprise you. And this is just the beginning. LALY’S
HYPERMARKET plans to add much more to complete your shopping experience.

28
 BRIEF VIEW OF LALY’S HYPERMARKET PRODUCTS:

 BAKERY
 FORMALS & CASUALS FOR MEN,WOMEN & KIDS
 FRUITS & VEGETABLES
 ELECTRONIC ACCESSORIES
 GROCERY
 FROZEN MEAT & FISH
 STATIONARY , PERIODICALS & MAGAZINES
 LADIES FASHION
 TOYS
 KITCHENWARE
 PERSONAL & COSMETICS

29
 Chapter IV
Analysis & Interpretation of Data

30
 4.1 Frequency of visitors to LALY’S HYPERMARKET

Gender Total
Male M% Female F%
Frequency More than once in a week 23 28.7 25 35.7 48
Once in a week 19 23.7 16 22.8 35
Once in a month 15 18.7 24 34.2 39
Only on offer days 14 17.5 4 5.7 18

Very rarely 9 11.2 1 1.4 10

Total 80 70 150

Analysis:

It is observed that 55.3% of samples are coming the store once in the week,
so we need to concentrate on daily consumables.34.2% female are coming
once in a month, so to attract these people we need to concentrate on
provisions.17.5% of male samples are interested to come only on offer days,
so it will be helpful to concentrate slightly on male belongings on offer
days.

31
4.2 Factors tells about new product arrival in the store

Gender Total
Male M% Female F%
New arrival Through display of the product 37 46.3 25 35.7 62
Through Offers 19 23.8 14 20 33
Through Announcements 16 20.0 8 11.4 24
By enquiring salesperson 3 3.8 9 12.9 12
You will search by your own 5 6.3 14 20 19
Total 80 70 150

Analysis:
From the above interpretation it was observed that 46% of the male samples and
35.7% of female samples came to know about the new product arrival in the
store through display of the product. Only 22% of the samples came to know
through different offers.
So with that i can conclude that Visual merchandising is making awareness
about new product better than offers offered for the customers on new
products.

32
4.3 Perception about product arrangement & display in the store

Gender Total
Male M % Female F%
Assortment Always 18 22.5 16 22.9 34
Mostly 32 40 40 57.1 72
Sometimes 19 23.8 9 12.9 28
Rarely 8 10 4 5.7 12
Never 3 3.8 1 1.4 4
Total 80 70 150

Analysis:
It can be observed that 70.6% of the samples (80% female samples) agreed that
they were attracted by the product arrangement and display in the store.
With that I can conclude that the proper arrangement and display of the products
will be vital in retail store especially female requirements. So visual merchandising
should be attractive and message oriented regarding product.

33
4.4 Perception about following the displays and layout to find a product

Gender Total
Male M% Female
Follow display Strongly Agree 34 42.5 44 62.9 78
Agree 20 25 14 20 34
Neither agree nor Disagree 17 21.3 10 14.3 27
Disagree 7 8.8 1 1.4 8
Strongly Disagree 2 2.5 1 1.4 3
Total 80 70 150

Analysis:
From the above analysis it can be observed that 74.6% samples
(82.9%female samples) were agreed that they follow displays and layout to
find product.So it is necessary to maintain excellent displays for products
and flexible layout for store. Then it will be very helpful to the customers to
find the products easily and impulsive buying may happen with excellent
display of products. This will help in raising the sales.

34
 4.5 Action after entering the store

Gender Total
Male M% Female F%
I enter Go straight to the product which i want 9 11.3 20 28.6 29
Walk through the store as it leads me 60 75 28 40 88

Don't follow any pattern, randomly pick product 7 8.8 12 17.1 19

Seek the help of salesperson to navigate in the 5 14.3
4 10 14
store
Total 80 70 150

Analysis:
It can be inferred as 58.6% of the samples are stated leads them”.So from the above I can
conclude that it will be the trick of Visual merchandising to convert the people who walk
through the store as customers. So store should concentrate on excellent way of
merchandising to attract customers and to improve sales of the store.

