THE EFFECTS OF VISUAL MERCHANDISING ON CONSUMER BUYING BEHAVIOR: IN CASE OF UNIQLO STORES IN BANGKOK NATSYNEE PHONGJARUKUPT PUNCHARAT BANDITAKHRAWONG PAKDIPRON RATTANARPUN A PROJECT SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF BACHELOR OF BUSINESS ADMINISTRATION KING MONGKUT’S INSTITUTE OF TECHNOLOGY LADKRABANG BUSINESS SCHOOL KING MONGKUT’S INSTITUTE OF TECHNOLOGY LADKRABANG 2019 THE EFFECTS OF VISUAL MERCHANDISING ON CONSUMER BUYING BEHAVIOR: IN CASE OF UNIQLO STORES IN BANGKOK NATSYNEE PHONGJARUKUPT PUNCHARAT BANDITAKHRAWONG PAKDIPRON RATTANARPUN A PROJECT SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF BACHELOR OF BUSINESS ADMINISTRATION KING MONGKUT’S INSTITUTE OF TECHNOLOGY LADKRABANG BUSINESS SCHOOL KING MONGKUT’S INSTITUTE OF TECHNOLOGY LADKRABANG 2019 The Project has approved by KMITL Business School Title: The Effects of Visual Merchandising On Consumer Buying Behavior: In Case of Uniqlo Stores In Bangkok Name: Natsynee Phongjarukupt Puncharat Banditakhrawong Pakdipron Rattanarpun The Project Committee: Chairman ____________________________ (Asst. Prof. Dr. Sorasak Tangthong) Advior ____________________________ (Assoc. Prof. Dr. Wirat Krasachat) Committee Member ____________________________ (Asst. Prof. Dr. Sorasak Tangthong) ____________________________ (Asst. Prof. Dr. Sudaporn Sawmong) Dean of KMITL Business School COPYRIGHT 2019 KMITL BUSINESS SCHOOL KING MONGKUT’S INSTITUTE OF TECHNOLOGY LADKRABANG I Research Title The effects of visual merchandising on consumer buying behavior: In case of UNIQLO stores in Bangkok Student Name Miss Natsynee Phongjarukupt Miss Puncharat Banditakhrawong Miss Pakdipron Rattanarpun Student ID 59100232 59100277 59100289 Degree Bachelor of Business Administration Major Business Administration (English Program) Year 2019 Advisor Assoc. Prof. Wirat Krasachat (Ph.D.) ABSTRACT Nowadays, the clothing industry is very popular, and it is continuously popular for many years. Due to being very popular, it causes competition at all times. Clothing brands have to rely on not only the creativity of designing a variety of clothes, follow the trend but also the ability to attract customers. There are many different strategies or techniques used, depending on the applying. "Visual Merchandising" is one of the most well-known techniques in many countries. It is a technique about the storefront, store layout, store interior, and interior displays, which can make attractiveness and create eye-catching to customers quite well. The UNIQLO brand is used as a case study because UNIQLO is popular, being interested in many people, and it also has continuously profit every year from the use of this technique. In this study, the objective is to study how much attraction of visual merchandising of UNIQLO stores in Bangkok to consumer buying behavior and to study the effects of visual merchandising on consumer buying behavior of UNIQLO in Bangkok. The sample group is the consumers who bought UNIQLO products in Bangkok which is 390 respondents. The data were collected by using a questionnaire and were analyzed by using frequency, percentage, mean and standard deviation. For data analysis, results II for hypothesis testing were analyzed by using the T-test, Chi-square test, and One-way ANOVA method. The empirical results indicated that most of the samples are female that estimated by 76.15 percent, ages between 20-30 years old that estimated by 84.36 percent, and occupation who is the student that estimated by 78.72 percent and income less than 15,000 baht that estimated by 71.54 percent. The empirical results of consumer’s opinions on visual merchandising have majority opinion levels at a more important level. In this study, sample buyers purchased 1-2 times, 768.82 baht per time, and 1295.85 baht per month. The empirical results also showed that gender, ages, occupations, and income have a relationship with consumer buying behavior. Besides, the results indicated that storefront, store layout, and store interior have a relationship with consumer buying behavior. However, interior displays do not affect consumer buying behavior. There is a conclusion that visual merchandising attracts more attention to consumers to be purchasing at UNIQLO in Bangkok. Therefore, UNIQLO should develop the window display to promote the trend of clothes each season. The timing of the area planning should also be adjusted to make it convenient for servicing the users of all ages. Providing clear details on the product labels should be done. Adjusting the color tone, or adding more color in some zones will be suitable. Thus, UNIQLO will be better to serve the needs of consumers and to maximize customer satisfaction. Keyword: Clothing, Consumer Buying Behavior, Fashion, Fashion