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September 30, 2025

How to understand the improvement of display sales performance

Shao Ligang, a renowned expert in fashion retail and display strategy, recently participated in the China Fashion Buyers Forum as an invited speaker. With his extensive experience in apparel data analysis, brand management, and store design, Shao has worked with leading organizations such as Peking University's Japan Research Center and China Fashion News (CFW). In this exclusive interview, he shared his insights on how display strategies directly impact business performance. CFW: How do you view the role of display in driving sales performance? Shao Ligang (SL): Display is not just about aesthetics; it's a strategic investment that helps businesses showcase their brand identity and attract customers. While it may seem like a superficial element, effective display design plays a crucial role in shaping customer behavior and ultimately boosting performance. It's a powerful tool that bridges the gap between brand image and sales outcomes. CFW: So, how exactly does display contribute to performance improvement? SL: At first glance, the connection between display and performance might not be immediately visible. But when we break down performance into its core components, the influence becomes clear. Performance can be expressed as: **Performance = Customer Unit Price × Number of Purchases** And the number of purchases depends on two key factors: **Purchase Number = Number of Shoppers × Purchase Rate** So, the display has a direct impact on both the number of people entering the store and the likelihood of them making a purchase. For instance, the external visual design of a store—such as window displays—plays a critical role in attracting potential customers. A well-designed window that incorporates elements like storytelling, theme, relevance, seasonality, and visual appeal can significantly increase foot traffic. This sets the stage for higher conversion rates later on. CFW: Once a customer walks into the store, what display strategies can help boost the purchase rate? SL: Inside the store, the focus should shift to the flow of customers and the visual journey they take. This includes the layout of the store, the placement of products, and the use of "magnet areas" that draw attention and encourage exploration. The **passenger line** refers to the path customers take through the store. By optimizing the visual planning of high-traffic zones and the positioning of shelves, retailers can guide customers toward key product areas. Meanwhile, the **visual line** involves creating engaging display zones that capture attention and prompt impulse buying. These are often designed using the PP+IP (Point of Purchase + In-Store Promotion) approach. When these elements are effectively implemented, increasing the number of customers who make a purchase becomes almost inevitable. However, it's important to note that simply increasing the number of buyers doesn't guarantee better performance. The **customer unit price** also plays a significant role. A higher average transaction value can lead to greater profitability, even if the number of buyers remains the same. To achieve this, brands need to focus on **joint sales space planning** and **extended display designs**, which encourage customers to buy more items at once. CFW: Between customer unit price and the number of buyers, which has a bigger impact on performance? SL: Both factors are important, but the weight of each depends on the brand's positioning. For high-end brands, focusing on **unit price** is more critical, as customers are willing to pay more for premium experiences and quality. On the other hand, for budget or mass-market brands, increasing the **number of buyers** is more impactful, as volume drives overall sales. Ultimately, the success of display strategies lies in customization. There's no one-size-fits-all approach. Each brand must tailor its display efforts based on its target audience, market position, and business goals. In conclusion, while the effect of display on performance is undeniable, the execution must be thoughtful and specific. Retailers who understand this distinction can leverage display as a powerful driver of growth and long-term success.

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