How Scent Can Boost In-Store Sales: Practical Tips for Retailers

How Scent Can Boost In-Store Sales: Practical Tips for Retailers

Stephen Spencer  is the founder and Ambience Director of Stephen Spencer + Associates, the Ambience Architects. His business journey started in the High Street at age 15 and took him to Regent Street, via the Tower of London, to Buckingham Palace by age 30. A combination of luck, curiosity and thinking differently enabled his contribution to the cultural retail revolution of the early 1990s.

He chairs the new Advisory Board that is shaping the future of Spring Fair and Autumn Fair, and is a Judge for the Gift of the Year Awards. Stephen keeps his optimism muscle in shape by supporting Tottenham Hotspur.

 

 

Helen Keller, the American author, disability rights advocate, political activist and lecturer, who was blind from early childhood, said "Smell is a potent wizard that transports you across thousands of miles and all the years you have lived". In this age where stories are probably as powerful a marketing tool as they ever have been, the power of a smell to evoke memories and emotions should be a well-used component in any retailer’s toolbox. A study by Nobel Prize-winning psychologist Daniel Kahneman found that people make financial decisions 90% based on emotion and 10% on logic. As the legendary sales trainer Zig Ziglar put it, “people buy on emotion and justify with logic”; since many fragrances demonstrably influence moods (often by triggering memories), why wouldn’t any retailer use scent to help tell their story?

 

According to marketer Michael Keenan, writing in the Shopify blog, “Scent is our oldest and most evolved sense. And today it’s used as a marketing tool by retailers to attract, delight, and convert in-store shoppers.”

 

 

What are some examples of scents that have been proven to increase sales in retail environments?

 

 

  • Citrus: Simple scents like citrus and pine have been linked to increased spending. Marisa Sanfilippo, an award-winning advertising and marketing expert, reports that researchers observed a 20% increase in sales with a simple orange scent, likely because straightforward scents are less mentally taxing, allowing customers to focus on shopping without distraction.​
    • “Simple smells, as opposed to complex blends of scents, are powerful motivators when it comes to spending, researchers at Washington State University found. That’s because simple smells, such as citrus and pine, don’t require much mental processing from the shopper, freeing their brains to conjure images associated with these fresh scents.”

 

  • Floral Notes: Floral scents, including lavender, are often associated with relaxation and positivity, making them beneficial in stores where a calm, inviting atmosphere is desired. Nike found that adding a floral scent increased customers' purchasing intent by up to 84% and encouraged them to spend 80% more time in the store​.

 

  • Chocolate: As reported by scent marketing and aromatherapy specialists Scent Central, in a bookstore study, a subtle chocolate scent led to a 5% sales boost and encouraged shoppers to engage more with both the staff and products. This scent made the environment feel cosy and familiar, prompting positive customer behaviours like lingering and exploring​
    • The study not only saw an increase in sales by 5.07% but found that customers were nearly 3x more likely to engage in conversation with staff and 2x more likely to examine multiple items within the store.

 

 

How do different scent profiles influence customer behaviour and spending habits?

 

 

  • According to customer engagement experts Spectrio, different scent profiles have distinct effects on customer behaviour and spending in retail environments, as specific aromas can evoke emotions, enhance mood, and impact perceptions of product quality.
    • In another example, one gas station actually added the smell of fresh coffee to its store and increased coffee sales by 300%.

 

  • Scents can also enhance brand perception and store satisfaction. Using pleasant, subtle scents improve the overall shopping experience, leading to increased time spent in stores and heightened purchase intentions. This psychological effect occurs because scent directly influences the brain's limbic system, where emotions and memories are processed, making customers more inclined to form positive associations with a brand.
    • Promotional marketing sector journalist Olivia Smith observes that “Scent  takes the lead in sensory marketing, affecting more than 75% of our emotions every day. People remember 65% of scents after a year, the Sense of Smell Institute notes, surpassing visual recall.”

 

  • Incorporating a signature scent can also differentiate brands in a competitive market, building loyalty through memorable sensory connections that evoke familiar, comforting experiences, which are known to encourage repeat visits and reinforce customer loyalty over time​.
    • As Smith predicts: “As consumer preferences evolve, we might see a shift towards more natural, organic scents in line with growing environmental and health consciousness. Brands will likely adapt their scent marketing strategies to align with these changing preferences, ensuring that they continue to engage customers effectively and ethically.”

 

 

 

 

What are the most effective scent diffusion methods for various types of retail spaces?

 

 

  • The most effective scent diffusion methods for retail spaces depend on the store’s size, layout, and scent objectives. For large areas like department stores or open-floor plans, Heating, Ventilation, and Air Conditioning (HVAC)-based diffusers or high-output floor-standing diffusers can be ideal, used in place of multiple fan air fresheners for hallways, entrance lobbies, retail stores, hotels, spas, recreational facilities, auditoriums, locker rooms, and workout areas. Specialists in this field include Commercial Scent-sations, whose customers include casinos and hotels.

 

  • In smaller boutique spaces, battery-operated or tabletop diffusers are effective due to their ease of installation and localized reach. Battery-powered fan diffusers work well in compact spaces, as they are portable and low-maintenance, making them perfect for rotating scents across different zones within the store​.
    • Retail scent marketing specialists The Aroma Trace work with their customers to deploy what they call “sensory architecture” in key areas such as entrances, aisles, fitting rooms, and exclusive sections in stores. As they describe it, “This approach transcends mere scenting; it's a strategic instrument to influence emotions, augment brand perception, and elevate customer satisfaction.”

 

 

How can retailers measure the impact of scent on sales?

 

 

Specialists including The Aroma Trace and Scent Central advocate that using fragrance to create attractive retail ambience is as capable of hard metric measurement as any other investment. 

 

  • Retailers can measure the impact of scent on sales and customer behaviour through several techniques, focusing primarily on analysing customer interactions, sales metrics, and feedback. Common methods include observing changes in customer dwell time (how long shoppers stay in the store), tracking foot traffic patterns, and examining any increases in product exploration and engagement.
  • Sales data analysis is crucial, where retailers track any fluctuations in revenue or units sold in scented versus unscented areas, comparing metrics over time and correlating spikes to the presence of specific fragrances.
  • Surveys and interviews provide direct insights from customers, capturing their emotional and experiential responses to the scent environment.
  • Foot traffic counters and observation tools also allow stores to note whether scented areas lead to increased visits, product handling, and time spent on-site, which generally correlates with higher conversion rates.
  • These methods, when used together, create a clearer picture of how scent affects purchasing behaviour and can confirm the ROI of scent marketing initiatives. Tracking these interactions and sales metrics over time is essential for refining fragrance strategies to best support customer experience and revenue growth

 

So there you have it: the difference between an environment with a carefully-considered, background scent and one without is about more than just brand-building – it’s a strategy that taps into neuroscience and harnesses the power of creating positive emotions to create customer experiences that will increase sales as well as build loyalty. Above all, it’s a strategy that’s within the reach of any retail business, no matter how small or large.

 

As the immortal Elizabeth Taylor, who among her many achievements built a fragrance brand with sales approaching $1bn, put it: "The beauty of fragrance is that it speaks to your heart, and hopefully someone else's". Why not let that someone else be your customer? 

 

 

You can download a copy of the Ambience Playbook here.

 

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