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Procedia Economics and Finance 37 (2016) 412 – 417

FIFTH INTERNATIONAL CONFERENCE ON MARKETING AND RETAILING (5TH

INCOMaR) 2015

Selling Cars through Visual Merchandising: Proposing Emotional

Design Approach
Nur Hazwani Zolkiflya*, Shahrel Nizar Baharomb
a
Universiti Teknologi MARA (Perak), Seri Iskandar 32610,Bandar Seri Iskandar, Perak, Malaysia

Abstract

Retail giants in every other industry have extensively used sophisticated visual merchandising techniques but they have been
grossly underutilized in the auto industry. For this reason, there are no specific guidelines or manual provided to utilize visual
merchandising elements inside the car showroom especially in automotive scene. By using strategic visual merchandising, car
dealers can turn prospects into buyers. However, the visual merchandising elements must capture the emotion and perception of
customers. Therefore, this study aims to identify the roles of visual merchandising inside a car showroom as stimuli that attract
customers at the point of sale i.e. the car dealership and proposing emotional design approach in designing car showroom. By
means of the proposed conceptual model, it should complement the current design approach in enhancing consumer purchasing
behavior from the design perspectives. The conceptual framework has emerged from emotional design concept that allows the
creation of desirable showroom design. As a result, this concept can be a guideline to facilitate marketer and dealer in designing a
car showroom through visual merchandising elements.

©
© 2016
2016TheTheAuthors.
Authors.Published
Publishedby
byElsevier
ElsevierB.V. This is an open access article under the CC BY-NC-ND license
B.V.
(http://creativecommons.org/licenses/by-nc-nd/4.0/).
Peer-review under responsibility of Faculty of Business Management, Universiti Teknologi MARA.
Peer-review under responsibility of Faculty of Business Management, Universiti Teknologi MARA
Keywords: visual merchandising; car showroom; emotional design

1. Introduction

Consumer purchasing behavior is the buying behavior of the final customers who purchase goods and services
for personal consumption (Kotler and Armstrong, 2010). Kotler and Armstrong (2010) indicate that customers were
influenced by 4 P's of marketing stimuli which are product, price, place and promotion as well as other stimuli in the
customer’s environment such as economic, technological, political and cultural.
__________
*Corresponding author.
Email address.: nurha743@perak.uitm.edu.my

2212-5671 © 2016 The Authors. Published by Elsevier B.V. This is an open access article under the CC BY-NC-ND license
(http://creativecommons.org/licenses/by-nc-nd/4.0/).
Peer-review under responsibility of Faculty of Business Management, Universiti Teknologi MARA
doi:10.1016/S2212-5671(16)30145-9
 Nur Hazwani Zolkifly and Shahrel Nizar Baharom / Procedia Economics and Finance 37 (2016) 412 – 417 413

The car showroom is relatively close to place, one of marketing stimuli that stimulates customers purchasing
behavior. Many potential customers visit the dealer in the early purchasing process, not just at the end of it.
Therefore, this study aims to identify the roles of visual merchandising inside a car showroom as stimuli that attract
customers at the point of sale i.e. the car dealership. Visual merchandising itself refers to all of the physical elements
that merchandisers use to project an image to customers (Marketing Essentials, 2012). A study conducted by
Foresight Research reveals that customers are won at the showroom; hence creating positive experience is the job of
every automotive marketer and dealer (Foresight Research; Research Reveals, 2010).

