3d Planogram

[Ortiz Ullery]

Planograms, also known as plano-grams, plan-o-grams, schematics, POGs or simply plans, are visual representations of a store's products or services on display. They are considered a tool for visual merchandising. According to the Merriam-Webster Dictionary, a planogram is "a schematic drawing or plan for displaying merchandise in a store so as to maximize sales."[1] The effectiveness of the planogram can be measured by the sales volume generated from the specific area being diagrammed.

Planograms are predominantly used in retail businesses. A planogram defines the location and quantity of products to be placed on display, often with detailed specifications on the number of product facings and spacing; shelf layout, height, width, slant and depth and necessary or recommended chiller conditions (e.g. fresh meat versus white wine). Any other information deemed necessary or useful can be included. The rules and theories for creating planograms are set under the terms of merchandising. For example, given limited shelf space, a vendor may prefer to provide a wide assortment of products, or may limit the assortment but increase the facings of each product to avoid stock-outs.[2]

Planogramming is a skill used in merchandising and retail space planning. The planogram merchandiser plays a vital role in optimizing retail shop space and creating compelling designs. A merchandiser's primary responsibilities include creating attractive displays and implementing planograms to increase customers' buying experience.

A person with this skill is referred to as a planogrammer or planogram specialist. Planogram specialists themselves are also referred to as POGs. By analyzing past and current sales patterns, a planogrammer can make successful recommendations about the number of "facings" a particular product should have on a retail display.

Planogram compliance refers to the process of making sure that the planogram meets the requirements specified in the diagram. It involves checking the layout of the store against the planogram, verifying whether the planogram has been properly implemented and reviewing the results of this implementation.

The diagram documents how high or low the product should be displayed on a shelf and which products should surround it. The resulting planogram is printed out as a visual, which is then used by the part-time helpers who are often hired to restock retail shelves and displays. This gives the executive management of a retail store or chain more control over how products are displayed and enables them to track and improve on the success of their planograms.

Planogram components are often included in large space planning and retail space management software applications. Sophisticated applications use other information about the product, such as the amount of inventory left for the product, to build the diagram.

Planogram software helps retailers manage inventory more efficiently. It enables them to create a visual representation of their store layout so they know where everything is located. The software works by taking into account factors such as customer flow, product placement and shelf space. The result is a visual representation of the ideal layout of the store.

The most common types of planograms include shelf plans, floor plans and aisle plans. Every kind of planogram has its own advantages and disadvantages. For example, an aisle plan might be easier to use than a floor plan because it doesn't require you to draw lines on the ground. However, a floor plan may be harder to read and understand.

It includes details regarding brands, product sizes, packaging specifications and shelving techniques, e.g., flat. For example, if a planogram requires products to face outward, it clearly states that information.

Planograms are usually divided into two sections: The left side lists all the departments that sell general merchandise, such as clothing. In contrast, the right side lists all the departments selling specific categories of merchandise, like toys) The department names are listed vertically down the page, and the category names are listed horizontally across the page.

When dealing with online stores, the first step in reading a planogram is determining whether the item sold is a product or a service. Products include things like food, furniture, electronics, etc., while services include things like haircuts, car repairs, etc.

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As a brand owner selling your retail product in brick and mortar stores, you may be familiar with the word planogram, sometimes referred to as POG. In the retail business, planogram is the term retailers use to describe the merchandising plan for the layout of the store.

The purpose of planograms is to help keep stores efficient. Smaller stores like boutiques, and local or gourmet shops use them to maximize their selling space. And most large retailers utilize them as well. According to an article on The Balance Small Business, the largest U.S. retail chains like Walmart, Costco, Kroger, and Target, use planograms in merchandising to create consistency between store locations, improve visual appeal, and promote product pairing suggestions. They can also help retailers determine how much inventory they will need for each product. There are numerous benefits of planograms. Here is an example of a planogram showing the layout of one set of shelves.

Knowing what planograms are and how they work can help you understand the part packaging plays in where things end up getting placed on the retail shelf. Since planograms help retailers maximize shelf space and draw consumers in, it makes sense that a more eye-catching, functional package could find its way to a more visible place on shelves.

Also, as you create your next package, consider how much shelf space your packaging is taking up. Boxes and jars can be bulky and take up more than their share of valuable shelf space. But if your product is sold in a stand up pouch, for example, it will fit nicely on the shelf and stand on its own. And since pouches take up less space on shelf than rigid containers, retailers can fit more of your product in the same space.

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As a retail store planogram illustrates the spaces allocated to each SKU, the complexity of the planogram can vary depending on your business size. Planogram examples can be as simple as a photo of a preset or be more detailed with numbered dowel holes and shelf notches showing the exact location of each item. Thus, you may come across many terms for this concept when reading about planogram definition for store management, including:

The ultimate goal of planograms for retail stores is to drive more sales. You can use planograms to place products throughout your store in a single layout strategically. From there, it increases the chances of customers viewing items and then purchasing. Also, when you leverage your planogram, it provides helpful insights like what items are selling well and where they should be located. Conversely, you can move other products to a more strategic location in the store or try out 15 retail window display ideas to boost in-store traffic and increase sales in 2022.

Planograms are especially useful for retailers or grocers with a wide range of products and categories from multiple vendors. For example, Walmart typically has 120,000 SKUs, and Target has 80,000 SKUs at a time. As a result, planograms are a source of data that helps you make better data-driven decisions.

For example, by looking at historical sales data and comparing that data with planogram flowcharts, you see which products are selling the most and where they are. You can do the same for slow-moving goods. Moreover, planograms allow your staff to view the product layout in the entire store and suggest creative changes to some corners in the room, such as encouraging impulse purchases in retail checkout counters by putting on a new design.

Many retailers use planograms and assume that their staff will execute them flawlessly. However, according to a study by Cognizant, more than 50% of product categories do not adhere to store planograms. The lack of compliance and poor execution cause millions of dollars in revenue each year. Here are 3 tips for retailers to get started with a planogram and improve it.

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