35
 4.6 Perception about promotional activities in the store

Gender Total
Male M% Female F%
Offers Sign boards/Drop downs 40 50 17 24.3 57
Promo areas(melas) 9 11.3 25 35.7 34
sales people 5 6.3 12 17.1 17
pamphlets 9 11.3 3 4.3 12
Announcements in the store 17 21.3 13 18.6 30
Total 80 70 150

Analysis:

From the above it can be observed that 60.6% of the samples came to know about
the offers through sign boards/drop downs & promo areas.So it is important to
convey the offers to customer to get attention at the product. With this I can conclude
that proper displaying of sign boards, promo areas will help the customers to know
about offers and will be helpful in increasing the sales.

36
4.7 Most relevant activity regarding shopping

Gender Total
Male M% Female F%
I bought what i came to buy, Nothing more 21 26.3 7 10 28

I bought little more than what i came for 34 42.5 46 65.7 80

I bought lot more than what i came for 15 18.8 9 12.9 24

I bought everything that attracted me 7 8.8 6 8.6 13
I didn't find what i needed, so i didn't buy 3.8 2.9
3 2 5
anything
Total 80 70 150

Analysis:
From the above it can be observed that 53.3% samples bought more than what
exactly they came for. That may happen with the impulsive buying, offers. So
visual display of the sign boards and products are crucial to create an intention to
buy the product with offer or with good display.

37
4.8 Factors effecting buying behavior

Gender Total
Male M% Female F%
Attractive displays of the product 17 21.3 11 15.7 28
Good product 12 15 23 32.9 35
Information provided by sales person 6 7.5 7 10 13
When i see a good deal, i tend to buy more 42.5 30
34 21 55
than i intended to buy
No specific reason, i bought because i like 13.8 2.9
11 2 13
the product
I didn't buy anything out of list 0 0 6 8.6 6
Total 80 70 150

Analysis:
From the above it can be observed that 42.5% male samples and 30% female samples were
agreed that when they see good deal they will buy. So it is important to display the offers and
promote them as much possible.29% was influenced by attractive display of the product. So
we should concentrate on product display in the store which can influence the buying decisions
of the customers.

38
 4.9 Experience of impulsive buying in the store

Gender Total
Male M% Female F%
Yes 68 85 56 80 124
No 12 15 14 20 26
Total 80 70 150

Analysis:
From the above it can be observe that 82.6% samples experienced impulsive buying in the store.So
there is a possibility to implement some techniques to grab those customers who tend to impulsive
buying inside the store.

39
4.10 Place of impulsive buying

Gender Total
Male M% Female F%
Nearby cash counter while waiting for payment 21 30.9 15 26.8 36
Promo area 19 27.9 28 50 47
Where promotions are too attractive in the store 28 41.2 13 23.2 41
Total 68 56 124

Analysis:
From the above it can be observed that 71.7% samples made impulsive buying at
promo areas and at the places where the promotions are too high inside the
store.50% of the female samples stated that they will do impulsive buying at
promo areas.
So it is necessary to concentrate on promotions to achieve impulsive buying inside
the store.

40
4.11 Perception about product arrangement

Gender Total
Male M% Female F%
Excellent 19 23.8 14 20 33
Very good 30 37.5 34 48.6 64
Good 21 26.3 5 7.1 26
Average 3 3.8 13 18.6 16
Poor 7 8.8 4 5.7 11
Total 80 70 150

Analysis:
From the above it can be observed that 82% of the samples agreed that the
product arrangement is acceptable.18.6% female samples stated that it is poor.
So it is important to arrange and display the product properly. So proper visual
merchandising is required for better results.

41
4.12 Perception about change in buying decisions with the influence of display

Gender Total
Male M% Female F%
Strongly agree 17 21.3 11 15.7 28
Agree 27 33.8 31 44.3 58
Neither agree nor disagree 19 23.8 14 20 33
Disagree 12 15 10 14.3 22
Strongly disagree 5 6.3 4 5.7 9
Total 80 70 150

Analysis:
From the above it can be observed that 50.7% samples were agreed that visual display of
the product influenced their buying decisions.
So it is very important to improve the quality of the displays and presentation of the product
to attract more customers. This will defiantly helpful in creating an identity in customer‟s
mind about the store.

42
4.13 Perception about factors affecting the buying decisions

Gender Total
Male M% Female F%
Locating products through signs, graphics 74 92.5 57 81.4 131
Lighting 6 7.5 9 12.9 15
Colours 0 0 4 5.7 4
Total 80 70 150

Analysis:
From the above it can be observed that 87.33% samples agreed that locating products,
signs have influenced their buying decisions.
So it is important to concentrate on product arrangement and display in the store to
improve sales.

