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What is Merchandising?

One of the most common questions we have come across in branding and marketing is, “what is merchandising.” It might seem like a simple question, but it requires proper knowledge of the marketing world to get it.

Generally, merchandising is an important step retail stores take to market their products and entice consumers. It’s often confused with other marketing strategies.

In this guide, we will define the term merchandising and explain everything you need to know in detail. This could be all you need to get more sales from your displayed goods.

Keep reading.

What is Merchandising?

Think about the time you visited your favorite store to buy a specific item. Did you find what you were looking for? If yes, what did the store do to ensure you see and buy the product?

That is merchandising. It’s basically everything you do in promoting and selling products once potential customers visit a store, complete with branded gifts.

Merchandise means the products you have in store. So, merchandising includes stocking your shop, whether physical or online, to easily give customers what they need.

As you may already know, the sales process starts with visualization. Consumers want to see the products on display before they come to make the decision to buy. You use brand and logo to get more customers into your store, but you use merchandising to ensure they get the products.

Merchandising is all about presenting the products in the best manner possible. For instance, the product should be presented in a visually attractive light and in a place that is easily accessible.

When you visit a supermarket, you will realize products are arranged specifically in categories. For instance, if you are looking for furniture, you wouldn’t search in the foods section. That is merchandising.

Elements of Merchandising

When you receive a branded gift from your favorite retail store, it’s encouraging you to stay loyal. This is one of the elements these stores use to develop a merchandising picture in their storefronts.

Other elements include:

The Layout of the Store

This is a guide that directs buyers where they want to go if they need specific items. It’s like a map of your store telling buyers what you have.


Product display is another important element of merchandising. Here, you make a temporary or permanent display of important products. In this case, you need to consider the level of importance of all products.

Selection of Products

What products are you selling in your store? You need attractive products that are useful for your specific audience. You should have something that creates a cohesive branding picture.


You need to set your price high enough to make a profit but be competitive in your market to attract shoppers. Some retailers use raffles and promotions to encourage spending.

Merchandising for E-commerce Stores

Merchandising is even more crucial for online stores. Apart from displaying the products properly in categories, you also need attractive marketing graphic design elements in your store. This not only attracts customers to the website but also encourages buying.

Best Merchandising Practice

How do you entice buyers to spend in your store? Here are some ideas:

  • Use window and in-store displays. If you have “hot” products and deals, display them on windows and places where they are easily seen.
  • Branded gifts. When it comes to corporate identity, nothing works better than a well-designed logo or brand. So, have some branded gifts and give them to your customers. It’s a great sales and marketing strategy.
  • Store arrangement. Group related products in specific rows.
  • Samples and giveaways. Use giveaways to attract loyalty to your store.
  • Highlight promotion items.

When talking about merchandising, brand vs. logo comparison often comes up. This is because you want your customers to find the products on offer much faster, relate with them in a friendly manner, and share the information with other potential customers. We hope this information helps you make the best out of your business ideas.

Originally posted 2022-11-16 17:11:03. Republished by Blog Post Promoter

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