q125/random_k2/random_2.md

Fixture and Store Designs that Draw Shoppers
into the Center Store to Capitalize on Sales

10 Ways to Lift Center Store Sales

Sources Cited

Cohen, Deborah A., and Susan H. Babey. “Candy at the Cash Register — A Risk Factor for Obesity
and Chronic Disease.” New England Journal of Medicine. (2012): n. page. Web. 21 Jan. 2013.
<http://www.nejm.org/doi/full/10.1056/NEJMp1209443

Ginthner, Delores. “Lighting: Its Effect on People and Spaces.” Implications. 2.2 (2002): n. page.
Web. 2 Jan. 2013.  www.informedesign.org/_news/feb_v02-p.pdf

Lewis, John. “Want to Increase Store Traffic, Loyalty and Growth? Rethink the Center Store.” Nielsen
Wire. Nielsen, 31 Jan 2011. Web. 17 Jan 2013. <http://blog.nielsen.com/nielsenwire/consumer/want-
to-increase-store-traffic-loyalty-and-growth-re-think-the-center-store/>.

Sorensen, Herb. Inside the Mind of the Shopper. 1st ed. Upper Saddle River: Pearson Education,
Inc., 2009.

Strom , Stephanie. “In Grocery Stores, the Perimeters Take Center Stage.” New York Times
10/08/2012, New York edition B1.  www.nytimes.com/2012/08/11/business/in-grocery-stores-the-
perimeters-take-center-stage.html?pagewanted=all

Underhill, Paco. Why We Buy: The Science of Shopping. 1st ed. New York: Simon & Schuster
Paperbacks, 2009. 3-27.

“Stop Shopper Leakage in Center Store.” Shopper Sight News. 70 (2012): n. page. Web. 21 Jan. 2013.
<http://www.shoppersitenews.com/article.php?ID=407 >.

© 2014 Madix, Inc. All Rights Reserved. Prices and specifications subject to change without notice.
Not responsible for errors or omissions in printing.

10 Ways to Lift Center Store Sales

If store perimeter provides “sizzle,” center store must serve “steak”

Colorful, creative, winding and sometimes even whimsical in-store perimeter displays of
produce, sampling stations, deli, sushi and coffee bars, and endless walls filled with everything
from flat screen TVs to the hottest brands of clothing are no doubt here to stay.  Engaging
perimeter presentations are among the latest trends in fashionable and attractive retail
merchandising that represent a sweet spot for today’s progressive merchandisers looking for fresh
new ways to connect with shoppers.

  However, while perimeter sales within many mid- to large-size shopping environments clearly
represent a vibrant growth trend, a similar merchandising discipline and focus should be applied
to the center store.  After all, smart merchants understand that what’s good for the perimeter
should also be good for the interior, because what good is the sizzle of the perimeter shopping
zone without the steak -- and inherent profit margin -- of the center store?

  Unfortunately, center store is more often than not treated as a warehouse of separate products
on cold, uninviting rows of fixtures.  While shoppers may find the products in center store they
need, they seldom find the solutions they truly want to make their lives more enjoyable or
productive.  How will that new jacket or shampoo fit their lifestyle? How can that product, or
combination of ingredients, help them make a better or healthier meal? Why will that dog food
help their pet be healthier and happier?

Madix has introduced new products that improve merchandise visibility.  Radius and Wraparound Shelves
used on end caps make merchandise down inline runs more noticeable because these shelves do not
 utilize end panels, which normally obstruct merchandise as you look down a run.

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10 Ways to Lift Center Store Sales

What’s actually happening in center store?

Retail store perimeter growth has come mostly from the pull demand from customers wanting

fresh, unprocessed foods and products that exude health, youthful appeal and entertainment.
Nowhere is the effect on center store sales more evident than in grocery stores and big food
brands such as Heinz, Kraft and Kellogg.  Published reports indicate sales or volume declines
as large as 2.8-percent for some of these powerhouses due to the shifting consumer interest in
healthier non-processed food choices most often found on the perimeter of grocery stores. As
a result, packaged goods manufacturers are researching ways to leverage the popularity of the
perimeter through cross merchandising to make the center store -- along with their profitable
brands -- more exciting and appealing to shoppers.

