Define "visual merchandising" in the context of performance.

Visual merchandising refers to arranging product displays to attract customers, making it the focal point of creating an appealing shopping environment. This practice involves utilizing effective layouts, lighting, colors, and signage to draw attention to products and encourage purchases. The ultimate goal of visual merchandising is to enhance the customer experience and influence buying behavior, making it a vital aspect of retail performance.

This approach directly impacts sales by showcasing products in a way that highlights their features and benefits, enticing customers to explore more. A well-executed visual merchandising strategy can significantly increase foot traffic and conversion rates by creating an inviting atmosphere that resonates with the target audience.