Abstract

This research paper discusses the effects of visual merchandising elements of a retail store on consumer attention and customer loyalty. Visual merchandising has been one of the effective marketing strategies to show the ways that a retail store could do in order to entice its potential customers. This involves the design and presentation of a store’s layout, window display, color and lighting, store interior design, consumer attention, and customer loyalty. The study focuses on the elements which are the store layout, window display, color and lighting, and store interior design, and how these influence on gaining sales of a store as well as consumer attention and customer loyalty. Simple random probability sampling technique was used in conducting this research, and an adapted questionnaire was designed to gather responses from respondents. 337 students were made respondents from the College of Business Administration in the Polytechnic University of the Philippines – Manila are collected with their demographic profiles to have an authentic individual feedback. The hypotheses for exterior layout and interior layout in having positive impacts on attention and loyalty have been accepted. Also, a visually-pleasant retail store setting results has a significant effect to customer retention customer loyalty. In conclusion, marketing professionals should focus on developing visual merchandising strategies for attracting customers’ attention and increase customer loyalty which may also lead to gain more sales profit and an edge over competitors.

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