Corporations have searched for diverse marketing strategies to differentiate their brand images as competitions grow fiercer and fiercer among business types and products. Thus the importance of VMD attracts even more attention. Corporations can expect profit increases according to effective VMD strategies, which calls for a need to develop strategies to make use of VMD components and do researches on them.One of the VMD components, product placement is vital and has close relationships with the layout and path of action of the store. The study analyzed correlations between product placement and sales to provide basic data for setting up effective strategies in the stage of VMD planning.The purposes of the study were to do a case study on product placement, investigate correlations between product placement and sales, and propose strategic plans for product placement.The scope of this study include the definition and components of VMD, methods of product placement, case analysis of product placement, and correlations between product placement and sales.The study sorted out and presented theories needed to understand product placement as one of the components of VMD and used the results to propose effective plans for product placement to lead to greater sales.As for methodology, the study compared and analyzed sales of four C brand stores before and after product placement and examined correlations between product placement and sales.As a result, the sales of the stores increased by average 13.2% after product placement. The analysis results of factors that changed in relation to product placement indicate that style-based categorization generated more sales than product item-based categorization and that reduction of central hangers and product placement in connection with closet items created a comfortable atmosphere and generated more sales than product placement on a straight line. The counters contributed to sales more when located at both ends of the entrance or on the sides than the front side of the entrance. When the brands that marketed both clothes and shoes provided much space for customer chairs, they were able to generate more sales. Those results imply a need for product placement plans fit for each brand to increase corporate sales.
Corporations have searched for diverse marketing strategies to differentiate their brand images as competitions grow fiercer and fiercer among business types and products. Thus the importance of VMD attracts even more attention. Corporations can expect profit increases according to effective VMD strategies, which calls for a need to develop strategies to make use of VMD components and do researches on them.One of the VMD components, product placement is vital and has close relationships with the layout and path of action of the store. The study analyzed correlations between product placement and sales to provide basic data for setting up effective strategies in the stage of VMD planning.The purposes of the study were to do a case study on product placement, investigate correlations between product placement and sales, and propose strategic plans for product placement.The scope of this study include the definition and components of VMD, methods of product placement, case analysis of product placement, and correlations between product placement and sales.The study sorted out and presented theories needed to understand product placement as one of the components of VMD and used the results to propose effective plans for product placement to lead to greater sales.As for methodology, the study compared and analyzed sales of four C brand stores before and after product placement and examined correlations between product placement and sales.As a result, the sales of the stores increased by average 13.2% after product placement. The analysis results of factors that changed in relation to product placement indicate that style-based categorization generated more sales than product item-based categorization and that reduction of central hangers and product placement in connection with closet items created a comfortable atmosphere and generated more sales than product placement on a straight line. The counters contributed to sales more when located at both ends of the entrance or on the sides than the front side of the entrance. When the brands that marketed both clothes and shoes provided much space for customer chairs, they were able to generate more sales. Those results imply a need for product placement plans fit for each brand to increase corporate sales.
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