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Retailing Management 5Th Canadian Edition By Levy – Test Bank

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Retailing Management 5Th Canadian Edition By Levy – Test Bank

Chapter 06

Store Design, Layout, and Visual Merchandising Strategy

Multiple Choice Questions

  1. The retail “wall” offers the following merchandising benefits except:
    A.Is a focal point for seasonal merchandise
    B. Effectively sells more high-margin merchandise than floor fixtures
    C. Holds minimal merchandise
    D. Can present coordinated face-outs with a multiple fashion story in a small space
    E. All of these are benefits

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-03 Examine the factors that retailers consider when deciding how much floor or shelf space to allocate to merchandise categories and brands.
Topic: 06-16 Location of merchandise categories and design elements

  1. The following atmospheric guidelines are true except for:
    A.Using lighting to focus on merchandise moves shoppers’ eyes to the merchandise and draws customers strategically through the store.
    B. Music can control the pace of store traffic, create an image, and attract or direct consumers’ attention.
    C. As people get older, their sense of smell decreases.
    D. Research has shown that warm colours (red and yellow) produce opposite physiological and psychological effects from cool colours (blue and green).
    E. Another key use of music and sound is called “environmental sonic merchandising”-focusing sounds on the environmental qualities of fabrics and ingredients.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-05 Describe the atmospheric elements that enhance store environment and strengthen store brand or image.
Topic: 06-21 Creating an Appealing Store Atmosphere

  1. Which of the following is not considered an objective to be met when designing a store?
    A.The design should be consistent with image and strategy
    B. The design should be inexpensive
    C. The design should be meet legal requirements
    D. The design should control maintenance costs
    E. The design should positively influence consumer behaviour and increase sales

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-01 Discuss the potential objectives retailers consider when designing or redesigning a store.
Topic: 06-01 Store Design Objectives

  1. Bloomingdales in New York uses time-released atomizers that spray a lavender scent in the lingerie department. The managers say it enhances the customer’s shopping experience, soothes shoppers, and increases sales. Which of the following design objectives would this practice most likely satisfy?
    A.Design should consider cost versus value
    B. Design should be flexible
    C. Design should be consistent with the retailer’s strategy
    D. Design should include aromatherapy
    E. Design should positively influence consumer behaviour

Blooms: Understand
Difficulty: Medium
Learning Objective: 06-01 Discuss the potential objectives retailers consider when designing or redesigning a store.
Topic: 06-04 Increase sales on visits

  1. Maps that describe the location of merchandise based on profitability are called:
    A.plan-o-rama
    B. planograms
    C. strategic locators
    D. profitability plans
    E. map-o-grams

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-01 Discuss the potential objectives retailers consider when designing or redesigning a store.
Learning Objective: 06-03 Examine the factors that retailers consider when deciding how much floor or shelf space to allocate to merchandise categories and brands.
Topic: 06-05 Control costs
Topic: 06-17 Location of merchandise within a category

  1. Why is it important for stores to be designed with flexibility in mind?
    A.It is less expensive for retailers to build several different types of flexible fixtures than to build one inflexible fixture
    B. Stores with newer designs can respond to seasonal changes without large-scale renovations
    C. Customers find it hard to locate merchandise if fixtures are rigid
    D. Department managers never know what to expect from the planners’ allocations and require the ability to display more merchandise at a moment’s notice
    E. All of these

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-01 Discuss the potential objectives retailers consider when designing or redesigning a store.
Topic: 06-05 Control costs

  1. H&R Block opens many offices around the country to accommodate the tax season. The company has the ability to piece together new offices, expand existing offices or alter the design for a unique space in a matter of hours. This ability is an example of which of the following objectives?
    A.To positively influence consumer behaviour
    B. To be flexible
    C. To consider cost versus value
    D. To offer services at a moment’s notice
    E. To be consistent with their image and strategy

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-01 Discuss the potential objectives retailers consider when designing or redesigning a store.
Topic: 06-05 Control costs

  1. To design a good store layout, store managers must:
    A.create a store layout that entices customers to purchase more than they had originally planned
    B. create an even division between storage space and selling space
    C. consider how the store layout will photograph for ads
    D. never exceed his or her budget
    E. model the store design on its competitors so customers can recognize the layout