1.1. Overview Landscape of Visual Merchandising Practices in Car Showroom

Sophisticated visual merchandising techniques, which are used extensively by retail giants in every other
industry, have been grossly underutilized in the auto industry (Foresight Research, 2010). Based on an informal
interview with the car dealer, the practices used in creating showroom environment rely on the creativity of each
dealer although all props are provided by car producers. Apparently, there is no specific guidance or blueprint from
the car makers and marketers on how to implement visual merchandising in the dealership. Therefore, it is plausible
that car dealers will create showroom environment according to their own taste and preference. Some will rely more
on selling techniques and seasonal promotion to win customer. Additionally, some dealers believed that showroom
purposes are just for displaying new car models. These practices are contradicted with previous research did by
Foresight Research (2010) which found that there are strong relation between visual merchandising and car
purchase. Previous findings proved that purchase decision can be influence by consumer perceptions of
trustworthiness and professionalism which can be stimulated by changing the dealership environment through
carefully planned visual merchandising. Therefore, the problem analyzed is the role of visual merchandising in
influencing car purchase at the point of sale i.e. the car dealership.

2. The Elements of Visual Merchandising

Visual merchandising is the presentation of merchandise at its best; colour coordinated, accessorized, and self-
explanatory (Pegler, 2006). The focus of visual merchandising is on the presentation of goods in retailers (Taskiran,
2012). Four known elements of visual merchandising comprise of storefront, store layout, store interior and interior
displays (Marketing Essentials, 2012). The table below detailed the elements of visual merchandising as adopted
from Marketing Essentials (2012).

Table 1. The Elements of Visual Merchandising Adopted in Marketing Essentials (2012).

Elements of Visual Merchandising Descriptions

Storefront Refers to the exterior of a business that
includes a store’s sign or logo, marquee,
outdoor lighting, banners, planters,
awnings, windows, the exterior design,
ambiance, landscaping, and lighting of the
building.
Store layout Refers to ways that stores use floor space to
facilitate and promote sales and serve
customers.
Store interior Materials or tools used inside the store such
as mannequins, seating, props, floor and
wall covering, lighting, color, store fixtures,
interior signage and graphics.
Interior display Comprises of closed, open, architectural,
point of purchase displays and store
decorations.
414 Nur Hazwani Zolkifly and Shahrel Nizar Baharom / Procedia Economics and Finance 37 (2016) 412 – 417

2.1. Visual Merchandising Elements in a Car Showroom

When concerning car showroom, first elements that lure prospects inside are the showroom front. This starts with
accessibility to parking that is convenient to entrance, attractive building exterior and landscape, and hearing music
from the showroom (Darlington, 2007). Once prospects enter, they will look left, right and straight back
(Darlington, 2007). Darlington (2007) suggested the showroom should have an area called a “decompression zone”
that feels warm, relaxing and comfortable with music and aromas situated near the front door with no product in it.
In terms of layout and display configuration, the layout of the showroom should facilitate easy access for visitors
whereby majority of dealers favor a U-shaped setup (Carter, 2002). This allows for easy viewing of all displays and
encourages customer to go through all the displays. In addition, the displays should be at 45-degree angle to the
front door to allow customer to see more than one display at a time (Carter, 2002). Darlington (2007) listed several
type of layout which includes grid layout with linear design, free flow layout, loop layout, soft aisle layout,
combination floor plan layout and walls as destinations. Currently, most probably used by car showroom is free flow
layout or combination floor plan layout.
For store interior, according to Taskiran (2012), lighting creates an ambience and makes environments visually
pleasing. Additionally, lighting has an influence on the mood and hence the behavior of humans in retail
environment (Quartier & Cleempoel, 2008). Similarly, colour can immediately create a mood and have the power to
pull customers into the store. Moreover, visual displays also have been utilized in car showroom recently. For
instance, BMW car dealership uses touch screen visual display to attract visitors.