43
4.14 Shopping Experience at LALY’S HYPERMARKET, Thrissur

Gender Total
Male M% Female F%
Highly Satisfied 15 18.8 12 17.1 27
Satisfied 52 65 41 58.6 93
Neither Satisfied nor dissatisfied 11 13.8 8 11.4 19
Dissatisfied 2 2.5 6 8.6 8
Highly dissatisfied 0 0 3 4.3 3
Total 80 70 150

Analysis:
From the above it can be observed as 80% of the samples are satisfied with the service
offered by LALY’S HYPERMARKET, Thrissur.

44
4.15 Product recall

Gender Total
Male M% Female F%
Yes 67 83.75 64 91.43 131
No 13 16.25 6 12.9 15
Total 80 70 150

Analysis:
From the above it can be observed as 91.5% of the female samples are able to recall the
product, and only 84% of male samples are able to recall the product. So it is important to
attain the hundred percent attentions of the customers with product display in the store.

45
 CHAPTER V
FINDINGS AND CONCLUSIONS

46
FINDINGS AND CONCLUSIONS
From the Analysis of the results and based on the objectives of the study the
following findings can be ascertained:

 55 percent customers are influenced to buy more than they tend to buy, the
main reasons for that are attractive product display and good deal/offer with
the product. 

 63percent of the customers came to know about the new product arrival
through the display of the product and through the discount offers. 

 Out of hundred and fifty samples 74percent preferred to follow the layout
of the store to find the product. 

 58percent of the samples are intended to follow the layout of the store as it
leads them. 

 By effective presentation of the sign boards/drop downs and with promo
activities like melas & celebrations 60percent people came to know about
different offers in the store. 

 40percent of the customers changed their buying decisions by the influence
of product arrangement and promotional signage. 

 87 percent customers are able to recall the product after their shopping. So
it is stating that the visual merchandising of the store is good. 

 70percent of the customers are tending to do impulsive buying nearby
promo areas and where the promotions are too high in the store. 

 Out of hundred and fifty samples 57percent of customers had the
perception that the product arrangement in the store is good and it
influenced their buying decisions. 

 Food Bazaar is the walk-in driver for the store with low margins and adding
value to the store. 

 Fashion department is the one which is contributing significantly in both 
sales and margin to the store.
59
47
  Walk-ins are more on Wednesday bazaar, weekends and celebrations like
birthday celebrations, big day celebrations, melas…etc 

 People have good knowledge about products in LALY’S HYPERMARKET,
Thrissur. Especially Koryo‟s small appliances fresh‟s Ghee…etc 


 80 percent of customers are satisfied with the shopping experience at
LALY’S HYPERMARKET, Thrissur. They used to say that wide range of
availability under the single roof made their shopping easier and the offers
they are getting

SUGGESTIONS:
Some of the suggestions given by the customers are as follows

It is necessary to improve the product arrangement and offers to get attention
of the remaining 45percent customers.
Customers have observed that LALY’S HYPERMARKET needs to improve their
ambience
–with suggestions regarding improvement in lighting, fragrance in fashion
department.

ADDITIONAL SUGGESTIONS:

The layout of the department stocking furniture should make the furniture
arrangement such that it mirrors the way the customers would arrange it at
their own homes Rotating table with different colours can be used in kids
fashion to attract and create pleasant environment in the store.
 Few customers are in the perception that some product‟s price range in
LALY’S HYPERMARKET are higher than the market price; there is a need
to focus on this issue.
Parking place for vehicles is comparatively very less; it is a serious problem.

48
  It is necessary to concentrate on product display and placing banners which
tells about offers particularly on the special days like celebrations time,
melasc…et

RECOMMENDATIONS

 Setup the merchandise outside the store, this can create a sense of
excitement and buzz: consider a "Street Fair" environment, with flags and
balloons. 

 Customers are in a hurry. It is better to use signage to identify not only
departments but also categories -- this will help customers pinpoint what
they need and inspire additional purchases. 

 Plan on changing the displays at least weekly. 

 Merchandise that moves will catch the eye, so it is better to have anything
that moves --from clocks to toys to music boxes, take one out and set it up. 

 Great merchandising appeals to more than the eyes. Consider how store
sounds, smells, and even feels. 

