Selling environment (brick & mortal) - eCommerce & Retail Mrkt

eCommerce & Retail Mrkt

Who developed the ‘Servicescape’ concept and when?

• Developed by → Booms and Bitner

• Developed in → 1981.

What is a Servicescape?

The physical setting in which a marketplace exchange is performed, delivered, and consumed.

What model does the Servicescape build on?

Starts with the concept of

→ ‘Stimulus–Organism–Response’ (SOR) model.

What does SOR become in the Servicescape model? (4)

SORM — Stimulus, Organism, Response, Moderators

Name the shop layout types (3)

• Grid layout

• Racetrack layout

• Freeform layout

What is a grid layout? (with example)

A structured layout typical of discount retailers, focusing on footfall flow and queue management.

• E.g. → (Aldi, Dunnes, Tesco …)

Benefits of a grid layout (3)

• Logical and easy to understand

• Gondolas labelled clearly

• Easy to find goods

Issues with a grid layout (2)

• Feels mechanical

• Can create a boring experience

What is a racetrack layout? (with example)

A layout that guides customers around a set path to ensure they see a wide range of products.

• E.g. → (IKEA, Home store)

Benefits of a racetrack layout (4)

• Easy customer flow

• Works well for smaller shops

• High product density per square foot

• Logical grouping of departments

What is a freeform layout? (with example)

A layout designed to feel like “organised chaos,” encouraging browsing and exploration.

• E.g. → (Brown Thomas)

Benefits of a freeform layout (4)

• Encourages browsing

• Supports hedonistic shopping

• Allows creative design

• Creates pockets of interest

Drawbacks of a freeform layout (3)

• Harder to use in large stores

• Customers may struggle to locate products

• Less product per square foot

What products should be placed at the entrance to entice customers? (2)

• Bakery items

• Colourful fruit and vegetables

Where should footfall drivers be located?

Around the edges or back of the store.

What items should be placed in prominent (attention grabbing) locations? (2)

• High‑margin or

• Impulse‑buy items.

Why use end‑of‑aisle displays? (2)

• Creates High exposure, and

• Positions the store as cheaper through special offers.

What are key points to consider when designing a store layout? (5)

• Manage footfall flow

• Create pockets of interest

• Inject excitement

• Encourage additional purchases

• Encourage impulse purchases

What are the five senses retailers use to enhance experience?

• Sight

• Sound

• Touch

• Taste

• Smell.

How does sight influence retail experience? (3)

• Lighting

• Colour choices

• Brand positioning through colour

How does sound affect the retail environment? (3)

• Creates ambience

• Can annoy customers

• Must balance tone and social interaction

How is smell used in retail? (3)

• Coffee shops, perfume counters

• In‑store bakery placement

• Scent branding (e.g., Abercrombie & Fitch)

What did Tischler’s (2005) experiment show?

• Vanilla scent in women’s department and spicy scent in men’s doubled turnover

• Reversing scents reduced turnover

Why is touch important? (3)

• Creates familiarity

• Reduces anxiety

• Boosts confidence

How is taste used in retail? (2)

• Free samples

• Hot drinks in salons

What are the three key components of the physical environment (stimulus)? (3)

• Ambient conditions

• Space & function

• Signs, symbols, artefacts

What is the holistic environment concept?

Customers process multiple stimuli simultaneously to form an overall impression.

What is a moderator in the Servicescape model?

Anything that increases or decreases a customer’s response to a stimulus.

Give an example of a moderator.

• Hunger increasing response to food smells

• Motivation reducing negative response to cold

How do employees respond to stimuli?

The right stimuli increase commitment and willingness to engage with customers.

What customer behaviours result from positive stimuli?

• Enter and explore

• Stay longer

• Carry out planned purchases

• Engage in social interactions

What are key criticisms of the Servicescape model? (3)

• People respond differently to the same stimulus

• Many stimuli are hard to measure

• Overemphasis on physical factors, not social interaction

What is in‑store communication?

Providing information through signs, posters, and technology to support navigation, promotions, and brand building.

What is visual merchandising?

The strategic design of store, window, and digital displays to attract customers and maximise sales.

What store layout is this ?

Freeform layout

What store layout is this ?

Racetrack layout

What store layout is this ?

Grid layout

Who conducted an experiment in 2005 and discovered that

• Vanilla scent in women’s department and spicy scent in men’s doubled turnover

• Reversing scents reduced turnover

Tischler