2.2. The Influence of Visual Merchandising on Customer Purchase Behavior

Visual merchandising promotes interest in merchandise or services, encourages purchasing and reinforces
customer satisfaction (Marketing Essentials, 2012). According to Taskiran (2012), visual merchandising builds
brand image and this leads to sales performance. However, visual merchandising itself can directly influence sales
performance. According to Darlington (2007), prospects go through a series of information processing steps as they
experience the showroom. The eight steps start with exposure, attention, comprehension, agreement, retention,
retrieval, decision making and action taking. Exposure comes from visual merchandising elements and it attracts
prospects attention. Next, prospects get the information and the selected information will be retained and can be
retrieving from the brain. This information influence decision making and lead to action. Thus, it supported the
notion that showroom environment created by strategic visual merchandising influence action which is vehicle
purchase. A study done by Foresight Research (2010) concluded that customers are won at the showroom and
creating positive experiences is the job of every automotive marketer and dealer. Respondents said that an inviting,
modern and well-organized showroom were keys to influencing the sale. Moreover, the findings proved that
purchase decision can be influence by consumer perceptions of trustworthiness and professionalism which can be
stimulated by changing the dealership environment through calculated visual merchandising.
Furthermore, according to Moye & Kincade (2002) shop environments create a ‘retail experience’ that strongly
influences consumers' purchase behaviour. Besides, POPAI (1998) pointed that two third of purchase decisions are
made in store. In addition, Kotler (1973) introduced the term ‘atmospherics’ to describe “the effort to design buying
environments to produce specific emotional effects in the buyer that enhance his (/her) purchase probability”.

3. Emotional Design Approach in Designing Car Showroom through Visual Merchandising

Sherman et al (1997) confirmed that the environment in the store and the emotional state of consumers may be
important determinants of purchase behavior, though cognitive factors may largely account for store selection and
for most planned purchases within the store. This notion is supported by Greenland and McGoldrick (1994) which
develop an environment response model. The model distinguishes three stages in the user reaction in shop and
service environment; a cognitive, an emotional and a conative (conation) stage. Furthermore, in his model, the
cognitive stage was described as an action or faculty of knowing and perceiving the architectural environment.
Meanwhile, emotional factor refers to all feelings elicited by the environment such as arousal, pleasantness and
many more. The third factor is conative (conation) which concern attitudes and consumer behavior. However, both
the emotional and conative factors are hard to separate and will influence one another (Greenland and McGoldrick,
 Nur Hazwani Zolkifly and Shahrel Nizar Baharom / Procedia Economics and Finance 37 (2016) 412 – 417 415