  Unfortunately, center store sales within most retail environments have been decreasing in
recent years.  The reasons why are akin to the proverbial elephant in the room.  Rather than
address this huge challenge head-on, many retailers have instead decided to ignore it and focus
on what is working from a perceptual standpoint, which is the perimeter.  Regardless of the center
store neglect, and using grocery stores as an example, a report by John Lewis, president, consumer
North America for The Nielsen Company, points out that the center store represents 73-percent
of total store sales and 77-percent of profit despite growing shopper leakage from people who
browse and think about a purchase but ultimately don’t buy.  This imbalance of sales and profits
between center and perimeter can be addressed not only through SKU count, but also through
lower margins in the perimeter due to high labor costs and shrink.

This tale of the two shopping zones is supported by a Center Store Mega Study of 2 million
individual shopping trips that found as many as a quarter of shoppers walk the center store yet
don’t buy anything (“Shopper Sight News”).  In addition, during the average 13-minute shopping
trip, shoppers spend on average only two minutes in the center store.  Clearly when analyzing
the chasm between center store sales and the average time spent there by shoppers, the
opportunities are enormous for progressive retailers to better integrate perimeter and center store
merchandising efforts targeted at growing customers’ overall baskets.

So, if bold, new methods of merchandising are working to drive traffic for the perimeter,
why are retailers continuing to ignore the bread and butter represented by the center store?
Within this vast and extremely valuable internal battlefield, most stores still stubbornly stick
with outdated merchandising methodology including everything from shelving and lighting to
traffic patterns and category management.  The dichotomous relationship that currently exists
between the perimeter and center store ignores how shopping patterns have shifted and, more
importantly, represents lost sales opportunities.

  When asked to comment, Blake Sloan, partner and store designer at the full-service
architecture and design firm, Heights Venture Architects L.L.P., noted that the center store is often
not addressed with the same creative thought process as the perimeter.

“It’s extremely difficult to break away from product-centric category management and focus
efforts towards a consumer-centric shopper management,” said Sloan.  “The potential profit power
represented by the center store is too valuable to simply ignore.  Instead, we suggest retailers
envision the center store experience as a unique merchandising and marketing opportunity.
Retailers should enhance the center store with creative fixturing, lighting and product
identification as they would for the perimeter to create a holistic total store experience to build
customer loyalty and improve sales and profits.”

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10 Ways to Lift Center Store Sales

  As a New York Times article entitled “In Grocery Stores, the Perimeters Take Center Stage”
by Stephanie Strom recently stated, “Long, soldier-straight rows of shelves...have long been the
heart of the American grocery store but are now showing signs of the grocery equivalent of
atherosclerosis.”  The same could be said of pretty much any mid- to large sized retailer offering
hundreds, if not thousands of SKUs on the floor.  After all, is there anything less inviting than
staring down a narrow, 60-foot long aisle boarded by shelves upon shelves of cans and boxes that
all seem to blend together?

The bigger, more important equation is how to create a more pleasant and inviting center store

that works with, if not mimics, the perimeter?  Solving the problem of how to keep shoppers in
the center store longer than the average two minutes with a sexier, well-thought-out solutions-
oriented approach would go a long way toward moving more high-margin goods and better
leverage consumer needs to win more of their shopping trips.

  While there is no single solution to the center store challenge, here are 10 smart tips that can
go a long way toward creating a holistic shopping experience that leverages the entire store and
drives up both sales and profits.

Solution #10:  Take the edge off

  Old-school thinking is that if you trap the shopper and force them to pass by lots of product
facings, you’ll create more sales opportunities.  Still, some retailers persist in creating canyons of
metal shelving and expecting customers to willingly funnel through them.  In fact, the opposite
is true.  Not only do shoppers dread entering long aisles, in their hurry to get through them they
often scurry past products they might otherwise be interested in purchasing.

“Too many stores suffer from the ‘peek and run’ syndrome where shoppers simply refuse to
enter long rows bordered by high shelving on either side unless they absolutely have to,” said
Shawn Kahler, Madix Vice President of Sales and Marketing.  “This effectively negates any hope
shoppers will spend any meaningful time in the center store, and it certainly doesn’t create a
pleasant in-store experience.”

Kahler says the answer is quite obvious:  make aisles shorter, less linear and overall more appealing
to remove the intimidation factor in hopes shoppers will choose to walk through the store, enter
aisles, browse and shop.

“It’s actually possible to create many different types of unique, interesting and appealing aisles

by using standard parts and fixtures rather than designing custom shelving that is often cost
prohibitive,” he said.  “For example, Madix, Inc. offers retailers several options such as its curved
gondola system that actually use standard gondola and wall parts to better manage space and
generate a maximum return on investment.”

