Strategies for Laying out your Store Merchandise to Drive Sales

When it comes to increasing retail sales, how you arrange your merchandise matters just as much as what you sell. A smart store layout guides customer movement, highlights your most profitable items, and ultimately drives more conversions—without increasing your square footage. 

In fact, 82% of purchase decisions are made in-store, and 62% of customers admit to making impulse purchases while browsing. That means your layout isn’t just decoration : it’s a powerful driver of shopping behavior.

Here’s how to use proven layout strategies to turn browsers into buyers.

retailer arranging clothes store layout

1. The Science of Store Layout

Your store layout isn’t just aesthetic—it’s psychological. Shoppers make snap decisions based on what they see first, how easy it is to navigate your space, and what grabs their attention.

Here’s how to design with purpose :

  • Create a power wall. Shoppers naturally look to the right when they enter a store. Use this “power wall” to showcase new arrivals, seasonal features, or high-margin items.

  • Use a decompression zone. The first 5–15 feet of your entrance is where shoppers acclimate. Keep this space clean and open—no signs, clutter, or baskets right away.

  • Place profit at eye level. “Eye level is buy level.” Position your bestsellers or highest-margin products between 4–5 feet high on shelves to maximize visibility and conversion.

  • Direct with floor plans. Whether you use grid layouts (great for efficiency), loop layouts (ideal for storytelling), or free-flow layouts (perfect for boutique environments), the key is consistency and clarity.

Quick win : Mirror your best-performing display across locations or departments—and measure the impact.

2. Creating a Natural Flow

Research shows that a 1% increase in dwell time translates into a 1.3% rise in sales. In other words, keeping your customers looking at your display for 10 extra seconds can boost sales by up to 130% !

However, great stores don’t just keep people in. They tell a story which unfolds through the way people move. If shoppers don’t intuitively know where to go next, they’ll exit before discovering everything you offer.

Here’s how to guide the journey :

  • Follow the path of least resistance. In many regions, shoppers tend to navigate a store clockwise. Use this to your advantage by placing key displays just right of the entrance.

  • Build visual focal points. Anchor each section with a strong display to draw people deeper into the store. Lighting, signage, or color contrast can all work as attractors.

  • Use speed bumps. Small display tables, feature bins, or product pairings slow shoppers down and encourage interaction with products and staff.

  • Cross-merchandise. Place complementary items together—think candles near throws, or wine glasses next to bottle openers—to spark add-on sales and boost average order value.

Quick win : Want more time with customers? Curved paths and slightly narrower aisles can increase dwell time — just don’t sacrifice accessibility ! 

couple looking at cross-merchandise in home decor store

3. Seasonal and Promotional Adjustments

A static layout is a missed opportunity. Your store should evolve with the seasons, promotions, and customer demand. Frequent updates don’t just refresh your space—they re-engage returning customers.

How to stay relevant and responsive:

  • Feature timely products. Reserve flexible floor space near the front for seasonal highlights, bestsellers, or flash promotions.

  • Spotlight slow-movers. Give underperforming inventory new life by repositioning it next to popular items or moving it closer to the checkout.

  • Create urgency. Limited-time displays, endcaps, or signage like “last chance” can spark impulse buys.

  • Test and learn. Rotate your feature zones every 30–60 days. Track performance by SKU to identify what layout moves the needle.

Quick win : Need a layout refresh? Your POS and inventory planning system can show you which categories deserve more space—or less.

Final Thought

Store layout is one of the most overlooked (yet controllable) levers for boosting retail performance. When you treat your physical space like a silent salesperson—strategically placing, presenting, and promoting—you don’t just sell more. You sell smarter.

Want to see how your layout could better support your merchandising strategy? Book a free consultation with our retail planning experts here.

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