1994). This model influences Quartier and Cleempoel (2008) in developing a concept from designer's perspectives
which describes the components that are important for commercial spaces. The components are functional (layout,
signing, routing), aesthetic (design, graphic elements) and atmospherics (music, odour, temperature, sound,
cleanliness, spatial proportion). The functional components relates to functional aspects of commercial spaces
whereby another two components; aesthetics and atmospherics create an atmosphere for the space which affect
customers' emotion. All components are merely relying on visual merchandising for supportive design tools
including materials and lighting. Based on the reviews, it shows that commercial spaces like the car showroom
environment could influence customers’ purchasing behavior with the indication of emotion as mediating factor.
In addition, Lam (2001) indicates emotion as one of important factor that hasten customers' purchasing behavior.
According to Lam (2001), emotion will elicits more direct response from customers with very little impact on their
thinking, feeling or body comfort.This has becomes a basis for developing an emotional design approach in
designing car showroom by means of visual merchandising.
In design and emotion perspective, Buchanan (1985) said that the role of emotion works as a persuasive element
for user's acceptance besides practical utility which technological determined and product character. Jordan (1998)
has established another perspective in design which relates emotion with user's pleasure rather than focusing in
usability-based design whereas Desmet & Hekkert (2007) associated product experience with user's emotion in
order to generate human-product interaction. Based from concept of emotional design developed by Norman (2004),
he listed three level of user's response comprises of; 1) Visceral level 2) Behavioral level, and 3) Reflective level.
Firstly, visceral level is automatic and immediate user’s response toward appearance of product. Norman & Ortony
(2003) stated that perception involves in this level is perceivable features. Secondly, behavioural level refers to
user’s response towards how products are functioning and its efficiency which related to user’s experience from
daily behaviour and learning process. From perception perspectives, the role of perception in design is merely for
usability issue by term called 'perceived usability'. User’s perception is working towards physical beauty of design
which reflects to product’s acceptance (Tractinsky et al, 2000). Tranctinsky et al (2000) added that user's perception
simply works from emotional-induced in product attributes which connected to emotion in design. Finally, reflective
level involves reflection from their reasoning process and likely to dispense value and meaning toward products
(Norman, 2004). This is to make sure the purchase decision can be made accordingly.
In the process of designing car showroom, designers should manipulate five human senses (sight, smell, hearing,
touch and taste) that affect consumer's visceral response by accommodating their physical features to look good, to
feel good and sound good (Norman, 2004). Visceral response involves an automatic perceptual evaluation towards
objects’ attributes and an immediate decision will be made by user whether it is good or bad without prior
experience involves (Norman & Ortony, 2003). With regard to visceral design for showroom environment, the focus
should be given to an exceptional aesthetics design; exterior and interior. In visual merchandising elements, the
exterior of a showroom comprises of storefront while the interior refer to store layout, store interior and interior
displays.
In behavioral level, designers should be aware of consumer's perception for functionality and usability in a car
showroom. Perception will guide consumer in making a good sense and perceived usability of the showroom.
Therefore, the implementation of behavioral design will assist designers to design a showroom through consumer's
perceptual cues (vision, auditory, hap tic, olfactory and taste) and would let them perceived more than usability
which includes the subjective "feeling of control" (Norman & Ortony, 2003). Subjective "feeling of control" could
be referred to the precise control of consumer whereby they will feel in-charge of the environment thus lead to
purchasing behavior. This notion is supported by Bohl (2012). Therefore, the functionality should come with
aesthetics design that will guide consumer's perception for further evaluation of other design attributes (Tractinsky
et al., 2000).
In reflective level, it involves with consumer's personal reflection to rationalize their purchasing decision by
using the highest level of intellectual capability. This process is derives from visceral affective response and
behavioral perception process. The implementation for reflective design is expected merely in pride ownership with
quality and brand engagement (Norman & Ortony, 2003). This level is indicated as an outcome after implementing
visceral and behavioral design according to the equipped design criterion. By revamping consumer attitude and
perception towards the car showroom through visceral and behavioural design, it will rationalize their choice and
this lead to car purchase at the point of dealership.
To relate with the car showroom, visceral level is how customers response towards the environment of
416 Nur Hazwani Zolkifly and Shahrel Nizar Baharom / Procedia Economics and Finance 37 (2016) 412 – 417

showroom, while behavioural level refer to how customers response towards the function of a car showroom and
lastly reflective level rationalizes their purchase decision of a car in a particular showroom. This level is derives
from the implementation of visceral and behavioural design according to visual merchandising elements. To
conclude, the role of emotion is to stimulate customer’s response towards the car showroom while perception
influence perceived usability of the showroom. Further discussion of the concept will be use in designing a
customer-centric showroom through visual merchandising elements.

Fig. 1. Conceptual Model for Designing Car Showroom

4. Conclusion and Future Research

Car marketer and dealer should find the best practice in designing a showroom by emphasizing the role of
emotion and perception. By means of the proposed conceptual model, it should complement the current design
approach in enhancing consumer purchasing behavior from the design perspectives. The conceptual framework has
emerged from emotional design concept that allows the creation of desirable showroom design. As emotion and
perception can be designed and measured, researchers will profound emotional design concept by developing
heuristics as a guideline to facilitate marketer and dealer in design process. Therefore, they will be a refinement of
research scope for future works by focusing on the visceral level aspect since this level plays an important role to
stimulate an immediate emotional response of customers.

Acknowledgements

The authors would like to acknowledge with much appreciation the crucial role of Universiti Teknologi MARA
(UiTM) Perak, without the supported grant which the present study could not have been completed. We would also
like to show our gratitude to Dr. Tan Wee Hoe from Sultan Idris Education University (UPSI) for sharing his insight
with us during the course of the study.

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