Recurring Visual Merchandising ‘Faux Pas’ Creates Competitive Disadvantage for Retailers

Date:

Share post:

Too many retailers are allowing a lack of visual merchandising (VM) strategy to ruin the shopping experience for their customers. With the current retail revolution calling for a focus on experiential shopping, there is no room in business for such missteps.

Opportunities in correcting VM faux pas can easily go unnoticed if the retailer is oblivious to the crucial impact on sales. The most common VM faux pas threaten the brand’s image and fail to promote the merchandise, thus, impacting sales as well. Based on VM ID Inc.’s experience working with clients, these mistakes typically fall under these three areas: Presentation Standards, Visual Communication, and The VM Engine.

PRESENTATION STANDARDS

The level of standards in which a store holds itself affects the consumers’ perception of its retailer type, quality of products, and brand image. Common threats to this are visibility of outdated, damaged or inconsistent fixtures and display forms, incorrect stock amounts, unsuitable styles of merchandising, poorly displayed products, and neglecting to properly adjust lighting.

Window displays, being the very face of the store, are the first preview of the product offering. Therefore, any sign of untidiness, inconsistency (think mixing mannequin types) or showing damaged items all contribute to the brand image, as perceived by the customer. Similarly, mixing in-store fixtures and hangers tarnish the impression of being a professional, established company. 

Fixtures manipulate a customer’s path. If the fixtures are overcrowded and placed without a prior plan, they can block the customer’s navigation in addition to important sightlines.

If you are not a price-driven retailer, you likely do not want to be perceived as one. Overstocking fixtures communicates a lower price tag. The more negative space you allow, the higher-valued the merchandise seems. Retailers may also misrepresent themselves as outlets by using outdated fixtures, merchandising styles and signage, which are visual cues of older, traditional outlets.

Lastly, lighting sets the tone and showcases the entire space. A well-lit space increases the shoppers’ energy level as well as creates focal points for the customer’s view.

VISUAL COMMUNICATION

Having a physical selling space yet not using it for visual communication purposes is a wasted investment. Businesses who solely rely on the sales staff to educate customers on key information will lose their customers by assuming that they will ask all of the right questions.

Retailers that neglect to brand their store create a forgettable space. Consumers need to be able to get an idea of the store’s personality just by being present in its environment. This creates a lasting impression.

Without strategizing different merchandising styles through each store zone, the shopping experience will feel repetitive all the way throughout, not giving consumers a reason to further explore.

Allocating every inch of space towards actual merchandise, rather than creating visual breaks with displays or marketing, is another loss. The mentality that consumers shop purely based on the actual products is from an era long before there were endless retailers to choose from. Products do not sell themselves, nor do sales staff – the brand image and marketing play a vital role, therefore necessitating marketing tools such as display areas for further advertising. Using visual merchandising as a tool to communicate product knowledge, it is wise to portray the selling features through visual cues and presentation methods, rather than relying on the consumer to do their own research or read an abundance of text through signage.

Nordstrom in Vancouver is good example of visual merchandising. Photos: Callison RKF

THE VM ENGINE

New store openings are the greatest proof of how productive a strong visual merchandising engine is. While the whole shopping space and product placement can be perfectly planned out and executed, it will all go to waste without an ongoing plan. This becomes clear after the first sales rush that hits the store, destroying the initial impeccable presentation. This only gets worse with each new delivery, in the hands of untrained staff members.

Investing in training staff on the visual merchandising standards ensures that maintaining the presentation will be feasible. Without understanding what visual merchandising is or does, the same window display and in-store merchandising may remain static for far too long. Consumers will not have a reason to return to the store, if the store is implying that there is nothing new to see. A regulated VM engine means running the mandatory merchandising cycle of revamping and refreshing, both based on product turnover, as well as calendar cycles.

These common faux pas are not new to the modern retail world, however they create a competitive disadvantage. Rectifying each of these common visual merchandising sore points is crucial to lifting the barriers to success.

After 15+ years of industry experience with various retailers and environments such as Holt Renfrew and Adidas Group Canada, VM ID Inc. was founded by Ani Nersessian to help retailers get set-up with a VM culture that is right for them.

VM ID Inc. is a Visual Merchandising service company which provides catered support for small businesses through consulting, designing and labour services. Email: ani@vm-id.com

RELATED ARTICLES

Subscribe to the Newsletter

Subscribe

* indicates required

RECENT articles

Daily Synopsis: November 3, 2026

Foodtastic Proposes to Acquire MTY Food Group for $43 Per Share in near, Sunterra shutting down another location in Alberta, Toys“R”Us Canada to Make Comeback Through Nearly 300 Staples Stores, NatureWell launches in Canada at Shoppers Drug Mart, Expanding to 1,000, and other retail news.