  He says that radius curves of 6 or 10 feet provide maximum flexibility to retailers who wish to
transform their outdated straight aisles into something more inviting and productive.  There are
also much longer sweeping, curved fixtures that create a panorama effect of products that are
also pleasing to the eye and create much more product visibility than do long, straight and narrow
aisles.  The key learning is that retailers have available to them the tools and professional expertise
enabling them to create better, more effective center stores.

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10 Ways to Lift Center Store Sales

Madix’s Radius end caps married with curved Maxi Line draw shoppers into the center store.
The undulating shelves make merchandise stand out.  Madix offers components to curve
entire fixture runs, fixture sections, or individual shelves.

In combination with shorter and more organic-shaped aisles, Dr. Herb Sorensen, Ph.D., author

of “Inside the Mind of the Shopper,” advocates staggering the fixture patterns themselves from
section to section to break up long sight lines.  The outcome of this advice is that as a shopper
looks down any aisle toward the center store, they actually see the end cap of the next shelving
fixture or more inviting concave or radius shelving and not the other side of the store.

Solution #9:  Drop the height of shelving

  Merchants seem to love using vertical space. The higher, the better, right?  Actually, according
to Dr. Sorensen, people do not prefer to shop tall shelves crammed with products in the center
store.  Instead, they respond best when faced with shelving that’s 66 inches or lower and 15 to 20
feet long or not longer than 30 feet.  Such shelving ensures customers can easily see and navigate
their way through the store without feeling trapped or lost.  An exception would be a retailer such
as JCPenney which has begun using tall walls on the perimeter of its stores where they do not
interfere with sight lines to promote fashion accessories.

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10 Ways to Lift Center Store Sales

In addition, traditional straight-faced shelves in most stores are designed to hold a maximum
capacity of products from top to bottom, but they are not shopper friendly.  Such a design stifles
the ability to view products on lower shelves, often forcing the shopper to take a few steps back
into what may be a crowded aisle to see what’s on the bottom shelves.  Such fixtures also visually
create a closed-in, claustrophobic feeling as shoppers walk down an aisle.

  One solution is to install pyramid-style fixtures on both sides of an aisle.  Such fixtures have top
shelves that are recessed from the shopper by about 16 inches, giving shoppers nearly three full
feet of apparent extra aisle width.  This allows higher-velocity products to be inventoried on lower
shelves while featuring higher-priced or lower-velocity items toward the top where they can gain
more exposure.

  A less radical alternative to pyramid fixtures is an offset shelving design that moves one or
more of the top shelves back in small increments between 8-12 inches.  While slightly less effective
than pyramid fixtures, offset shelving still helps reduce the train-tunnel effect and allows the use
of sloped signboards that can be used for various in-store marketing devices such as digital media.

Regardless of the type of fixture that’s used, Dr. Sorensen points out that there is a delicate
balance between trying to capture the shopper’s time, holding a shopper at a product display, and
closing the sale.  Trying to sell too much within a small space can actually harm sales conversion,
because the longer it takes a shopper to make up his or her mind, the more angst they feel, the
more likely they are to abandon that area of the store, and the less time they are apt to linger in
other areas of the store.  The rule of thumb should be convenience, which translates into fast.

Madix’s product lines are available in numerous sizes,
so a retailer can deploy fixtures that best meet its sales objectives.

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10 Ways to Lift Center Store Sales

Solution #8:  Widen the aisles

  Using pyramid or offset fixtures are simple methods to effectively open up aisles visually and
literally from the feet up to head height, but another more obvious solution is to simply widen the
entire aisle.  Some retailers serve up just enough room for two carts to pass by one another in an
aisle, while others make it almost impossible for even a single cart to pass between displays.  While
the solution will vary between retail formats, the outcome should always cater to what makes the
shopper most comfortable and put them in a buying, not evacuation, mode.

In general, shoppers equate open space with the freedom to shop.  The best way to generate

traffic is to allow traffic to flow without restrictions.  A shopper at a store with tall, narrow aisles
is less likely to enter the aisle if it has but one other shopper in it, much less several.  With such
aisles, a single shopper with a cart stopped in an aisle can occupy as much as 10 feet of shelf facing,
effectively blocking that merchandise from other potential buyers.  Obviously, this leads to far
fewer sales opportunities.