A good store layout pulls customers around the store and exposes them to more merchandise and increases the likelihood of purchases.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-01 Discuss the potential objectives retailers consider when designing or redesigning a store.
Topic: 06-03 Build loyalty

  1. The trade-off between ease of finding merchandise and providing a varied and interesting layout is determined by:
    A.how often there is a shipment from the distribution center
    B. the needs of the customers shopping at the store
    C. well trained, design oriented managers
    D. the simplicity of the merchandise
    E. none of these

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-01 Discuss the potential objectives retailers consider when designing or redesigning a store.
Topic: 06-07 Design trade-offs

  1. Which of the following rules of thumb are important when designing an effective store layout?
    A.Do not limit the layout design to long rows of racks and shelves
    B. Never use ramps
    C. Do not divide the store into small boutiques
    D. Maintain all displays at eye level
    E. All of these

Ramps and displays of different heights are a good way to break up monotony. A small boutique arrangement is fine as long as it isn’t overused.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-01 Discuss the potential objectives retailers consider when designing or redesigning a store.
Topic: 06-03 Build loyalty

  1. Which of the following is a general type of store layout design used by grocery and drugstore retailers?
    A.Racetrack
    B. Loop
    C. Free-form
    D. Grid
    E. Boutique

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. Which store design contains long gondolas of merchandise and aisles in a repetitive manner?
    A.Racetrack
    B. Free-form
    C. Loop
    D. Boutique
    E. Grid

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. Which of the following statements about a grid store layout is true?
    A.The grid layout is very cost-efficient
    B. The grid layout is not the most aesthetically pleasing of all of the store layouts
    C. There is much less wasted space with a grid layout
    D. The amount of merchandise on the floor with a grid layout can be significantly greater than with other types of layouts
    E. All of these statements about the grid layout are true

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. Grid store layouts:
    A.are also called loop layouts
    B. are cost-efficient
    C. encourage impulse purchasing
    D. are one of the most aesthetically pleasing designs
    E. are described by all of these

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. When Michelle walked into the store, she saw it was full of rows of self-service counters with tiers of shelves back-to-back. Immediately she knew the store manager had used a _________ store layout.
    A.racetrack
    B. blocked
    C. grid
    D. free-form
    E. boutique

The grid layout is the one that is repetitive.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. Which of the following stores are likely to use a racetrack store layout?
    A.Loblaws supermarkets
    B. Wal-Mart
    C. Marks Work Wearhouse
    D. Bluenotes
    E. Sears

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. Another name for the racetrack store layout is the ________ layout.
    A.loop
    B. convoluted
    C. pulsing
    D. departmental
    E. suggestive

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. When Herman entered the department store, the first thing he noticed was a marbleized path that led him to the various departments. Each of the departments had specials placed so as to draw him into the department. He recognized a ________ store layout.
    A.free-form
    B. random
    C. grid
    D. racetrack
    E. boutique

The goal of a racetrack layout is to get people to visit the various departments in the store.

Blooms: Understand
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. Which of the following is true about the racetrack layout?
    A.It is also called the free-form layout
    B. It cannot be used in department stores because it makes large stores look cluttered
    C. It is not as aesthetically pleasing as the grid layout
    D. It encourages impulse purchasing
    E. It is described by all of these

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. The _____ store layout arranges fixtures and aisles asymmetrically.
    A.loop
    B. racetrack
    C. grid
    D. suggestive
    E. free-form

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. Which of the following best describes the free-form layout?
    A.It is the least aesthetically pleasing of all the store layouts
    B. It uses repetitive, symmetrical pattern.
    C. It enhances the productivity of the store’s selling space by its tight arrangements
    D. It is very cost-efficient
    E. It is described by none of these statements

A free-form layout is more aesthetically pleasing even if it is not as cost-effective as the grid layout. Its aisles are asymmetrical. It is a very spacious arrangement.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. The Alice in Wonderland Store specializes in collectibles associated with the Lewis Carroll books. The items are displayed on library tables, on old oak shelves, and in antique china cabinets. Statuary from the books is located in unexpected spots throughout the store. This is an example of a ________ layout.
    A.free-form
    B. racetrack
    C. random
    D. loop
    E. grid

