How do you use market research to make informed merchandising decisions?

2 How to conduct market research for merchandising?

There are various market research methods that can be used to collect and analyze data for merchandising purposes. For example, customer surveys can be used to ask customers about their shopping habits, preferences, satisfaction, feedback, and suggestions. Online tools, email, phone, or in-store surveys can be used to reach customers. Additionally, customer reviews can be monitored and analyzed from websites, social media, or third-party platforms. This can help identify the strengths and weaknesses of products, services, and customer experience. Customer behavior can also be observed and measured with tools like web analytics, heat maps, eye tracking, or video cameras. Furthermore, competitor analysis is a great way to research and compare prices, promotions, placement, and presentation of competitors. Online search, social media, mystery shopping, or benchmarking can be used to assess their market share, positioning, differentiation, and performance. Finally, industry analysis helps in researching trends and developments in the industry. Trade publications, reports, blogs, podcasts or events are great sources to stay updated on changes and opportunities in the market.

3 How to use market research data for merchandising decisions?

Once you have collected and analyzed your market research data, you can use it to make informed and effective merchandising decisions that can improve your retail performance. For example, you can use your market research data to identify the products that your customers want, need, and value; design and arrange your product display; optimize your product placement; and enhance your product presentation. Additionally, you can use it to decide how to assort products, price them, promote them, group them, highlight bestsellers, create themes and stories, use visual elements, allocate space, create traffic flow, encourage cross-selling and upselling, stock products, replenish them, handle out-of-stock situations, and maintain product standards.

5 How to improve your market research and merchandising skills?

Market research and merchandising are dynamic and evolving fields that require constant learning and improvement. To stay competitive, it is important to be curious and customer-centric, seeking to understand customers better and anticipate their needs. Additionally, you should monitor and analyze competitors and industry trends to look for opportunities and gaps to differentiate and innovate products and services. Moreover, use market research data to make informed merchandising decisions, while also using creativity and logic to design and execute a merchandising strategy.