Whether you have years of experience in merchandising or are new to marketing your products to consumers, practically everyone always has something to learn about merchandising. Merchandising is really a subcategory of marketing. It deals with the way a physical product is presented to a consumer. While the best marketing campaigns will incorporate advertising and merchandising, it’s important to think through a merchandising strategy, no matter your marketing budget. Often, merchandising is one of the most cost-effective forms of marketing.
These merchandising strategies might not be right for every product, but some may be perfect for your company’s product.
Journey with the Customer
A customer’s journey refers to all the stages a shopper goes through when interacting with a brand’s products or services. Many customers, for instance, prefer coming into a store to physically experience a product. For many products that rely on in-person sales, having a strong physical presence in retail stores can be a huge advantage.
Retailers can use this to their advantage and put goods on display so that customers can feel, see, and try out a product before buying it. This will allow shoppers to actively engage with the company and ensure they will be satisfied with their purchase.
For a manufacturer who wants to utilize this strategy, it is essential that the product packaging appeals to consumers. Spend time and effort on the design to ensure that customers will want to interact with it somehow. That may mean touching the product, reading about it, or more.
Cooperate with Branding and Storytelling
Executives should determine how to convey their brand through their product and create a narrative about their mission or values. For example, they can use unique packaging or a small statement printed on an item’s label to educate consumers about the company’s brand.
While management can use social media to demonstrate their tone and unique style, a merchandising strategy will focus on using the product’s packaging to convey information to customers. This should be designed to help customers connect to a brand emotionally and will drive them to be loyal to the company.
Eliminate What Customers Hate
Businesses should understand what their consumers want and also identify what they do not like. This can help businesses take steps to improve their goods.
Specifically, listen to customers who take the time to make comments about a product. Unpopular sizes, recipe changes, and even hard-to-open packaging can lead to sudden drops in sales. Once these issues have been resolved, let customers know by combining merchandising and marketing. For example, highlight the size of the new product, emphasize how you have changed the recipe, or point out easy-to-open containers.
Think About Positioning
How products are placed on shelves can draw customers’ attention. Retailers should consider positioning their more profitable and faster-moving products at eye level on shelves or have them on display at the center of their store.
Research and Match Market Trends
As we become aware of new retail merchandising trends, companies can gain an advantage over their slower-moving competitors. For example, statistics for 2021 show that influencer marketing and ethical brands are on the rise. Clothing retailers can improve their merchandising strategy by incorporating these trends. Marketing teams can scout for people on social media with large followings and a style similar to their brand and have them advertise their clothing.
A company can innovate its production processes, include more ethical practices, and inform its consumers about these changes. As trends and consumer interest change, feel free to adjust the product and its packaging. Consumers today are much more willing to accept new packaging, and many studies have shown that even small changes to design can generate a lot of new interest in a product, even if the product itself has not changed.
Always Have Product Available
With the supply chain issues of recent years, this part of merchandising has become critically important. Today’s consumers are much more willing to swap brands if what they want is not available on shelves. That means that if your product is gone, they likely won’t go to another store to find it. Conversely, that also means that if your product is available, there is a greater potential to pick up new customers.
If a company is consistently out of stock of certain products, it can negatively impact its bottom line and customer base. When goods are unavailable, the retailer will lose out on a sale, and customers will be more likely to purchase from competitors. By implementing inventory management software, businesses can have better insight into their stock levels. These cloud-based tools allow managers to track their inventory in real-time and receive alerts when product quantities are low. This will help retailers maintain optimal inventory levels to meet customer demands.
Collaborate with Your Team
Companies can effectively attract customers and make sales by collaborating with executives, managers, and employees. It is important to ensure the sales team is informed of the merchandising strategies to properly display and advertise the store’s products and services. Additionally, gathering customer feedback can help executives make necessary strategy changes. A successful merchandising strategy involves various elements, but with careful planning, businesses can captivate customers and gain an advantage over their competitors.
If you need help designing your product packaging to align with your merchandising strategy, visit our website. We have years of experience helping our customers through the design process and look forward to working with you.