Blooms: Understand
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. Another name for the free-form layout is the:
    A.loop layout
    B. boutique layout
    C. racetrack layout
    D. specialty layout
    E. grid layout

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. What is more important in the free-form layout than any of the other general types of layout?
    A.Print advertising
    B. Publicity
    C. Personal selling
    D. Broadcast advertising
    E. Promotions featuring rebates and contests

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. Which of the following is a disadvantage to the free-form layout?
    A.Fixtures are expensive
    B. More personal selling is necessary
    C. Theft is higher
    D. Storage and display space is sacrificed for a more spacious environment
    E. All of these

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. What is the advantage of the free-form layout to the consumer?
    A.The layout guides the customer through the store
    B. Customers are encouraged to explore the store with this type of layout
    C. Customers feel like they are in a relaxed environment and are more likely to buy
    D. This type of layout is designed to get the customer’s attention
    E. Customers can purchase merchandise in this type of layout

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. When Moe visited Sears to buy tea cups, he was astonished to see them displayed up a wall almost to the ceiling. What type of feature area is Sears using for the tea cups?
    A.End caps
    B. Freestanding fixture
    C. Window display
    D. Wall display
    E. Point-of-sale

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-13 Feature areas

  1. An end cap:
    A.is always found in a point-of-sale area
    B. is usually freestanding
    C. has high visibility
    D. replicates the total assortment of merchandise contained in the aisle
    E. usually contains the newest, most exciting merchandise in the store

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-13 Feature areas

  1. Boris wanted to buy a life-like owl for his office for Halloween. He found the owls in an aisle at Zellers that had costumes, candy, and decorations. This special section is an example of a(n):
    A.promotional area
    B. gondola display
    C. freestanding fixture
    D. point-of-purchase area
    E. consumer motivator

A promotional area contains a temporary, season-related department.

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-13 Feature areas

  1. ___________ are located on aisles and are designed primarily to get customers’ attention and bring them into a department.
    A.End caps
    B. Gondola displays
    C. Freestanding fixtures
    D. Point-of-sale areas
    E. Consumer motivators

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-13 Feature areas

  1. In Mountain Equipment Co-op, near the entrance to the department where kayak and canoe merchandise is sold, are three kayaks suspended from the ceiling. The display attracts many customers into that department. The display is an example of a(n):
    A.end cap
    B. gondola display
    C. freestanding fixture
    D. point-of-purchase display
    E. promotional area

A freestanding fixture is designed primarily to gain customers’ attention and bring them into the store.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-13 Feature areas

  1. As Danny walked the downtown streets, he passed an office supply store that had a desk, chair, and filing cabinet covered in dust as well as three dead plants and an array of dead insects in the front. What advice could he give to the office supply retailer?
    A.When properly used window displays can attract customers into the store
    B. Windows can provide customers with a visual image of the type of merchandise inside the store
    C. Window displays can be used to set the shopping mood for a season or holiday
    D. Windows are an important part of a store’s layout
    E. All of this advice would be relevant to the office supply retailer

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-13 Feature areas

  1. Which of the following best describes the point-of-sale areas?
    A.They always contain sale merchandise
    B. They can be the most valuable piece of real estate in the store
    C. They are typically located near end caps
    D. They are designed to attract customers into the store’s various departments
    E. None of these

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-11 Signage and graphics

  1. As Gary was waiting to pay for a bottle of aspirin he bought at a pharmacy, he added a copy of TVGuide, a Snickers bar, and a pack of cheese crackers to his purchases. The area where Gary made his last selections is called a(n):
    A.end cap
    B. promotional area
    C. gondola display
    D. point-of-sale area
    E. freestanding fixture

Point-of-sale areas are located at the checkout stands.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-11 Signage and graphics

  1. To allocate space to items, categories, and departments, store planners and merchandise managers must know:
    A.how much space the merchandise occupies
    B. how much of each item should be stocked
    C. what items should be carried
    D. where merchandise should be located
    E. all of these

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-03 Examine the factors that retailers consider when deciding how much floor or shelf space to allocate to merchandise categories and brands.
Topic: 06-15 Space allocated to merchandise categories

  1. To determine the productivity of store space, retailers are most likely to use:
    A.sales per square metre/foot
    B. sales per department
    C. inventory turnover
    D. retained earnings
    E. asset turnover

Sales per square foot refers to the dollar amount of sales the space generates.

