There are many misconceptions regarding the actual purpose and function of a planogram. Often confused with the usage and features planograms offer, many don’t understand the role that planograms have to turn a product to dollars! What if everyone in your organisation can help you with planogramming? Let’s go into the details.
What’s the actual purpose of a planogram?
The purpose of a planogram is definitely to increase sales. It ensures that the most popular and profitable products are given maximum visibility by allocating them, the right amount of space and facings. Without the correct strategy, any allocations that you provide them would be pure speculation. And if you do get anything wrong while doing it, it will still make a mess of the whole shelf and can have an unfavourable effect on the sales.
3 Features of A Perfect Planogram:
Appealing product display:
In the past, planograms were manually built using the internal and external sales data. Legacy systems like spreadsheets and charts were used to map the product placement on shelves. The planning process itself took a couple of hours. Now it’s much easier to build planograms using the many kinds of planogram software, which allows you to go from zero to planogram in only a few minutes.
With the right software, you would be able to present your shoppers with a logical product layout, maximising the efficiency of your shelf space. Planograms give you full control and flexibility over your product placement in an automated manner and you can track out of stocks easily.
Assortment planning:
Assortment is the range of products that you decide to display at each of your stores. You should have a fool proof assortment planning strategy to create the perfect planogram. Assortment planning, when done correctly, provide the right product at the right place at the right time thereby improving the in-store experiences by satisfying your consumers.
Store clustering:
It can be tiresome to design unique planograms for each and every store where your products are displayed. Doing so can be resource heavy and risky. So, what you need is strategically placed products throughout all outlets so that your retailer partners can help you increase your product sales. Highly sophisticated planogram software would help you achieve this. Your power users can group similar stores together according to the store size, demographics, sales data, etc and apply the same strategy.
The process of building a planogram and applying it is as simple as a drag and drop from your laptop, phone or another hand-held device! Anyone in your organisation can do planogramming if you own a simple planogram software, in addition with the one used by your power users. This would help you meet instore customer requirements on time.
A simple and up-to-date shelf space planning strategy enables your retailer partners to increase your product sales! Nexgen POG- the easiest and user-friendly, web based planogram. Try it by signing up for the free version of Nexgen POG!