  On the other hand, a shopper at a store with aisles able to accommodate multiple shoppers
shoulder-to-shoulder is less likely to turn away.  In this scenario, even if another shopper is camped
in front of a shelving unit another shopper can stand to the side and browse.  The key is to allow a
relatively free flow of multiple shoppers through any aisle at any time.

  Dr. Sorensen states that open space combined with short and low fixtures are open invitations
to shop.  Likewise, he says, “Narrow, crowded aisles like packed highways can lead to social
pathology and even ‘aisle rage,’” whereby shoppers become angry at one another for blocking
each other or even blame the store for failing to be customer friendly.  Ironically, retailers who do a
good job merchandising their perimeters typically do so with wide aisles, low fixtures and a sense
of openness.  So why not apply the same principles to the center store experience where upward
of 75-percent of all sales occur?

Madix designs its products to more efficiently utilize space,
which means a retailer can devote more space around fixtures to its shoppers.

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10 Ways to Lift Center Store Sales

  Another, less obvious reason to expand aisles is what Paco Underhill, author of “Why We Buy:
The Science of Shopping,” calls the “butt-brush effect.”  During research his firm conducted
for Bloomingdale’s department store, they inadvertently observed shopper interaction with a
clothing fixture near a ground-floor entrance they were monitoring.  The fixture was adjacent to
a high-traffic aisle, and they saw that customers interacting with the fixture would typically get
“butt-brushed” from behind by people heading into or out of the store.  After a few such bumps,
shoppers abandoned the fixture and moved on without buying.  As a result, sales from the fixture
were well below expectations.  After moving the fixture to another location that eliminated
the possibility of butt-brush, the retailer found that sales from the fixture immediately and
substantially increased.  It simply boiled down to location.

The question retailers should be asking themselves is how often their customers are spooked

by being too close to one another or being brushed against other shoppers trying to navigate
around them?  The solution may be something as easy as a realignment of a fixture or a more
complicated readjustment of the entire aisle space.

Solution #7:  Go mobile

Part of the challenge of store fixtures is that they are by definition “fixed,” meaning they
often are anchored in place and unlikely to be moved outside of major store resets.  Rather than
be entirely tethered by immovable fixtures, some of the world’s most successful retailers have
embraced the more fluid flexibility of mobile displays to complement or, in radical cases, supplant
stationary displays.

  Granted, fixtures on castors are not a new concept, but the use of such shelving is not
necessarily widespread, especially in the center store area.  An example of a retailer that lives by
mobile fixtures is one of Europe’s most successful shoe store chains, Leder & Schuh’s.  L&S has
virtually no immoveable fixtures.  Instead, every eight weeks or so the latest shoe fashions are

Madix offers a variety of caster kits that convert conventional shelving systems into flexible mobile runs.

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10 Ways to Lift Center Store Sales

displayed in a new retail theater created by set designers using mobile fixtures, lighting and props.
This has helped cement their reputation as a progressive, forward-thinking retailer with its finger
on the pulse of the rapidly changing world of fashion.  Other retailers, such as RadioShack, Ross
Dress for Less, BestBuy, and numerous department and grocery store chains, have experienced
their own successes with the flexibility of mobile fixtures.

  Mobile fixtures give retailers the ability to easily change the store layout to fit the changing
needs of shoppers, accommodate special sales and offers, and even cater to “event” opportunities
with integrated solutions for big events, holidays or celebrations.  Have perishables that are about
to go out of date?  Put them on mobile fixtures and place them near checkout lines or in natural
product adjacencies to stimulate purchase and reduce shrinkage.  Coming up on “Go Pink” breast
cancer awareness day?  Use mobile fixtures and round up different pink merchandise such as
clothing and accessories near front entrances for people who want to support the cause.  Have
overstock of something that might take weeks to clear out?  Use mobile fixtures to create sales
opportunities throughout the store to get shoppers to purchase what you want to sell.  The
possibilities are endless.

Solution #6:  Shorten or break up long runs

  Hand in hand with banishing railroad tunnel aisles, Dr. Sorensen suggests rethinking the
concept of aisles altogether.  He advocates that the length of shelving from one end to the other
be between 15-20 feet and not longer than 30 feet.

