The popular press has recently reported that managers of retail and service outlets are diffusing scents into their stores to create more positive environments and develop a competitive advantage. These efforts are occurring despite there being no scholarly research supporting the use of scent in store environments. The authors present a review of theoretically relevant work from environmental psychology and olfaction research and a study examining the effects of ambient scent in a simulated retail environment. In the reported study, the authors find a difference between evaluations of and behaviors in a scented store environment and those in an unscented store environment. Their findings provide guidelines for managers of retail and service outlets concerning the benefits of scenting store environments.