49
 CHAPTER VI
BIBLIOGRAPHY

50
 REFERENCES:

 www.lalyshypermarket.com
 http://www.skyscrapercity.com/sho
wthread.php?p=134943781
 www.wikipedia.com
 www.supplychaintoday.com
 www.scribd.com
 www.globalretailbusiness.com
 www.retailchoice.com
 www.theretailbulletin.com
 www.retailyatra.com
 www.facebook.com/LalysHyperma
rket/
 http://tradedeal.co.in

51
Chapter VII
Appendices

52
APPENDIX-1

QUESTIONNAIRE

Hi! Hope you enjoyed the shopping. It would be really great if you can help me in
understanding a few things that would make shopping effective and entertaining.
Please help me by filling out this questionnaire and be a part of my Marketing
Research project.

Name of the Store: LALY’S HYPERMARKET Location:

NH Bypass, Pattikkad center
Thrissur, Kerala.
Pin 680625.

1. How often do you visit this store?

 More than once in a week 

 Once a week 

 Once a month 

 Only on offer days (Big days, Wednesday bazaar) 

 Very rarely 



2. How do you come to know about new product arrival in the store?
 Through Display of the product 

 Through offers 

 Through announcements 

 By enquiring salesperson 

 You will search by your own 

53
 67
3. Do the way of product arrangement & display in the store attract you?
 Always 

 Mostly 

 Sometimes 

 Rarely 

 Never 



4. Generally I follow the displays and layout to find a product.
 Strongly Agree. 

 Agree 

 Neither agree nor disagree 

 Disagree 

 Strongly Disagree 



5. When I enter the store....
 I go straight to the products which I want 

 I walk through the store as it leads me 

 I do not follow any pattern. I just walk randomly and pick up products 

 I seek the help of salesperson to navigate in the store 

 Others (Please specify) _______________________________ 




6. While shopping, how do you come to know about the offers for the day in
the store?
(Tick only one option which is most relevant)
 Sign boards/drop downs 

 promo areas (Melas, Celebrations) 

 Sales People 

54
  Pamphlets 

 Announcements in the store 



7. Which of these is most relevant with regard to your shopping?
 I bought what I came to buy. Nothing More. 

 I bought a little more than what I came for. 

 I bought lot more than what I came for. 

 I bought everything that attracted me. 

 I did not find what I needed. So I did not buy anything. 



8. If you have bought some products other than what you came to buy, which
of the following factors made you buy more? (Tick as many as applies)
 Attractive display of the product 

 Good Product 

 Information provided by salesperson 

 When I see a good deal, I tend to buy more than that I intended to buy. 

 No specific reason, I just bought because I liked the Product 

 I did not buy anything out of list 



9. Have you ever experienced instant/unplanned buying in store ?
 Yes 

 No 

If “yes”, which factor influencedinstant/unplanned yo

buying decision?
Influence Product arrangement
Placing of the product

55
 Influence of Promotional Signage
Excitement in trying a new product
Influence of mannequin display

10. At which place you tend to do more impulsive buying in the store?
 Nearby cash counter while waiting for payment 

 Promo area (Melas, celebrations) 

 Nearby coffee bar 

 Where promotions are too attractive in the store 



11. What do you feel about the product arrangement in the store?
 Excellent 

 very good 

 Good 

 Average 

 Poor 



12. Visual display/Presentation of products influences my buying decision in
the store.
 Strongly Agree. 

 Agree 

 Neither agree nor disagree 

 Disagree 

 Strongly Disagree 

56
 13. How do you feel that the following factors influence your buying decisions
in a store?

Rate the following from 1-5.

 [ ] Locating products through signs, graphics etc

 [ ] Lighting 

 [ ] Music 

 [ ] Fragrance 

 [ ] Colours 


14. Can you recall one product based on the display which was prominently
promoted in the store?

Please specify__________

15. On the whole how was your shopping experience with LALY’S
HYPERMARKET?
 Highly satisfied 

 Satisfied 

 Neither satisfied nor dissatisfied 

 Dissatisfied 

 Highly dissatisfied 

Any suggestions to improve the display and visuals in the

store_________________________

57
 Demographics

1. Name: ______________________________________________

2. Gender: Male / Female

3. Age: 10-20 / 20-30 / 30-40 / 40-50 /50 & above

4. Education:

5. Occupation: Student/ Employee /Business /any other (please specify)

_________________

6. Income range: 4k-10k / 10k-20k / 20k-30k /30k-40k/40k & above

7. Contact no:

58
59