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-03 Examine the factors that retailers consider when deciding how much floor or shelf space to allocate to merchandise categories and brands.
Topic: 06-15 Space allocated to merchandise categories

  1. The owner of a men’s clothing store has initially allocated 15 percent of the store’s space to men’s suits based on the expected sales productivity of that merchandise. What other factors must he consider before finalizing the space allocation for men’s suits?
    A.If the location of suits will help draw customers through the store, thus facilitating purchases
    B. How profitable the suits are
    C. How the suits will be displayed
    D. How many SKUs to stock
    E. All of these

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-03 Examine the factors that retailers consider when deciding how much floor or shelf space to allocate to merchandise categories and brands.
Topic: 06-15 Space allocated to merchandise categories

  1. A diagram created from photographs, computer output, or artists’ rendering that illustrate exactly where every SKU should be placed is called a:
    A.merchandise plan
    B. plan-o-rama
    C. placement plan
    D. planogram
    E. strategic plan

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-03 Examine the factors that retailers consider when deciding how much floor or shelf space to allocate to merchandise categories and brands.
Topic: 06-17 Location of merchandise within a category

  1. Imagine you are a manager of a women’s clothing specialty store. Which of the following productivity measures would you be most likely to use?
    A.Sales per square metre/foot
    B. Sales per linear metre/foot
    C. Median gross margin per square metre/foot
    D. Sales per cubic metre/foot
    E. Gross margin per linear metre/foot

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-03 Examine the factors that retailers consider when deciding how much floor or shelf space to allocate to merchandise categories and brands.
Topic: 06-15 Space allocated to merchandise categories

  1. Imagine you are the manager of a Walmart store. Which of the following types of merchandise would be most likely to produce the highest sales per square metre/foot?
    A.Pet supplies
    B. Modular furniture
    C. Gardening supplies
    D. Electronic equipment
    E. Over-the-counter drugs

These products are relatively expensive and can be displayed in relatively small places.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-03 Examine the factors that retailers consider when deciding how much floor or shelf space to allocate to merchandise categories and brands.
Topic: 06-15 Space allocated to merchandise categories

  1. How does a retailer select which merchandise presentation technique it will use?
    A.Look at the profit potential of each product
    B. Consider the nature of the product
    C. Consider what is consistent with the store’s image
    D. Look at the product’s packaging to see if it requires any special displays
    E. A retailer does all of these

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. Celine is planning on redoing her kitchen. When she went into the home improvement store, she admired the various kitchens the store had set up. Each kitchen used a different style and colour scheme, and allowed Celine to consider the possible formats she could use. The home-improvement store had used a(n) __________ presentation.
    A.style/item-oriented
    B. idea-oriented
    C. colour
    D. frontal
    E. vertical

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. The most common method of organizing merchandise is by:
    A.target market
    B. vendor
    C. style/item
    D. size
    E. type of purchase

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. A bookstore organizes its stock by topic. It has a mystery novel section, a romance novel section, a how-to-do-it section, a travel book section, etc. The bookstore is obviously using a _____ presentation.
    A.style/item
    B. book cover
    C. horizontal
    D. customer benefit
    E. usage

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. _____________ is used when retailers offer a limited number of predetermined price points within a classification.
    A.Flexible pricing
    B. Price lining
    C. Price presentation
    D. Competitive pricing
    E. Price limiting

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. When Lorna went to buy a pair of walking shorts this spring, she first noticed the store had three racks of shorts. Then she noticed all the shorts on one rack were $35.95, all the shorts on the second rack were priced at $39.95, and all the shorts on the third rack were priced at $44.95. What type of merchandise presentation did Lorna see?
    A.Style/item
    B. Price lining
    C. Quality/price
    D. Vertical
    E. Idea-oriented

Blooms: Understand
Difficulty: Easy
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. By using ______________, stores can effectively organize their merchandise to follow the eye’s natural movement.
    A.vertical merchandising
    B. colour merchandising
    C. style/item presentations
    D. idea-oriented presentations
    E. diagonal organization

