Top 4 Reasons Why Singapore Retailers Need Scent Marketing

Shopping in-store can be more than just buying a product; it offers a multisensory experience and a holistic brand perspective. A store can play a crucial role in unifying the brand story across all communication channels and maximising the concept of 'Total Retail.' Total Retail is about creating a unified brand story across all channels to ensure a consistently superior customer experience. Olfactive branding is a powerful extension of any retailer's marketing strategy and can transcend offline and online channels.

At the Galeries Lafayette in Paris, once ambient scenting was introduced, consumers who had spent 40 minutes in the store thought that they had only spent 25 minutes, compared to customers who had unscented experiences and did not make the same error.

Scent marketing is a powerful extension of a retailer's marketing strategy that can transcend offline and online channels. A scent is an especially powerful part of the sensory toolbox because it is so evocative, always hedonic, and either liked or disliked. Research from the Luleå University of Technology in Sweden found that scent marketing in retail stores has many positive effects. But today's retailers face several challenges, such as competition, time-poor consumers, and an increasingly fickle and disloyal customer base. Used correctly, scent marketing has the power to overcome these challenges.

This article will explore everything you need to know about the impact of scent marketing on retail businesses.

Increase retail footfall

Retailers can use ambient scenting to shorten queuing and boost customer perception of the brand. Research has found that 74 per cent of consumers have been drawn into a store because of an inviting smell. This is most noticeable with food-based outlets – research shows that bakeries commonly scent footfall areas with the smell of freshly baked products to entice customers to visit their stores.

The effects appear the same for non-food retailers too. Woodland, the popular Canadian brand of apparel and leather footwear, noticed an increase in footfall ever since the company sprayed its signature leather fragrance in the aisle area of its various stores worldwide. Just as attractive smells – including signature scents – can increase footfall, the wrong scent can also drive shoppers away.

Premium Scenting found that 35 per cent of consumers would simply walk out of a store if they smelt something off-putting. In scent terms, ‘offputting’ doesn’t necessarily have to be ‘unpleasant’ - it can equally mean a fragrance that doesn't fit with its surroundings (i.e., that is incongruent) or is perceived as too strong. Footfall is the most basic, crucial element for any retailer and is intrinsically linked to increasing sales. With competition in the retail business at an all-time high, there has never been a better time to boost it.

Increase dwell time

How long a customer stays in a store is directly related to the money they spend, which is why increasing dwell time is so important. While common tactics include adjusting the store layout to fit consumer habits and creating well-designed interiors, the power of scent should be considered alongside these.

Research shows that 55 per cent of consumers said they would speed up their browsing if the store had an offputting smell, and only 1 per cent stated that bad smells would not affect them. Conversely, a pleasant scent can lead to happier customers who are willing to linger for longer. Consumers who spent time in unscented stores were far more likely to overestimate their time than in pleasantly scented stores.

Dwell time equals sell time, and creating pleasant environments through scenting can encourage customers to stay longer and bolster sales potential. In other words, shoppers are likelier to linger when they feel comfortable. When they linger, they are more likely to browse – and buy.

Improve brand perception

Premium Scenting found that 42% of consumers identified atmosphere and ambience as the most important factor in their favourite store. This was even more important than familiarity, layout, and friendly staff. Could scent be the missing ingredient that creates the perfect atmosphere?

Research suggests that the answer is yes. Olfactory cues, or smells, greatly influence our perceptions of our surroundings. Studies have shown that scenting can enhance consumers' perception of a mall and the retailers with outlets within it. Even when consumers say that the attractiveness of the store layout or music dictates the length of their stay, it can often be a scent that is doing the work, whether they realise it or not.

Sometimes, the scents we don’t notice can impact our judgments more than those we do. A recent study saw two identical pairs of Nike running shoes in two separate but identical rooms. One room was infused with a mixed floral scent; the other wasn’t. Test subjects inspected the shoes and, by a margin of 84%, preferred the shoes displayed in the fragrant room. 

Additionally, the consumers estimated the value of the “scented” shoes was, on average, $10.33 higher than the pair in the unscented room. If a scent can impact consumer perceptions of a branded good tangibly, likely, the scent would also play a large role in helping us shape our store preferences.

Improve brand loyalty

Premium Scenting's study found that 73% of consumers have admitted to having a feeling or a memory instantaneously triggered by a smell. This is even the case for 51% of consumers who claim they are ‘insensitive’ to smell. Pleasant smells can increase well-being and relaxation, but recognisable scents can trigger an emotional reaction and, ultimately, better engagement.

Retailers like Calvin Klein, H&M, and Bloomingdale's already use their signature scents to increase customer engagement with their brands and create lasting affiliations. Evidence shows that it pays off – according to Martin Lindstrom, brand-building expert and author of Buyology, building a stronger emotional association between customer and brand through multisensory marketing directly translates to higher prices consumers are willing to pay.

In fact, 60% of consumers make a brand their first choice if it engages four to five of their senses. While the effects of scent on human mood and cognition are difficult to quantify, many are felt unconsciously. Scenting can influence customers' intentions to visit and return to a store, with loyalty becoming more entrenched with every return. In other words, they will return if they engage with a brand.

In conclusion, scent marketing is a powerful tool to help retailers improve brand perception, increase customer engagement, and foster brand loyalty. The evidence suggests that scent in a store's atmosphere and marketing efforts can positively influence customer behaviour and decision-making, even if they are unaware of it. With more and more retailers recognising the importance of multisensory marketing, it's no surprise that scent marketing is becoming an increasingly popular strategy for enhancing the customer experience. By leveraging the power of scent, retailers can create a memorable and emotionally engaging shopping experience that can leave a lasting impression on customers and keep them returning for more.