FMA Retail Blog

In many parts of the U.S. spring is in the air and spirits are high, but our moods are not the only things being lifted. If the Christmas holidays were any indication, the good weather that brings shoppers out in droves will spur a new rash of shoplifting. Retailers who have planned for secure merchandising will be better armed against this threat.

 The Global Retail Theft Barometer (GRTB) estimated that U.S. retailers would lose $1.84 billion to shoplifting in the 2011 Christmas season alone. The 2011 report estimated total North American retail shrinkage at $45.3 billion, an increase of 6% over 2010.

 What we know about shoplifting is that it happens in many different types of stores, is often not premeditated and very rarely caught.

 Retail loss prevention experts actually do battle on multiple fronts against individual shoplifters, organized crime rings, employee theft and vendor fraud.  GRTB recommends retailers implement multi-level programs to combat these threats.

 At FMA, we think retailers shouldn’t overlook the impact of well designed in-store merchandising in planning theft deterrent programs. When talking to merchandising partners, this means planning in three key areas:

• presentation of the product
• the hardware components that provide the secure solution
• time and attention required for installation and maintenance

 We believe it is important to work with the manufacturer/retailer to identify areas where security can be incorporated while keeping the product accessible to the consumer.  The hardware used to secure the unit can consist of a custom solution or a custom/stock combination.  The goal would be to provide security without obscuring the product’s unique features.  All the while keep in mind that a simple initial set up, along with easy maintenance features, can be the deciding factor for manufacturers and retailers in making a purchase decision.

 Retailers cannot design away the threat of pilferage, but the steps they take to mitigate it should include merchandise security features that solidify vulnerable targets and provide visual cues to reduce the perception of opportunity.

 Theft-deterrent in-store merchandising is a topic that is broader than the scope of a single blog.  We offer our latest whitepaper for those who want more in-depth information.

Published 3/22/2012  – by Dave King

Formal processes have their place in business, but try as they might, our customers can’t evaluate the total value of retail solutions, from a components list. Nor can they simply look at design alternatives to make their choice. There is so much more than meets the eye or the spreadsheet.

A completed kiosk or interactive display is more than the sum of its components, the shape of its enclosure, or the user experience of its software application. The value of a well-designed kiosk solution encompasses a process, a product, and performance.

A sound process leads to a viable product and the best chance of achieving the desired business outcome for the store experience. A good in-store merchandising design partner uses a proven approach that is creative, responsive at every point, and thorough in attention to detail and engagement.

The management of an interactive project requires responsiveness that balances the objectives of the brand, desires of the retailer, and value to the end user. The integration of an interactive project requires coordination and cooperation across suppliers and partners that take into account the needs of all three parties.

Having said all that, here are four of the critical aspects you should focus on when evaluating self-service in-store merchandising:

1)  The branding message is a critical aspect of acceptance or failure of a solution. The product is made up of the quality of its components and the message it carries about the brand or retailer. Kiosks and interactive merchandising do not stand alone; they are designed to be an integral part of a cohesive strategy and embody the look and feel of a larger marketing program. They are a vehicle for attracting and engaging the consumer, the end user. The design and promise of a solution is the initial call to action, which is essential to trial and ultimately success!

2) Attention to detail can have a significant impact on the performance of an interactive unit in the field. Each kiosk or interactive display has a particular business outcome that can only be achieved if it continuously operates as planned. It has a lifetime purpose and a lifetime cost. Component selection and configuration do matter.

3) The price you pay today for components does not reflect the opportunity costs over the duration of a project. It is crucial to understand the quality of the components that an in-store merchandising designer sources for your project. The savings perceived up-front can disappear quickly when a unit has a component with a high failure rate. The price of one service call can be two to three times the “savings” from the cheaper component.

4) The interactive solutions your in-store merchandising company produces should have an extremely high success rate. Ask for hard numbers that establish what kind of track record a company has once its solutions are in the field. Look at the strength of its experience portfolio. Inquire about the process it uses to design, engineer, test, produce and maintain a product that has integrity and long term success.

Self–Service Retail requires a partner that understands Retail and can create a solution experience which will deliver in these crucial areas in design and execution! 

Published 3/6/2012 – by Ron Bowers

Just in time for Valentine’s Day, here are a few display details we love…

Lighting/Illumination

Whether it’s lighting your product or adding some edge/accent lighting or back lit graphics, it’s a great attract mechanism, especially in big box stores where not all areas have the greatest lighting.

Great Graphics

Great photography grabs attention. Graphics can add dimension by being die/laser cut or standing off using high tech fasteners. And, it’s a great way to educate.

Video/Interactivity

This can tell a more complete story than printed graphics. It can also engage the consumer and act as a silent salesman.

Toys

Drama engages shoppers. Really, who wouldn’t want this guy to greet you every morning?

Challenges

Innovative ways to hold, display, present or secure something.

     …at the end of the day it all comes down to the details.

Published 2/14/2012 – by Mike Neumann