In today's retail environment, merchandise display management plays a key role in increasing sales, optimizing inventory and improving the customer experience. Planograms are one of the most effective tools to help achieve these goals. They are graphical shelf layouts that take into account assortment, categories, packaging, customer behavior and other important factors.

Planograms benefit not only retailers, but also suppliers, as they ensure efficient use of retail space, promote sales growth and optimize logistics.

How do Planograms Help Suppliers Increase Sales?

Suppliers are interested in ensuring that their products are presented in stores as efficiently as possible. Planograms help them accomplish several things at once:

  • Shelf space optimization. Planograms allow them to analyze and predict how much space needs to be allocated for each product. This reduces the likelihood of products ending up on “dead” shelves or being placed inefficiently. For example, a beverage supplier can determine which SKUs should be placed at eye level and which SKUs should be placed in the quick-access area.
  • Analyze display effectiveness. Using sales data in conjunction with planograms allows suppliers to analyze which items are in highest demand and which should be replaced. This analysis helps to adjust assortments, improving turnover and reducing the likelihood of overstock.
  • Prevent shortages and excess inventory. Planograms allow you to forecast demand in advance and determine the level of inventory needed. For example, if a certain product is actively purchased, the planogram will allow you to increase its share on the shelf, avoiding situations when customers do not find the product they need.
  • Support negotiations with retailers. Suppliers can use planograms as an argument when interacting with retailers. Visualizing product displays and proving their effectiveness based on data can convince retailers to allocate more space for the most profitable items.
  • Creating brand zones. Planograms help develop a branding strategy at the point of sale. For example, if a supplier works with a well-known chocolate brand, it may suggest that the retailer organize a separate brand zone, which will increase product recognition and customer loyalty. Often for this task, stores use circular layouts on stands, which are available in the PlanoHero service.

Benefits of Planograms for Retailers

Retailers also get many benefits from using planograms in inventory and display management:

1. Efficient use of space

Every square meter of the sales floor should work to increase sales. Planograms allow you to arrange merchandise to minimize empty space and increase revenue per square meter.

2. Assortment control and product rotation

With planograms, retailers can keep track of which goods should be on the shelves and which ones need to be replaced. This helps to keep the assortment up-to-date and meet customer needs.

3. Reducing instances of shortages and overstocks

Analyzing the display of goods helps to avoid situations when certain items run out of stock early or, on the contrary, become overstocked. This is especially important for seasonal goods, products with a limited shelf life and promotional offers.

4. Increase product turnover

Proper product placement stimulates sales. For example, locomotive items are placed at eye level and companion items are placed near the main purchases, which increases the average receipt.

5. A more convenient shopping experience for shoppers

Shoppers find the products they want faster if they are arranged logically and sequentially. This increases their satisfaction and the likelihood of repeat purchases.

How Does Planohero Help in Creating and Managing Planograms?

PlanoHero is a cloud-based service that greatly simplifies the process of developing, implementing and analyzing planograms in retailers. Let's take a look at its main features:

1. Automation of planogram creation

The service allows you to quickly create planograms. This is especially useful for large networks, where manual creation of planograms requires considerable time.

2. Work on different devices

Thanks to cloud data storage, planograms can be viewed and edited from any device: computer, tablet or smartphone. This makes the process of managing layouts mobile and convenient. There is a convenient app for mobile devices.

3. Visualization and sharing

The platform provides convenient tools for visualizing the display of goods and sharing data between departments. This facilitates communication between merchandisers, suppliers and store managers.

4. Analytics and reports

The program allows you to generate detailed reports on how merchandising affects sales. This data helps to make informed decisions on changing the display and optimizing the assortment.

Interaction Between Retailers and Suppliers in Creating Planograms

The effectiveness of planograms largely depends on retailers and suppliers working together. An ideal scenario includes:

  1. Co-designing planograms together, keeping both parties' interests in mind.
  2. Using sales data to optimize product layouts.
  3. Regular monitoring and adjustments, especially when demand changes or new products are launched.

Planograms are a powerful tool that helps both retailers and suppliers to improve display efficiency, optimize inventory and increase sales. Using Planohero's specialized service makes this process more convenient, faster and more accurate.

For suppliers, planograms provide an opportunity to improve the position of their goods, analyze demand and successfully interact with retailers. For retailers, they become a tool to increase product turnover, reduce wastage and improve the customer experience.

Thus, the implementation of planograms in retail is a strategically important decision that contributes to business growth and enhances a company's competitiveness.

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