Shorter aisles in length and height accomplish multiple purposes.  First, they are more
inviting to navigate and provide a natural break between product facings.  Next, if the fixtures
are of varying heights, shoppers can actually see across multiple shelves and gondolas.  Shorter,

Madix’s shelving lines can be ordered to accommodate shorter run lengths.

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10 Ways to Lift Center Store Sales

staggered fixtures also serve as artificial road bumps that force shoppers to slow down, navigate
left, right and around product displays, and be more aware of what they’re passing.  Also, one of
the most potent sales opportunities exist with end caps, and the shorter the fixtures in length,
and the greater the number of fixtures that are used, the number of end cap merchandising areas
increases exponentially.

  A similar outcome can be accomplished by interspersing concave or radius shelving that
softens up center store aisles and visibly pulls customers in.  Rounded or organically-shaped
shelving units such as the Madix Y-Gondola can add a pleasant visual impact to the sales floor and
create multiple focal points allowing retailers to highlight important items, sales or promotional
offers.  Such shelving also actually improves the visibility of more SKUs when compared to straight
shelves, because they are typically viewed from more of a frontal perspective than through a side
view while walking down an aisle.

  Of note, some retailers, such as Walmart, have actually reverted back to taller, warehouse-style
shelving and what has been described as shelves stacked full of many different products, narrow
aisles and conspicuous pallet stacks.  Why?  Because their sales results support the notion that
such a shopping environment better supports their brand proposition of being a value-oriented
retailer.

Explaining this perspective in a national best seller book entitled Why We Buy: The Science of
Shopping, Underhill says, “Historically, the more a store is packed (with merchandise), the more
people think of it as value — just as when you walk into a store and there are fewer things on the

floor, you tend to think they’re expensive.”

This simply means that it’s critical for retailers such as Walmart to understand the mindset
of their customers to know what it is they want.  Regardless of a retailer’s brand proposition –
whether it be value, quality, selection or brand names – they must strike a balance between the
volume of products displayed and the physical and visual presentation to create an optimum
buying atmosphere for its customers.  In other words, what works for a discounter may not work
for a specialty retailer, and vice versa.

Solution #5:  Integrate specialty merchandisers

Specialty merchandisers are an ideal mobile way for retailers to experiment with product
displays and presentations on the sales floor without making major, permanent commitments to
space or marketing.

Retailers can experiment with specialty “solution stations” that tie product categories together

without totally realigning product groupings or fixtures.  Common fixtures for such specialty
presentations include the use of T-Racks and mobile caster kits.

  Grocers could consider staging certain ethnic food nights, weeks or months to stimulate trial
and impulse purchases by shoppers.  For example, a mobile fixture or end cap could be ideal for
“Italian Night Solutions” complete with recipes and suggestions for combinations of products that
otherwise would be spread throughout the store:  pots, pans, utensils, spaghetti, lasagna, pizza
kits, sauces, spices, olive oil, cheese, meat and vegetable appetizers, bread, desert, wine and even
flowers.  Another possibility could be “Pamper Your Pet” with a selection of high-end food, treats,
supplements, collars, bowls and toys.  Evergreen events such as birthdays and anniversaries also
lend themselves to turn-key specialty merchandisers featuring apparel, gift boxes, cards, candles,
desserts and even alcohol.

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10 Ways to Lift Center Store Sales

Madix manufactures specialty merchandisers to suit any market segment.  Luxe,
a new display that features an attractive round upright and standard Madix slotting,
accepts Madix’s thousands of shelves and accessories.

Retailers should experiment with integrated presentations for different topics and locations

to see what does and doesn’t resonate with their customer base and tweak them accordingly.
In addition, Dr. Sorensen points out that something as simple as scattering static or mobile
merchandisers around the store in non-obvious locations almost always increases sales of those
products.  For example, placing a merchandising display of cookies outside of the bakery, or
t-shirts and socks near the check-out queue, can stimulate incremental sales of those items outside
of their natural environment.  The beauty of such displays is that they lend themselves
to experimentation.

Solution #4:  Make smart use of in-store marketing

Point-of-sale marketing is found to improve the find-ability of merchandise and usually leads to
improved brand recognition.  However, it’s important to effectively judge the use of such point-of-
sale material and be smart about leveraging the sales of merchandise the retailer wants to sell, not
necessarily what the manufacturer or supplier wants to push.  After all, why take up valuable shelf
space and fight for shoppers’ attention for a low-margin or low velocity item or product category?
It’s better to focus on merchandise that has a higher profit margin, introduces new or innovative
products to customers, or supports the retailer’s particular point-of-difference (better selection,
higher quality, well-known brand names, etc.).

