How important is merchandising to the store?
Good quality merchandising in a retail outlet, it is the first showcase of the store and one of the most important areas of interest for most retailers. Care to be carried out properly merchandising affects not only directly the increased sale – and, consequently, profits, but also on the perception of the store in the eyes of customers. For retailers also has other advantages - effective merchandising optimizes operational management indicators of the facility and helps significantly reduce costs. So this is the first step if we are thinking about increasing profits in our store.
Shelf arrangement as sales growth factors
Each trading day at the best retailers begins with replenishing the assortment, marking additional promotional places, building new displays and preparing marketing messages for potential customers. So prepared store merchandising it encourages customers to make purchases and proves the professionalism of sellers.
As customers, when choosing a store, we pay attention to several issues that are most important to us - location (is it in the area where we live) prices, quality products, but also the ease of finding them and how we feel when shopping there. Our comfort is mainly influenced by how easy it is to find goods, clean, filled shelves and aesthetically arranged products.
That's why it's crucial arrangement of products – arranging them in accordance with the logic of decisions allows customers to easily find products, and thus saves their time. Over time, they associate our store with a place where they can shop effectively, quickly and easily - they are not irritated by searching for products on the shelves. This allows customers to return to the facility more often.
All products on the shelves they should be arranged from the edges towards the depths, not thinned out and at regular intervals. Key product groups for a given store should be placed in the most visible places, with easier access for buyers and additional communication using POS materials.
Reduction of costs and losses
The best retailers emphasize the importance of working on quality of the assortment. What matters is ensuring that products are not dirty, dusty or damaged and that their shelf life is long enough. When placing products on shelves, always follow the FIFO (First in First Out) principle, i.e. make sure when replenishing assortment on the shelfthat products with a longer expiry date are placed after those with a shorter expiration date. This procedure will help you avoid losses caused by expired products.
It is crucial to eliminate product shortages, especially in the most important products. The lack of a desired product in a store causes, in approximately one third of cases, the buyer to give up shopping altogether and look for his or her favorite product in another store. To avoid this, retailers maintain a safe stock, i.e. stock, which means the number of pieces of a specific product sufficient to cover sales between planned deliveries. For this purpose, it may be helpful to establish permanent cooperation with MPT Stanro food wholesaler. By gaining constant access to online grocery wholesaler Stanro24 the retailer will be able to place orders at any time. This will ensure yourself regular deliveries the best rotating food and industrial products. MPT Stanro food wholesaler Its offer includes over 10,000 products from well-known Polish and foreign producers.
contact MPT Stanro food wholesaler and ask for access to the online wholesaler Stanro24.
Merchandising it also means planning the size of sales space for individual products in such a way that, on the one hand, you do not build inventories that freeze cash on the shelf, and on the other hand, you protect yourself against potential product shortages. Good shelf space planning also reduces the involvement of store staff in refilling assortment on the shelf.
Increase in sales and profits
It is worth remembering that customers make approximately 70% purchasing decisions in a store - and as retailers we have a significant chance to change them. Additionally, when choosing products, they are able to look at only part of the Polish woman - the so-called “reach zone,” or the space approximately from the knees to the shoulders of an average person, causing them to choose products that they can notice. They also have a limited perception of the stimuli they are able to receive - they focus on known shapes and colors or larger color "spots" on the shelf, which is why their eyes will be attracted to additional promotional places or displays.
Which is why good merchandising focuses on the right one display of products on shelves and in the store space. Very often, retailers place more expensive or more profitable products in the "reach zone". Thanks to this, customers choose between products that the retailer is more interested in selling.
If we want to increase sales and profit, we should focus on increased sales shelf display more expensive products or those with a higher margin.
Consumer research has proven that increasing shelf display from one "face" (the front of the product packaging visible to the buyer on the shelf) to two - significantly increases sales, especially of brands with lower market shares.
Effective merchandising it is also the ability to trigger an additional purchasing impulse - i.e. convincing the customer to buy unplanned products. For this purpose, retailers very often look for cross-merchandising solutions for complementary categories by placing products from these categories next to each other. Combined displays are a very good idea - bread next to jams/chocolate creams, coffee next to cookies, beer next to snacks.
Good quality merchandisingis and will certainly remain one of the most important areas of store operation, and those who understand its importance and are able to use it in everyday practice will cope much better with the challenges of a very competitive retail market.
Having your own retail store you can join the nationwide Mili chain of over 400 grocery stores.
By joining the Milil franchise network, you gain access to food wholesalers with attractive commercial conditions and receive constant support from a team of professionals in the field of marketing, training and standardization.
Find out how you can join the nationwide one Mili chain stores.
Once you have your own retail store, you can join nationwide Mili network associating over 400 grocery stores.
By joining the Mili franchise network, you gain access to food wholesalers with attractive commercial conditions and receive constant support from a team of professionals in the field of marketing, training and standardization.
Find out how you can join the nationwide chain of Mili stores.
