The Power of Red in Retail

Emma Stevens

The five senses can be powerful allies to any organisation, and especially true for brick-and-mortar retailers who have the unique opportunity to enlist all of the critical human senses – sound, touch, smell, taste and sight – to help turn a “window shopper” into a paying customer.   For brick-and-mortar retailers, sight is by far the single most powerful and influential sense and much research has been devoted to this topic. But all the experts agree: having the right visuals in-store can make or break the sale.

Chroma 29 Fanta

Retailers have used colour as part of their overall in-store design for years – and red stands out as the single-most influential colour in the industry. It’s been known to increase our heart rates and makes us breathe more rapidly. Powerful stuff! And especially so within a retail environment, hence the reason why it is so commonly used within sale signs, clearance items and promotions.   As Tori Atkinson of Sinso Retail Support said, “Red is a colour universally associated with urgency and spontaneity, making it an ideal shade for impulse purchase displays. When a customer sees the colour red, the ability to think rationally and analytically is diminished, giving way to impulsive urges and driving those last-minute purchases.”   Need further proof? Check out this recent article by customer behaviour expert and shopper psychologist, Phillip Adcock, focusing on the psychology of in-store promotions. Adcock made some interesting observations on the use of colour by four different grocery retailers promoting the same product. The use of colour, especially red and yellow, had a significant affect on customer perception and the overall sales from the product promotions.

  What is actually displayed on a label in-store can greatly increase the chance of a sale. With our fully graphic electronic shelf labels (ESLs), retailers can create eye-catching label designs that don’t just replicate paper, but help retailers bring the internet into the store and deliver everything you’d expect to see online - at the shelf edge - including images, QR codes, customer reviews and price comparisons, with the ability to update in real-time.   With the addition of red to our ESLs, which can be switched on and off when required, there has never been a better way to highlight promotions and special offers. And as many of us have been subconsciously conditioned to perceive red as having added value, three-colour ESLs can really help to maximise the effectiveness of retailer promotions in-store.  

We recently announced that Coop Denmark’s Kvickly Supermarkets would be rolling out our fully graphic, three-colour ESLs across their stores. We’re really excited about this rollout as it represents the first-ever European implementation of our Chroma ESLs that support three colors – black, paper white and of course, red.   The addition of red to our ESLs will not only help retailers further make an impact on shoppers’ decisions to purchase while they are in the store, but it will leave a lasting imprint on the shopping experience, and ultimately the sales and margins of the retail organisation.   Sarah Todd Marketing Manager Displaydata        

About Displaydata

Our Electronic Shelf Labels (ESLs) bring the shelf-edge into the Internet of Things era, helping to create shopping experiences that are more engaging, rewarding and personalised – and profitable. We help retailers optimise sales and margin at the shelf-edge, where 90% of purchases are still made.

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