Layout of goods in the sales area of the store – an important area of merchandising, based on an understanding of human psychology and aimed at increasing sales. Its purpose is to arrange the goods on the shelves in such a way as to realize the marketing strategy of the company.
What the customer sees with their eyes – 83% – plays a huge part in the perception of products. Next in descending order are sound, smell, touch, and taste. First impressions are made in 10 seconds, and customers are much better at remembering bad things than good things.
Read also: “Trade marketing: its tools and strategies, trade marketing promotions”
Rules for displaying goods
Merchandise is laid out according to certain rules and strategies. The laws of perception and buyer psychology must be observed.
- Assortment. Arrange items by size, color, without any chaotic mixing. It gives a sense of wholeness and stability.
- Zoning – one product group is located in one area of the product hall.
- Blocks – products of the same type and brand are laid out in a single block. No competitors’ products should be wedged into the blocks.
- Optimal length. Too short a lay-out doesn’t hold the customer’s attention, too long a lay-out scatters it.
- Product Features. Baby products should be placed on the lower shelves for little ones to reach. And fast-perishable foods should be as affordable as possible and catch the eye faster than other items. This is why racks of fruits and vegetables are closest to the entrance of the supermarket sales floor.
Other merchandising rules should also be followed:
- good product review;
- the availability of goods is at arm’s length;
- tidiness of shelves, good fixing of labels;
- filled shelves with no empty spaces;
- attractive packaging;
- assigning locations to the same products.
Layout of goods depending on the type of demand
An important principle: items that sell out quickly or are advertised at the current time take up more shelf space than slow-selling items. And both categories cannot be made neighbors – they will affect each other’s sales. Next to “hot demand” products are “impulse purchase” products. Such purchases are made under the influence of an instant decision.
Product display rules are part of retail branding. Order retail branding at KOLORO branding agency!
Impulse goods don’t need to be in a certain zone. The definition of impulse goods includes, for example, gum, magazines, and Kinder surprises. Often in supermarkets, chips are found in several outlets: next to the beer, by the checkout, and by the soft drink shelves. Gummies are only found in the checkout areas. Kinder-surprises, chocolates like “Bounty” are supposed to be in the sweets section, but they are still brought to the cash registers, as these are goods of impulse demand.
Merchandising distinguishes between the concept of “hot” and “cold” displays. The former are the ones where visitors are more likely to stay, the latter attract significantly fewer customers. It depends not only on the popularity of the product, but also on the location of the showcase in the hall – not everyone reaches, for example, household goods in the supermarket.
As for shelves, the most favorable location is at eye level. Next, the buyer’s gaze moves in the same way as it does when reading. Therefore, smaller and more expensive products are placed to the left. High volume products with low price should be placed to the right.
Arrangement of goods in the store by blocks and color
Arranging merchandise in a color-coordinated manner attracts attention and creates a positive feeling. “Colorful merchandising” creates harmony of visual space than attracts more visitors falling for beautiful sight.
Layout with vertical blocks is more profitable than horizontal blocks. Single-type products are distributed vertically on multiple shelves, top to bottom. Because of this, the buyer is better oriented.
Zoning and visual merchandising is an art that brings real sales growth. Order in the branding agency KOLORO visual marketing service!
Layout by intended use
The photos below summarize the two types of layouts by purpose. The first one has a decorative display and the second one has a merchandise display. Decorative is more commonly used in display cases and in outlets where merchandise is sold over the counter checkout. It is also popular in interior design stores, bookstores, gift and souvenir stores.
Merchandising is used in self-service stores – wherever customers take products from the shelf and then pay at the cash register.
Concepts and display strategies
In order for the consumer to better navigate the store, it is not only necessary to lay out the product in vertical blocks and save space behind the products. It is advisable to group merchandise by some concept. Goods can be grouped by some criteria:
- “all for the kitchen,” “all for the beach.”
- like, “all the kefirs are in one block, the ryazhenka and yogurt are next to each other.”
- price alignment – placing products of the same price category next to each other;
- as assigned;
- corporate units.
Idea groups are used in design, needlework, and thrift stores. In the market of household chemicals, for example, products are arranged by “sectors” – detergents for kitchen, bathroom and toilet, garbage bags, cosmetics for body care. There can be groupings by holidays, such as: “Everything for New Year’s Eve”.
Distribution by product type, type and style is used in large supermarkets, with large retailers adhering to this strategy in the vast majority of cases. The fact is that customers don’t like the pressure of brands and corporations where it’s not highly valued. In addition, this lay-out reduces the time to purchase.
Read also: “Branding and marketing, design of a minimarket chain”
Corporate blocks are reasonable in cosmetics, technology or clothing stores, where consumers often focus on familiar brands. Here, the buying time can be quite long – buyers tend to come in at their leisure, not “after-work-quick-dinner”, not in a hurry to get anywhere.
Price equalization is used when it is the price that matters to the consumer. In practice, it is realized in the same supermarkets by the type: “On one shelf everything on 10 UAH”. This is often seen in second hand shops, where periodically during sales they group clothes by the size of the discount – 25%, 50%, 70% off.
Grouping by purpose is used, for example, when displaying goods in a pharmacy: on one shelf a customer sees migraine remedies, on another shelf – for runny nose, on the next shelf – drugs for heart disease. Another such approach is possible in a discount or gift store that sells items ranging from housewares to clothing.
Product display in the pharmacy
Pharmacy product display has its own peculiarities. Here the goods are laid out in such a way that the following principles are fulfilled:
- the buyer easily finds the product, rarely contacting the seller;
- He or she chooses the more effective and safer (most often at a higher price) among similar medicines;
- the customer makes impulse buys.
To make it quick and easy for the customer to choose a product, you should put the main OTC product groups on “hot” display cases. These major groups include: cold and allergy medications, gastrointestinal medications, vitamins, ointments, pain relievers, cosmetics and dietary supplements. The choice of these drugs is better left to the buyers themselves to free up the time of the salesperson.
The shelves should not be overloaded with goods, and a small space should be left between packages. Then it will be easier for the customer to perceive the products. Plus the more expensive drugs are put on the front burner and the cheaper drugs are put on the back burner. The fact is that the buyer looks first at the first row, then at the subsequent rows. What he sees first, he is more inclined to acquire.
Read also: “Pharmacy brand identity development”
In pharmacies, the rule of “corporate blocks” or sorting by product type is not always appropriate. Many remedies are better marketed as a package. That is, cough suppressants and antiviral medications should be next to the nose drops. These medicines are often prescribed together because they enhance each other’s effects. In this case, the buyer will purchase not one but three funds.
Conclusion: what is effective merchandising
As you can see from the article, effective merchandising is based on the little things. Simply moving a product from the bottom shelf to eye level raises its sale by 80%. But not every product should be moved there. If you don’t dust the shelves, all the effort you put into laying out your merchandise will go to waste. Decorative lining is not suitable in supermarkets: if several goods are taken out of it, the composition will be disturbed. And so on.
It is a fact – competent merchandising increases sales by 200-300%. Contact KOLORO branding agency for the development of merchandising standards!
