If you work in the retail industry, you have probably heard the term “planogram” before. Planograms are visual representations of how products should be displayed on shelves and in other retail spaces. They are an important tool for retailers to optimize their product placement and increase sales. In this post, we’ll go over what a planogram is and how to read it.
What is a planogram?
A planogram, also known as a plano, is a visual representation of a store’s layout and product placement. It shows where each product should be displayed on the shelves, how many facings (number of units) of each product should be displayed, and how products should be arranged. Planograms can be created for individual shelves, sections of the store, or the entire store.
Planograms are typically created by merchandisers or category managers, who take into account factors such as product popularity, seasonality, and sales data. By optimizing product placement, retailers can improve the customer experience and increase sales.
How to read a planogram
Reading a planogram may seem intimidating at first, but it’s actually quite simple once you know what to look for. Here are the key elements of a planogram:
Product placement: Each product is represented by a picture or SKU number, and is placed in the location where it should be displayed on the shelf.
Facing count: The number of units of each product that should be displayed on the shelf.
Shelf capacity: The maximum number of units that can fit on the shelf.
Adjacencies: The products that should be displayed next to each other for optimal sales.
Shelf height: The height of each shelf, which can impact product placement and visibility.
Here’s an example of a planogram for a snack food aisle:
In this planogram, you can see that chips and pretzels are displayed together, with the most popular flavors taking up the most shelf space. The planogram also shows how many facings of each product should be displayed, and the adjacencies between products.
Planograms are an essential tool for retailers to optimize product placement and increase sales. By understanding what a planogram is and how to read it, you can improve your store’s layout and customer experience. Don’t be intimidated by planograms – with a little practice, you’ll be a pro at reading them in no time.
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