How visual merchandising influences Generation Z purchasing behaviour in supermarkets

Abstract

The competitive landscape between brands and retailers requires the optimisation of strategies to increase consumer purchases. Visual merchandising elements can effectively influence consumers to buy certain products or brands, even if unplanned. Different generations have different needs and require tailored strategies. This study examines the impact of visual merchandising elements on the impulse buying tendencies of Generation Z. The variables analysed include store layout, colours, lighting, in-store promotions, store ambience and salesperson interactions. A literature review explored these variables, consumer behaviour and the characteristics of Generation Z. Nine hypotheses were then formulated and tested using an online questionnaire. The survey received 206 responses from Gen Z, exploring their perceptions of these elements and their impulse buying behaviour. The results showed that in-store promotions and store ambience have a positive effect on Generation Z's impulse buying behaviour, while lighting has a negative effect. Store layout also influences their impulse buying tendencies when mediated by store ambience.