The benefits of VM
Before even starting a merchandising plan, you need to know your audience. Determine the age group and lifestyle of your most frequent customers. This will help you make decisions about product choice. There is little point in stocking a variety of baby care products if your main customers are not young families. It is essential not to simply assume what your customers want and need. Effective VM provides many benefits beyond enhancing profitability. These include:
- Increased customer numbers: Good VM will increase the number of customers who spot and then enter your business. VM always starts on the outside to draw customers in
- Enhanced customer Loyalty: VM makes it easier for customers to shop and purchase, and gives them reasons to return often and spend more money
- Increased sales floor productivity: VM can help you to control costs by improving the productivity of your sales floor
- Reduced wastage: By planning your VM and using sales figures to select correct product ranges for your audience, there should be less discounted product.
Ideally, to commit to VM in your pharmacy, you should create a merchandising calendar and keep to it. Identify themes which tie in with national health awareness events and seasonal symptom needs. Plan the types of products that you want to promote throughout the entire year.
Pause to reflect
Conducting an audit of your pharmacy environment is a good way to assess how the store’s presentation is influencing customer behaviour. It is an opportunityfor you to see the pharmacy from the customer’s perspective. Set aside some time to audit your workplace by asking the following questions?
• Are the store front and windows attractive and inviting?
• Is all signage clear, professional and legible?
• Is the store interior welcoming and comfortable?
• Is the store layout logical in helping customers to find products?
• Is merchandise presentation appealing? Are there too many dump bins?
• Are seasonal and high margin products placed in high profile locations?
• Do you have a lot of discounted product because of poor sales?
• Are you holding on to poor sellers? Are you afraid to remove them from the shelves?
• Are there gaps on your shelves?
• Is the pharmacy counter cluttered?
• Do you link different categories of products to enhance impulse sales?
• Are employee uniforms professional and clean?
• Overall, is the store appearance professional?
Reflect upon your answers. Do you spend enough time and effort promoting visual merchandising to enhance customer spend? If you were a customer, would you buy products from your pharmacy?