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. In the cereal aisle at the supermarket, Reese noted that while brands of cereal aimed at appealing to adults were at his eye-level, Fruit-Loops and other brands appealing to children were just at his son’s eye level. What kind of merchandise presentation is the supermarket using on this aisle?
    A.Tonnage merchandising
    B. Colour presentation
    C. Frontal presentation
    D. Idea-oriented presentation
    E. Vertical merchandising

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. When large quantities of merchandise are displayed together it is called:
    A.idea-oriented merchandising
    B. style/item merchandising
    C. tonnage merchandising
    D. vertical merchandising
    E. style/item presentation

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. Costco’s merchandise is sold in large quantities and stacked high on metal shelving. This merchandising gives the customer a message of low prices. Which of the following merchandising techniques is Costco using?
    A.Price lining
    B. Tonnage merchandising
    C. Colour presentation
    D. Frontal presentation
    E. Idea-oriented presentation

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. ______________ is a method of displaying merchandise in which the retailer exposes as much of the product as possible to catch the customer’s eye.
    A.Tonnage merchandising
    B. Vertical merchandising
    C. Mass merchandising
    D. Frontal presentation
    E. Style/item presentation

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. Blockbuster video rental stores typically place the most current tape boxes on shelves so that the scenes depicted on the tape box can attract the customer. This is an example of:
    A.tonnage merchandising
    B. vertical merchandising
    C. frontal presentation
    D. colour presentation
    E. idea-oriented presentation

A frontal presentation is a method of display in which the retailer exposes as much of the product as possible to catch the customer’s eye.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. In which of the following stores would you be most likely to encounter a rounder?
    A.Winners, an off-price clothing retailer
    B. Sherlock, a store for mystery book lovers
    C. The Brew House, a store that sells everything required to brew your own beer
    D. Shoppers Drug Mart drugstores
    E. Home Depot building supplies

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-20 Fixtures

  1. In which of the following stores would you be most likely to encounter a straight rack?
    A.The Green Gate, a florist
    B. Toys R Us
    C. The Bay department store
    D. IGA supermarkets
    E. Coles bookstores

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-20 Fixtures

  1. In which of the following stores would you be most likely to encounter a four-way fixture?
    A.Tip Top Tailors men’s clothing stores
    B. All Creatures, a pet store
    C. Home Hardware hardware stores
    D. HMV recorded music and video stores
    E. Marco Polo, a retailer of antique atlases, maps, and globes

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-20 Fixtures

  1. As you enter Yesteryear, a vintage clothing boutique, you’re aware of how inviting the store is for browsers. All of the lighting is from floor and table lamps. The music is Benny Goodman serenades, and the air smells like powder. The walls are covered in vintage floral wallpaper. This environment has attractive:
    A.ecological design
    B. sensory merchandising
    C. behaviour-oriented design
    D. lifestyle merchandising
    E. atmospherics

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-05 Describe the atmospheric elements that enhance store environment and strengthen store brand or image.
Topic: 06-21 Creating an Appealing Store Atmosphere

  1. Which of the following is an example of the use of atmospherics?
    A.The smell of evergreen in the air of a store that carries Christmas merchandise year-round
    B. The playing of big band music at a supermarket
    C. The bright reds and yellows on the floor and walls of a toy store
    D. A history in photographs of people enjoying the beach from the beginning of photography till the present, displayed in a store specializing in beachwear
    E. All of these

Atmospherics refers to the design of an environment via visual communications, lighting, colour, music, and scent to stimulate customers’ perceptual and emotional responses.

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-05 Describe the atmospheric elements that enhance store environment and strengthen store brand or image.
Topic: 06-21 Creating an Appealing Store Atmosphere

  1. When Terence walked into the Hair Loft he noticed many large photographs displayed overhead and throughout the store, demonstrating styles of haircuts that he could request. These pictures are an example of:
    A.visual communication
    B. sales promotion
    C. merchandising
    D. colour merchandising
    E. retailing mix

Photos are a part of a store’s communication mix.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-12 Visual communications

  1. Signs and graphics should act as a(n):
    A.catalyst that creates demand
    B. source of information about product benefits
    C. example of potential consumer purchases
    D. bridge between the merchandise and the target market
    E. profit generator

