Merchandise is a broader concept than a product. It include various features with which a product is offered at the store. Merchandising is the process and function of designing and delivering the product to ensure customers satisfaction and meet the objective of profit making to the organization. There are different opinions and definitions on merchandising.

AMA – American Marketing Association has defined merchandising as “Planning involved in marketing right merchandise, at right place at right time in the right quantities at the right price”. E.g. – Amazon(dot)com, promises to deliver around 1 crore products within 24 hours and payment after delivery.

Quicker(dot)com promises to sell anytime for a right price quickly. Similarly Big Bazar Easy day, ‘More’ etc. Make ‘attractive’ offer of wide variety of the product that are categorised and displayed in their store. They are offered with attractive price and other benefits that all can be summarized as merchandising.

Merchandising can be defined as “Planning, Buying, Assorting, Promoting Placing, Setting and Replenishing the Goods”. Goods bought must be sold or replenished the unsold stock will be a burden on finance. So planning need to be made what kind of product is to be brought and how it should be priced, promoted and placed so that customer is attracted towards the product.

Grace Kunz has defined it as the planning developing and presenting of product lines for identified target markets with regard to pricing, assorting, styling and timing. Identify the customers, understand their need, buy those goods, categorise and place them in a style that appeals to visiting customer.

It is said a customer makes his final decision of buying or going for alternative when he visits the shop. If the “offer” at the counter pleases he may decide to buy, that is what is merchandising such ‘offer’ is a bundle of expectations that a customer expects to be delivered to him.

It is basically product itself that should be of customers liking. Along with this display of product, it price, discount, service and other features are taken as ‘offer’ that must appeal and attract a customer.

What you buy must be sold the offer or the package i.e., product, price, place and promotion must appeal the visitor, to ensure sale.