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Some History about Visual Merchandising -
When the giant nineteenth century dry goods establishments like Marshall Field & Co. shifted their business from wholesale to retail, the visual display of goods became necessary to attract the general consumers. The store windows were often used to attractively display the store's merchandise. Over time, the design aesthetic used in window displays moved indoors and became part of the overall interior store design, eventually reducing the use of display windows in many suburban malls.[citation needed]
In the beginning of twenty-first century visual merchandising is forming as a sсience. Nowadays, Visual Merchandising became one of the major tool of business promotion which is widely used to attract customers and increase sales.[5]
Source: http://en.wikipedia.org/wiki/Visual_merchandising#History