Blooms: Remember
Difficulty: Hard
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-11 Signage and graphics

  1. Store lighting is used to:
    A.sculpt space
    B. focus on special merchandise
    C. provide an accurate colour rendition of the merchandise
    D. capture a mood that enhances the store’s image
    E. do all of these

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-05 Describe the atmospheric elements that enhance store environment and strengthen store brand or image.
Topic: 06-22 Lighting

  1. The term used to describe the practice of focusing spotlights on special feature areas and items is:
    A.popping the merchandise
    B. spotlighting
    C. attention focusing
    D. highlighting the merchandise
    E. creating a halo effect

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-05 Describe the atmospheric elements that enhance store environment and strengthen store brand or image.
Topic: 06-22 Lighting

  1. Sara’s Collectibles has a good location, but the building that houses the store is an unattractive old warehouse. Which of the following can be used to downplay the less attractive features of the store?
    A.Signs
    B. Lighting
    C. End caps
    D. Window displays
    E. All of these

Lighting is an effective tool for downplaying the less attractive features in a store.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-05 Describe the atmospheric elements that enhance store environment and strengthen store brand or image.
Topic: 06-22 Lighting

  1. Which colours are you most likely to find in a fast-food restaurant?
    A.Red and yellow
    B. Black and grey
    C. White, eggshell, and other white hues
    D. Blue and green
    E. Green and white

Fast-food restaurants often use warm colours to facilitate rapid turnover.

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-05 Describe the atmospheric elements that enhance store environment and strengthen store brand or image.
Topic: 06-23 Colour

  1. Which of the following is a straight line to feelings of happiness, hunger, disgust, and nostalgia?
    A.Sound
    B. Lighting
    C. Scent
    D. Temperature
    E. Colour

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-05 Describe the atmospheric elements that enhance store environment and strengthen store brand or image.
Topic: 06-25 Scent

  1. Which of the following statements about the use of scent to change or augment the atmospherics in a store is true?
    A.There are no ethnic differences in the way scents are received and decoded
    B. The gender of the target market should be used to determine the intensity of the scent
    C. The age of the target market does not affect the way scents are received and decoded
    D. The methods used to introduce scent into a store are relatively expensive
    E. None of these statements about the use of scent to change or augment the atmospherics in a store is true

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-05 Describe the atmospheric elements that enhance store environment and strengthen store brand or image.
Topic: 06-25 Scent

  1. Which of the following statements about department store entrances are NOT true?
    A.Retailers try to keep the first 10 feet of the store free of merchandise, displays, and signage
    B. They have cosmetics and fragrance categories at the main entrance because these categories are visually appealing and create a sense of excitement
    C. The first 10 feet of a department store is prime selling space and full of commonly purchased items (staples)
    D. The first 10 feet of the store are often referred to as the “decompression zone”
    E. The first impression caused by the entry area affects the customer’s image of the store

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-13 Feature areas

Short Answer Questions

  1. Why is it important to have the store design consistent with the image and strategy?

Customers would find it hard to judge value if the physical environment were inconsistent with the merchandise or prices.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-01 Discuss the potential objectives retailers consider when designing or redesigning a store.
Topic: 06-02 Implement retail strategy

  1. What are the five objectives that must be met when managers are designing or redesigning a store?

The five objectives to designing a store are

(1) implement the retailer’s strategy, (2) build loyalty, (3) increase sales on visits, (4) control costs, and (5) meet legal requirements.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-01 Discuss the potential objectives retailers consider when designing or redesigning a store.
Topic: 06-01 Store Design Objectives

  1. Name two methods of encouraging customers to explore merchandise throughout the store.

One method of encouraging customer merchandise exploration is to present them a layout that facilitates a specific traffic pattern. Another is to provide customers with interesting design elements.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-09 Store Design Elements

  1. What are the disadvantages of the free-form layout?

The disadvantages are that (1) fixtures tend to be expensive custom units, (2) personal selling is more important as customers aren’t naturally drawn around the store, (3) theft is higher as associates cannot see adjacent departments, and (4) storage and display space is sacrificed for the spacious environment.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-10 Types of design

  1. Name six examples of feature areas in a store.

The feature areas identified in the text are (1) end caps, (2) promotional aisles or areas, (3) freestanding fixtures and mannequins, (4) windows, (5) point-of-sale areas, and (6) walls.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-13 Feature areas

  1. What is a demand/destination department or area? Where within the store are these departments typically located and why?

