Page 56 - DMGT552_VISUAL_MERCHANDISING

Unit 3: Image Mix

especially in densely populated areas. Obviously, the more suburban the location, the greater Notes
the emphasis should be on maximising parking availability. Urban stores generally get a
significant amount of their business from walkers, bikers, and shoppers who use public
transportation to and from the store and, thus, can get by with a lower parking ratio.
As to parking configuration there are several consideration to be followed. First a parking lot
should be laid out so that the driving lanes are perpendicular to the storefront in order to
facilitate shoppers to walk between their cars and the store door. Secondly, food shoppers
usually like to park in reasonably close proximity to the main entrance/exit of the store, and
within the sight of it.
Market trends: Evaluate the community from a broad, futuristic perspective. Local newspapers
are a good source of information. Discussions with business owners and officials in the area can
also help. Make use of information available through the chamber of commerce. Is the community
receptive to change and will a new business be welcome? Does the community depend on a
single firm of industry? If so, is it prospering? Is there sufficient demand in the local market to
support a new business?
Visibility: Visibility has a varied impact on a store’s sales potential. It is important when a
shopper is trying to find the store for the first or second time. Once the shopper has become a
regular customer, visibility no longer matters. But consider this fact: one in five families move
every year, which means that some part of a community’s population may be ‘shopping’ in a
new store. It follows that, if a store cannot readily be seen, new residents of an area probably
will not choose it. Another aspect of visibility relates to travellers and passersby. Generally
spiking, a store’s trade area accounts for 75-90% of its business. This means that about 10-25% of
a store’s business comes from beyond its trade area. With respect to this component of a store’s
business, visibility takes on added importance.
No one type of location is better than the others.

Example: Many retailers such as the Delhi-based retailers Mehrasons and Nirula’s have
been successful in all types of locations.

The following factor can be used to list a particular retail site:
 Is there a need to be in the middle of traffic flow of customers as they pass between the
stores with the greatest customer pull?
 Who will be the store’s neighbours?

 What will be their effect on stores sales?
 How much space is needed?

Task Make a report on one of the busiest and costliest retail location in the world – The
Times Square.

Based on experience the amount of space required can be determined to run the expected level
of operations. The amount of space will determine rent. Many retailers need to rethink their
space requirements when locating a shopping centre. Rents are generally much higher and,
therefore space must be used efficiently.

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