A Report of Marketing in-Store Influences on Impulsive Purchase Behaviour

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Executive summary

The purpose of this report is to explore the concept of impulse buying behaviour. By presenting different purchases scenarios, this document firstly attempts to define the concept of unplanned purchases in comparison with compulsive buying. The document analyses the different implications of impulsive purchases for marketers and attempts to suggest effective strategies in order to use impulsivity as leverage to increase sales. In addition it aims to underline the impact of different in store influences on impulsive behaviour and describe how these influences extremely encourage buying on impulse. Finally, this report tries to explain how in-store influences can be harmful on weak personality and discuss compulsive buying behaviour.

Major findings are:
Unplanned Purchases are those purchases made in the store. These kinds of purchases are divided in limited unplanned purchases, reminder purchases and impulsive purchases. Impulsive purchase has been discovered to have an extreme complex nature by which consumers tend to satisfy their hedonic needs. Findings reveal that impulse purchase is the result of the fulfilment of an urge and also because of in-store browsing tend to increase the chance of buying on impulse •The retail environment is capable of evoking a wide range of purchasing behaviours. It has been discovered that store layout , atmosphere, point-of –purchase displays and promotional deals has been set up to prolong the shopping experience, to enhance the pleasure of shopping and to induce consumer to purchase on impulse •Finally it has been discovered that in-store influences affect a certain type of consumer in transforming their impulse behaviour into compulsive behaviour. Since in-store influences encourage repeated impulsive purchases and compulsive purchase is seen as a relive to depression it is obvious then that shopper marketing is very harmful to a specific type of consumers.

Table of contents

1Introduction1
2Impulsive purchase and an unplanned purchase2
2.1Unplanned Purchasing2
2.2Impulsive purchase3
3Marketing in-store influences and impulsive behaviour4
3.1Store layout5
3.2Store atmosphere5
3.3Point-of-purchase displays6
3.4Price reductions and promotional deals6
4Impulsive behaviour, Compulsive behaviour and marketing in-store nfluences7 5Conclusion8

1Introduction
In the last decade many companies have been investing more and more in in-store marketing. Moreover, since 2004, the allocation of budgets into in-store marketing has been growing faster than Internet advertising (Neff, 2007). In addition researches show that 70 % of purchase decisions are made in-store and 68 % of in-store purchases are impulse purchases (Deloitte, 2007). Thus effective shopper marketing can give great opportunities to marketers to reach consumers and stimulate consumption. In this logic the store is a critical and highly attractive touch point to reach and influence consumers. Understanding the effects and the stimuli behind the in-store purchases is vitally important for marketers to create strategies that will encourage unplanned purchases and that will stimulate the impulsive one. Retailers and marketers design shops with the intent of enhancing the shopping experience, making it pleasant and unique in order to induce the shopper to make unplanned purchases. In order to develop winning strategies marketers have to understand the reasons behind unplanned purchases. They need to focus their attention on impulsive purchases, and research the different stimuli that bring a consumer to make an unplanned purchase

This report will attempt to analyse and explore the concept of impulsive behaviour and in order to do so it will aim to: •Analyse the differences between unplanned and impulsive purchase, •Discuss how in-store influences can alter the consumer purchase decision and potentially encourage impulsive behaviour, and •Examine the harmful...
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