Demand/destination areas are departments that contain goods or services for which demand is created before the customers get to their destination. Since customers enter the store with the intention of going to these areas, they can be located in less than prime locations, and customers will find them wherever they are. Their locations can be used to draw customers by impulse items en route.

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-03 Examine the factors that retailers consider when deciding how much floor or shelf space to allocate to merchandise categories and brands.
Topic: 06-16 Location of merchandise categories and design elements

  1. What are the four issues store planners must consider when presenting merchandise to the customer?

Store planners must consider: (1) merchandise should be displayed in a manner consistent with the store’s image, (2) the nature of the product, (3) packaging must be considered as it would dictate how the item is displayed, and (4) the product’s profit potential would affect the display decision.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-18 Visual Merchandising

  1. Obviously, good lighting in a store provides illumination of the selling area, but it can serve several other purposes. What are they?

Lighting can be used to highlight merchandise, sculpt space, capture a mood or feeling, downplay less attractive features that cannot be changed, and generally enhance the retailer’s image and the store’s atmosphere.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-05 Describe the atmospheric elements that enhance store environment and strengthen store brand or image.
Topic: 06-22 Lighting

  1. Discuss some of the benefits of merchandising using the retail wall.

(1) Holds more merchandise; (2) can present coordinated face-outs with a multiple fashion story in a small space; (3) can facilitate a variety of fixturing methods, such as shelving and hanging; (4) is the focal point for seasonal merchandise; (5) can present a feature display to attract the customer; (6) effectively sells more high-margin merchandise than floor fixtures; (7) is visible from a distance.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-02 Understand the power of the retail environment to influence customers and that retailers need to balance store design elements and generate traffic through feature areas.
Topic: 06-13 Feature areas

  1. Store planners attempt to design stores with maximum flexibility. What are the two forms of flexibility that need to be considered?

Flexibility can take two forms: the ability to physically move store components, and the ease with which components can be modified.

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-01 Discuss the potential objectives retailers consider when designing or redesigning a store.
Topic: 06-05 Control costs

  1. What is an impulse product?

An impulse product is a product that is purchased without prior plans.

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-03 Examine the factors that retailers consider when deciding how much floor or shelf space to allocate to merchandise categories and brands.
Topic: 06-16 Location of merchandise categories and design elements

  1. What type of presentation technique helps retailers effectively organize merchandise to follow the eye’s natural movement?

Vertical merchandising

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-19 Presentation techniques

  1. What is the primary purpose of fixtures?

The primary purpose of fixtures is to effectively hold and display merchandise.

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-20 Fixtures

  1. Which fixture consists of a long pipe suspended with supports going to the floor or attached to a wall? Where are they used?

Straight rack. They are used mainly in discount and off-price apparel stores.

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-20 Fixtures

  1. What is a disadvantage of using a rounder?

The disadvantage of using a rounder is that customers cannot get a frontal view of the merchandise.

Blooms: Remember
Difficulty: Easy
Learning Objective: 06-04 Review how stores can increase customer appeal and sales through various merchandise presentation techniques.
Topic: 06-20 Fixtures

  1. Tiffany is planning to open a fashion boutique that will feature Italian leather shoes and boots. Her lowest priced shoes will be in the $200 range. What colours should she use in the boutique to enhance the likelihood of a customer purchase?

Cool colours like blue and green, which are relaxing, peaceful, calm, and pleasant.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-05 Describe the atmospheric elements that enhance store environment and strengthen store brand or image.
Topic: 06-23 Colour

  1. Most buying decisions are based on emotions. Which of the senses has the greatest impact on customers’ emotions and hopefully on their buying decisions? What impact does it have?

Smell. Customers’ perceptions of the store improve, and they feel they are spending less time in the store, or waiting to be served.

Blooms: Remember
Difficulty: Medium
Learning Objective: 06-05 Describe the atmospheric elements that enhance store environment and strengthen store brand or image.
Topic: 06-25 Scent

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