  Digital print and video signage are excellent ways to cut through the clutter and grab shoppers’
attention in the noise of the typical retail environment.  Such signage can be designed to educate,
entertain and engage shoppers with key messages they might not otherwise see.  The Bissell
brand of vacuum cleaners in Lowe’s Home Improvement Stores is one example.  Their use of digital
and video signage on end caps and mid-aisle displays stop shoppers in their tracks to deliver short,
concise sales messages about the benefits of clean floors and carpets and how Bissell products
deliver the best outcome and value.

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10 Ways to Lift Center Store Sales

  Other, less extreme example of digital signage and even low-tech coupon and recipe pads and
dispensers are also effective in garnering attention for specific products and brands.  Products
such as Lumicanopy by Madix, Inc. use LED lighting to illuminate graphics and promote categories
or brands.  The typical Lumicanopy consumes little power, emits virtually no heat, exhibits uniform
light distribution that’s visible from many feet away, and is reusable over several years.  Other
displays such as the Madix Easel SB retail shelf and point-of-sale display educates and entertains
shoppers with relevant information and does not protrude into aisles to interfere with shoppers.
The key is to be smart about what and how information is communicated to ensure its effect on
shoppers is maximized.

Being able to deploy large format, illuminated graphics either in Madix’s canopies or within
the fixtures’ surfaces facilitates in-store marketing initiatives.  The bright, colorful graphics
appeal to shoppers across the store.

Solution #3:  Turn up the lights

Lighting is one of the most important -- yet probably one of the least understood --

merchandising techniques in the retail environment.  Done correctly at the point-of-sale with
fixtures such as the Madix LEDge Light Versa and the Beam LED alternative to fluorescent canopy
lighting and retailers can improve mood, create the desired ambiance, and more importantly
create a measurable impact on shopping behavior.

  An article published in InformeDesign by Delores (Dee) Ginthner, an associate professor in
the Interior Design Program, Department of Design, Housing and Apparel at the University of
Minnesota, states several basic truisms that must be addressed when lighting a space to ensure
both psychological and behavioral issues of users are met.  This includes the observations that
lighting must ensure safe navigation through a space; people always follow the brightest path;
brightness can focus attention; people like to face walls that are illuminated; and lighting can
cause people to alter body positions.

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10 Ways to Lift Center Store Sales

  Ginthner further states that criteria created several years ago by Dr. John Flynn to evaluate
lighting remain true today.  This criteria states that designers must use cues to determine the users’
subjective response to space lighting in order to create space that makes users say something is
pleasant versus unpleasant, public versus private, spacious versus confined, relaxed versus tense
and visually clear versus hazy.

  Needless to say, the science of lighting and how it applies to curved fixtures, pyramid or
recessed shelving, wider and shorter aisles, end caps, on-shelf merchandisers and even mobile
fixtures is critical to maximizing the impact and desired outcomes.  The days of one-size-fits-all
overhead or fluorescent canopy lighting are being replaced by new efficient alternatives such
as environmentally friendly LEDs that produce light intensity similar to T5 fluorescent fixtures
while using only half the energy and lasting nearly three times longer.  Lighting considerations
should be incorporated into the initial store design at the onset by true lighting professionals who
understand shopper psychology and how best to use lighting to stimulate sales.

Madix is the first store fixture manufacturer to design energy-efficient,
point-of-sale lighting products that are specifically designed for store equipment
applications.  Madix’s lighting solutions either attach underneath shelves, or they
replace the fixtures’ surfaces to pin-point light (e.g., back panels or shelf skins).

Solution #2: Optimize traffic flow

The art of converting visitors into shoppers and shoppers into buyers is accomplished in no

small part through optimizing traffic flow through the store.  Dr. Sorensen suggests there are
several changes, some subtle and some overt, that can make a major impact on a store’s visceral
appeal while exposing shoppers to buying opportunities that may have gone undiscovered in a
traditional linear layout.

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10 Ways to Lift Center Store Sales

  One idea requires a significant reconfiguration of fixtures to change their orientation and
layout to the front of the store.  Dr. Sorensen supports the theory that when shoppers within
the interior of a store look down aisles and see checkout registers, especially ones with no lines,
they subconsciously tend to hurry through their shopping experience so they can quickly check
out before the lines fill up:  a sort of quick in, quick out mentality.  To combat this and reduce the
“railroad tunnel” visual effect, he suggests shifting the aisles at a 45-degree angle to the front of
the store.  An important benefit of such a design is that as shoppers enter the store they will be
approaching aisles from a less acute angle, which will make them more inviting to enter.