Industry, Visual Merchandiser and Visual Merchandising III ACKNOWLEDGEMENT This special problem titled “The Effects of Visual Merchandising on Consumer Buying Behavior: in Case of UNIQLO Stores in Bangkok” can be completed with great assistance from Assoc. Prof. Wirat Krasachat (Ph.D.) of International College at King Mongkut’s Institute of Technology Ladkrabang, a special problem advisor. He guides inclusively by fixing the various defects in detail. Through this, the study is well-accomplished. Also, Asst. Prof. Sorasak Tangthong (Ph.D.), who has kindly served as a special project exam committee, suggests improving this study. Also, the study would like to greatly appreciate all the respondents for their benevolence and valuable time to willingly answer several questions. Thanks to our families and friends that always reinforce and encourage us to achieve in doing this study, including everyone who has not been mentioned here for their cooperation and assistance. Finally, we strongly hope that this study will be useful for visual merchandisers and other interested people who are willing to apply the visual merchandising technique to create a valuable business. Natsynee Phongjarukupt Puncharat Banditakrawong Pakdipron Rattanarpun IV TABLE OF CONTENTS Chapter Page ABSTRACT .............................................................................................................................. I ACKNOWLEDGEMENT .................................................................................................... III TABLE OF CONTENTS ......................................................................................................IV LIST OF TABLES .................................................................................................................VI LIST OF FIGURES ............................................................................................................. XII CHAPTER 1 INTRODUCTION ....................................................................................... 1 1.1 Research Background ............................................................................................. 3 1.2 Research Objectives ................................................................................................ 3 1.3 Research Contributions ........................................................................................... 3 1.4 Scope of Research ................................................................................................... 3 1.5 Definition of Terms ................................................................................................. 4 CHAPTER 2 LITERATURE REVIEWS ........................................................................ 5 2.1 Theory of Demographic........................................................................................... 5 2.2 Theory of Visual Merchandising ............................................................................. 6 2.3 Theory of Consumer Behavior ............................................................................... 16 2.4 Related Research ................................................................................................... 20 2.5 Research Conceptual Framework .......................................................................... 26 2.6 Research Hypothesis ............................................................................................. 27 CHAPTER 3 RESEARCH METHODOLOGY ............................................................. 28 3.1 Data Source ........................................................................................................... 28 3.2 Research Instrument .............................................................................................. 29 3.3 Population and Sample .......................................................................................... 30 3.4 Sampling Design ................................................................................................... 30 3.5 Statistical for the Reliability of Questionnaire........................................................ 32 3.6 Data Analysis ........................................................................................................ 32 3.7 Statistics Used in Data Analysis ............................................................................ 34 V TABLE OF CONTENTS (CONTINUED) Chapter Page CHAPTER 4 RESULTS AND DISCUSSIONS ............................................................ 40 4.1 The Empirical Results of Questionnaire’s Reliability Analysis .............................. 40 4.2 The Empirical Results of the Normality Test ......................................................... 41 4.3 The Results of Demographic Data