Retail Merchandising Planograms – How to Use Them Effectively

What are the benefits of Retail Merchandising Planograms?

The perception is that if your product is good, it will sell itself. However, visual merchandisers nowadays know better – effective advertising and displaying of merchandise are as important as quality. They understand the importance of planograms; the sketches outline the placement of products on a store shelf or retail display. Planograms ensure consistency of product placement between locations, and suppliers use the sketches to enforce the display of their product which results in higher sales volume. Independent retailers owners utilize planograms to maximize shelf space and enhance the look of merchandise. Starting with an effective planogram is one way to ensure products are restocked and maintained in a way that enhances display quality.

What are Retail Merchandising Planograms?

A planogram is a diagram or model that indicates the placement of retail products on shelves in order to maximize sales. Also known as plano-grams, plan-o-grams, schematics and POGs, planograms are a tool used in visual merchandising.

How is a Retail Merchandising Planogram prepared?

There are various pieces of software available which help to create planograms. Planogram software helps retailers to draw three dimensional diagrams of the store and help them visualize the overall image of the store.

How to Implement a Planogram:

Below are guidelines for effective planogram implementation:

1. Determine the desired effect of the planogram. If you’re a clothing retailer, your objective might be to hang tops at an angle that shows off their beauty, and to make space for folded and stacked stock such as sweaters and pants. If you run a general merchandise store, displaying as many brand options as possible on your shelves might be the desired result.

2. Sketch the backdrop of your planogram. This is the space on or within which you’ll place your product, be it a section of shelves or the floor plan of the entire store. Make your sketch to gauge and include measurements of every section of space; this will help you calculate how many products you can allocate to each space.

3. Organize your products in the planogram. Draw numbered representations of each item onto the planogram space; include a key to provide a description of each product, including brand and SKU. If your aim is to maximize space, compare various product combinations and use the one which allows you to display the most products.

4. Place your products on the shelf or store floor according to your diagram. Modify the planogram as you see fit; a product placing which maximizes space might also appear crowded and make it difficult to shop.

5. A planogram which aims to feature a line of clothing might not appear well under certain lighting arrangements or in a particular section of the store.

6. Arrange and rearrange the product placement using actual products until you are satisfied that it is well arranged and you have utilized your store space well.

7. Finally, change the planogram to reflect the changes you made at store level and ensure the format is replicated in other store locations of similar measurement.

Post time: 02-26-2017