  Another way to increase traffic flow and lure shoppers is to determine new and relevant
product categories and bring them into the center store.  Along the way and throughout the entire
store, the goal should always be putting the “right” products in the direct path of the customer.
Dr. Sorensen says, “There are patterns of movement... (in a store) that are not driven by products
as much as by open spaces and natural flows.”  By observing, determining, and directing traffic
flow with smart shelving fixtures, lighting and merchandising materials, it’s possible to conduct
“anticipatory retailing.”  This is when the retailer anticipates and meets the needs of shoppers
rather than making shoppers find things on their own.

In support of an enhanced traffic flow, Dr. Sorensen advocates putting high margin

merchandise rather than discounted goods in the customer’s path.  Research shows that the most
important determinant for sales is based not on price, but on the placement of store fixtures
displaying those goods.  Putting highly discounted merchandise such as 75-percent-off sweaters
or two-for-one cereal offers in the customer’s path may actually be counter-productive, because
it could prevent customers from venturing deeper into the center store and discovering higher-
priced, if not more desirable goods.

  Dollar General spokeswoman Mary Winn Gordon is quoted alongside Underhill in the New
York Times article as saying the chain store employs virtual “speed bumps” of related merchandise

Madix’s array of fixture choices equips a retailer with options to tweak store designs to improve traffic flow and sales.

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10 Ways to Lift Center Store Sales

that goes together -- such as bananas alongside boxes of vanilla wafers -- in aisles or at entrances,
because it’s a consumer-friendly way to assist customers and pique their thought process while
generating incremental sales.  By using such things as Y-Gondolas, mobile displays, LED lighting
fixtures, floor graphics, ceiling hangers or digital or video marketing to highlighting merchandise
in a non-intrusive, yet attention-getting fashion, it’s entirely possible to get customers to buy
items you wish to sell, not just what shoppers came into the store to purchase.

  An underutilized method of generating awareness and trial is product sampling and
demonstrations.  Retailers such as Sam’s Club, Costco and Whole Foods have mastered the art
of sampling during high traffic days and peak times to expose customers to products they may
have otherwise ignored.  Why not create a display that demonstrates the difference between
200 and 400 thread count sheets?  Utilize sales staff as virtual models by having them wear the
merchandise being sold in the store, much like mega-brands Hollister and American Eagle have
done with their employees. Create mobile sampling stations offering customers tastes of lesser-
known foods such as couscous, Greek yogurt, even kale along with recipes incorporating those
foods to stimulate profitable impulse sales.

In fact, the New England Journal of Medicine reports that food choices are largely guided by
our responses to outside signals and stimuli.  A paper authored by Deborah Cohen of RAND Health
in Santa Monica, Calif., and Susan Babey of the UCLA Center for Health Policy Research, states that
impulse marketing takes place on a subconscious level, and that placement of foods in prominent
locations increases the rate at which they’re purchased.

  While most people may associate such impulse displays with checkout lines and sodas, candy,
gum and magazines, they can be just as effective in other areas of a store.  Shopping for a new
blouse?  You may be influenced by matching (high-margin) accessories attractively displayed
next to them.  Buying new cat food?  How about a pretty collar or catnip to go along with it.  The
possibilities for proximity marketing are enormous, if not often overlooked, opportunities.

Solution #1: Multiply the end cap effect

End caps are perhaps the most misunderstood and underutilized spaces in the retail
environment.  According to Dr. Sorensen, approximately 2-percent of the total items in a
typical store at any given time are being promoted on end-of-aisle displays or other secondary
promotional displays apart from the mail shelving fixtures.  However, this 2-percent of items may
constitute a whopping 30-percent of all store sales.

  While retailers often use this space to promote sales or highly discounted merchandise, the fact
is that half the shoppers purchasing an item from such end caps are unaware the goods are being
sold at a reduced price, and half of the people who know would buy the product even if it wasn’t
on sale.

