Page 9 - DMGT552_VISUAL_MERCHANDISING

Visual Merchandising

Notes 2. For suppliers the most important benefits relate to offering opportunities to reach their
………………, build product demand through retail promotions, and provide consumer
feedback to the product marketer.
3. Retailing is the act of selling ……………… products to an end user or consumer.
4. The end user is the person who actually uses the product for his ……………… needs.

1.2 Evolution of Retailing

Like the products that are sold within retailers, the formats used for retailing evolve over time.
A retailing concept that appeared revolutionary when first introduced may Notes become dated
within a couple of decades, and so retail businesses must constantly evolve their own portfolio
of retail formats to reflect the changing requirements and aspirations of the shopping public,
whilst responding to constraints imposed by the political and legal framework in which they
operate.
The ways in which retailers evolve have been the subject of academic debate for over half of a
century. Many of the academic references use the term ‘retail institutions’ to describe a type of
retail outlet. However, it is easy to confuse the term retail institution with a large retail business
(stores like Marks and Spencer are often referred to as institutions) and so the term format will
continue to be used in this discussion. The evolutionary theories attempt to provide some
predictive suggestions relating to the likely pattern of development of retailer types rather than
specific retail companies.
Today the general store, stacked with barrels, bins and sacks filled with everything from soaps
to pickles, has all but disappointed almost through the world. And in its place we find the more
refined self service ‘cash and carry’ organised retail stores in the form of supermarkets, department
stores, shopping malls and the like. These stores signified the beginning of organised retailing
and its evolution across the world. This new breed of organised retailers have their shelves
neatly stacked with a huge variety of products which include anything from cans, packed food,
bread, dairy products, fresh meat and fish, apparel, shoes, furniture or any conceivable item one
can think of. This phenomenon of new fund modern super markets, department stores is in
sharp contrast to the old and orthodox grocery stores that had existed.

1.2.1 Story of Retail Revolution

It is the revolution in the shopping habits of the people across the entire world, which has
virtually brought the super market to the main street. This revolution is unparallel in human
history as it has engendered the development of distribution system that delivers food and
other products to the consumer in unprecedented abundance, variety and quality retailing was
never as it is seen today. It has gone through its natural process of evolution in all areas from the
initial concept of the super market and department store from the initial concept of the super
market and department store to the shopping mall as it exists today.

Did u know? The first departmental store in the world was founded in Paris in 1852 by
Aristide Boucicaut and was named Bon Marche.
At that point of time, the department store business was a bare-bones operation. It was only
after World War II that retailers in the west began to upgrade their services, facilities and
merchandise selection to offer a fascinating way of additional benefits to consumers through
organised retailing.

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