Foodtastic Proposes to Acquire MTY Food Group for $43 Per Share in near $1-billion deal

“We believe MTY owns many wonderful brands and has many terrific franchisee partners. However, over the past decade, MTY became undisciplined in its operations and acquisitions."- Foodtastic

Shopify experiences 32% revenue growth in Q3

Shopify expects revenue to grow at a low-30s percentage rate in the fourth quarter on a year-over-year basis.

Sunterra shutting down another location in Alberta

Sunterra is shutting down its Calgary store in the Britannia neighbourhood which it has operated there for more than 30 years.

Toys“R”Us Canada to Make Comeback Through Nearly 300 Staples Stores

Toys“R”Us Canada is returning through a national partnership with Staples Canada, with shop-in-shops planned for close to 300 stores through 2027. The first location opens November 14 in Richmond Hill, introducing Toys“R”Us alongside the new Parties“R”Us concept.

Retail Insider “Q3 2026 Health & Beauty Report”: Growth Depends on the Return Visit

Pharmacy services, beauty distribution and wellness formats are expanding in Canada. The Q3 report examines why repeat purchasing, service use and credible value matter beyond the initial launch.

How AI-Powered Shopping Recommendations Are Changing Holiday Retail and Brand Loyalty: Amperity

Amperity Co-CEO Derek Slager explains how retailers can turn AI-driven product discovery into repeat purchases through customer data, personalization and stronger brand relationships.

Small businesses risk losing holiday shoppers by failing to plan for repeat business: Constant Contact

Constant Contact research finds 75 per cent of consumers plan to try a new small business this holiday season, but most owners lack strategies to retain those customers.

Alberta Small Businesses Face Rising Costs as 40% Report Weaker Performance: Merchant Growth

Merchant Growth's 2026 report finds Alberta small businesses struggling with inflation, trade-related costs and cash flow, with 14% planning to close.

NatureWell Launches in Canada at Shoppers Drug Mart, Expanding to 1,000 Stores Nationwide

U.S. beauty brand NatureWell enters Canada through an exclusive Shoppers Drug Mart partnership, bringing fragrance, body, hair and lip care products to 1,000 locations.

Advent Calendar Demand Surges 63% as Independent Retailers Expand Holiday Offerings: Faire

Faire data shows Advent calendar wholesale orders up 63% year over year, with toy, squishy, Halloween, tea and snack calendars driving demand among independent retailers.

Cadillac Fairview Sells Stakes in Two Major Malls to KingSett Amid Portfolio Shift

Cadillac Fairview has sold 50% interests in CF Markville and CF Fairview Pointe Claire to KingSett Capital, expanding a three-mall partnership as the company diversifies its real estate portfolio. The transactions come amid documented financial pressures, Hudson's Bay redevelopment requirements and KingSett's proposed acquisition of First Capital REIT assets.

Retailers expand physical security strategies beyond loss prevention: Genetec

A Genetec report finds retailers are using physical security data to improve operational efficiency, employee safety and customer experiences while modernizing aging systems.

More than half of self-employed Canadians used credit to cover everyday expenses: Money Mentors

A Money Mentors survey finds 53 per cent of Canadians earning self-employment income relied on credit for everyday expenses, highlighting financial pressures from unpredictable earnings.

Daily Synopsis: November 2, 2026

Birks names CEO, retail cyber attack concerns following European freezer hack, Western Canada's largest Christmas store returns, 7-Eleven looks to bring liquor to Sask stores, and other news.

Imaginaire and WINNERS Join Splitsville in CF Sherway Gardens Nordstrom Redevelopment

Cadillac Fairview has announced Imaginaire and WINNERS for the former Nordstrom at CF Sherway Gardens in Toronto. Together with Splitsville Bowl, the three tenants will occupy approximately 100,000 square feet of the former department store, with openings targeted for fall 2027.

RioCan raises 2026 earnings outlook as retail occupancy reaches record 98.9%

RioCan reports 5.1% growth in third-quarter Core FFO per unit, record retail occupancy and higher leasing rents as it updates its 2026 financial outlook.

First Capital REIT reports higher third-quarter earnings as rental rates rise

First Capital REIT reported 9.2 per cent growth in operating FFO per unit in the third quarter, supported by higher rental income and lease renewals, while portfolio occupancy edged lower.

Happy Belly signs agreement for 150 Heal Wellness locations in Texas

Happy Belly Food Group has signed a binding agreement to develop 150 Heal Wellness restaurants across Texas, expanding its U.S. franchise pipeline.

Cadillac Fairview outlines 2026 holiday programming across Canadian shopping centres

Cadillac Fairview is introducing interactive holiday displays, Santa experiences, seasonal events and extended shopping hours at its Canadian retail centres for 2026.