So in other words, good retailers are simply giving away profits to as much as 75-percent of

their shoppers because they are locked into the mindset that price considerations dominate
shopping decisions when research doesn’t support that point of view.  Instead, great retailers
understand that a better use of such prime real estate is to satisfy the shopper’s inherent need
for value and convenience, and most customers are willing to pay full price to accomplish a fast
shopping experience.

  Another reason end caps can be extremely profitable is that because of their small size, they
generally feature only one or two products.  As such, shoppers do not have an easy or immediate
way to compare the merchandise as they would in the category section inside the aisle.  The
impulse nature of end caps and the lack of price sensitivity support the premise that retailers can
command a higher price for such merchandise.

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10 Ways to Lift Center Store Sales

Breaking up and staggering the traditional long aisles in many retail locations can literally

double the number of possible end caps from the shoppers perspective,  particularly in the
center store.  Incorporating other display tools such as Y-Gondolas, curved shelving, pyramid and
recessed shelving, highlight lighting, sampling stations, lifestyle graphics and signage, can only
serve to increase the sales velocity of end caps.

Madix understands how important end caps are to a retailer’s success. The company manufactures a number
of end cap systems that maximize space, improve visibility, and capitalize on sales.  Madix’s new Y-Gondola
greatly expands the potential of end caps to positively influence shopping behavior.

Decide what solutions make sense for you

Revisiting the relationship between the perimeter and center store requires that retailers

rethink the cost of sales.  Ignoring or shrinking the center store given its contribution to
overall profits doesn’t make sense when much more is possible.  A better course of action is to
fundamentally rethink the consumer shopping process and adapt the entire store to better deliver
total customer solutions.  After all, what good is the sizzle without a juicy steak to go along with it?

The display fixture experts at Madix, Inc. are available to provide free consultation to retailers

who wish to explore fresh, new ideas on how to bring the center store back to life to create a
holistic shopping experience that drives sales and profits.  For more information, contact John
Clontz Director of Marketing and e-Business jclontz@madixinc.com 214-515-5400.

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© 2014 Madix, Inc. All Rights Reserved. Prices and specifications subject to change without notice. Not responsible for errors or omissions in printing.

10 Ways to Lift Center Store Sales

Traditional Center Store Fixture Configuration

  Traditional center store fixture runs are usually long and extend 30 feet or
more.  The long runs discourage shoppers from entering the department.  Also,
the lengthy runs have a limited quantity of end caps, the store fixture with the
most effective sales potential.

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Texas: 800-776-2349 Fax: 972-563-0792   Alabama: 800-633-6282 Fax: 256-839-5608Mexico: 001-800-010-0699   www.madixinc.com10 Ways to Lift Center Store Sales

Center Store Layout that Staggers Runs
  A center store layout with staggered runs includes more and shorter fixture
runs.  Shoppers are more likely to enter a center store that utilizes shorter,
less daunting runs.  The staggering of the runs greatly increases a shopper’s
exposure to end caps as he or she walks through the department.

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© 2014 Madix, Inc. All Rights Reserved. Prices and specifications subject to change without notice. Not responsible for errors or omissions in printing.10 Ways to Lift Center Store Sales

Center Store Layout with Specialty Merchandisers and Transitional Components

Integrating specialty merchandisers into a center store will improve
incremental sales.  Utilize transitional components, including bases and
shelves, to draw attention to merchandise within merchandising categories.
The transitional components and shelves also make room for shoppers to
navigate around the specialty displays between the aisles.

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10 Ways to Lift Center Store Sales

Center Store Layout using Y-Gondolas as End Caps

  Madix’s Y-Gondola exponentially expands the sales potential of end caps.
Not only does the fixture greatly increase the end cap’s merchandise volume,
but it also makes the merchandise on the end cap visible from wider angles.  A
store layout that utilizes Y-Gondolas on short fixture runs will create an inviting
and more shopable center store.

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© 2014 Madix, Inc. All Rights Reserved. Prices and specifications subject to change without notice. Not responsible for errors or omissions in printing.10 Ways to Lift Center Store Sales

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Texas: 800-776-2349 Fax: 972-563-0792   Alabama: 800-633-6282 Fax: 256-839-5608Mexico: 001-800-010-0699   www.madixinc.comwww.madixinc.com
Texas  500 Airport Road, Terrell, TX 75160 | 800.776.2349
Alabama  20984 Alabama Hwy 9, Goodwater, AL 35072 | 800.633.6282
©2014 Madix, Inc. All rights reserved. Not responsible for errors and omissions in printing.  Rev. 7/14