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Merchandising is a marketing technique focused on presenting and passing on information about products available at points of sale.
Do you know what merchandising is? Certainly, you’ve already heard about this marketing tool and have a notion. But maybe you don’t know how to apply to your own business.

Now, with Mad For Trad, although this situation is quite common, you can be sure that understanding this concept and knowing how to apply it to your business is essential to have more success. This also has to do with the commoditization and the massification of products.After all, products, services, attendance and selling points are very similar nowadays.

What is merchandising?

This is a marketing tool whose techniques have the purpose of presenting and passing on information about the products available at the points of sale.The final objective is that the goods have rotation, in other words, great rotation, avoiding that they stay in stock for a long time.

So, we can also say that this resource helps to diminish the company’s coasts, as far as the storage of products in stock causes extra expenses, which can be reduced with the products rotation.However, the main purpose of the tool is to attract customers present at the point of sale, making them feel attracted by the products offered.

This passes through the knowledge about the consumers’ behavior.
It is important to know what their preferences, desires and demands are.This way, it becomes easier to make them buy, even not having need of that product.

How to develop a merchandising strategy?

Considering the main purpose of the tool, we arrive at a step by step to elaborate a suitable strategy.

However, it is important to point out that there are basic strategies, which should be adopted in any situation, and others that are more innovative, helping your company to differentiate itself from the competition.

• Define your target audience
• Delimit the goals to be achieved
• Create appropriate stimuli for the target audience
• Offer a beautiful and pleasant point of sale
• Formulate an annual promotions calendar
• Create an identity for the business
• Involve the most different senses in the experience
• Adopt the technology to convince the clients to buy
• Know what’s important and focus on it
• Test before putting a strategy into practice
• Offer exclusivity

What factors influence merchandising?

• Innovation
• New technologies
• Increased self-service
• Increase in the value of services
• Effectiveness and efficiency in management

What are the positive and negative points of this strategy?

As you have already noticed, this tool can bring many advantages to your company.However, it can also have negative impacts when it is not well used.So, which are the positive points? We can say that it helps to detach products, to differentiate the company from the concurrence, to call the attention of the consumers and to encourage them to buy.

But it is important that you know that this strategy in itself is not determinant for the success of a company.This is the negative point. Therefore, it is necessary to work the price, the attending, the products quality, the publicity and other factors together with this strategy, guaranteeing better results.

Thus, using merchandising as a tool and allying it to other elements, your company will be more successful and will attract more customers.