Planogram is the visual representation, a diagram that draws the location of stalls and shelves in a retail store. It generally corresponds to a stripe or a linear displayed from the front, but it can also be visible in 3D if you use a computer. In terms of distribution, planograms are often developed by the merchandising department and used by the in-store agents. They are created with merchandising software and image databases. On the other hands, it is important to communicate the meaningful patterns in data, analyze and interpret them correctly. The real point of retail analytics is to have better insights on every aspect of your shelf space planning.

Planogramming: Why Talk about Analytics?

The answer to that question is that without date, there is no planogram. It is as simple as that! You have to know that the way you put every product in a specific shelf of your store always has an impact on your sales figure. Thus, your merchandise placement strategy requires accurate and efficient space planning. The fact is this type of operation can be difficult and consume your time but you will see that it is worth the while. There are several parameters which need to be considered thoughtfully. Anyway, the greatest advantage of planogram analytics is that it allows you to know precisely where in the store a specific product is best sold and to improve your marketing solution to increase your sales in general.

Retail Analytics Simplify the Planogramming

Retail analytics make the space planning process simpler in order to maximize your sales. It will make every step of the planogramming easier. First of all, it will facilitate your shelf performance analysis because having all the data is the best way to determine the performance of a product or category. Eventually, your sales figure will increase because you will be able to allow more space to the right products and less spot to the least performing goods. Besides, retail planogram analytics will make you understand which is the best method to adopt for your shelf replenishment. Once you know which products are most in demand thanks to the data analysis, it will be easy for you to choose the right place for each product.

But retails analytics are not only crucial to shelf replenishment, it is also essential for the stock replenishment. As you might already know, stock has to be continually filled so that your shelves never run out of all the products that the consumers expect to find and purchase in your store. It is crucial to avoid any out-of-stock situation. Otherwise, your clients can move to a competitor and never come back to your store again. Meanwhile, every space planner and professional in charge of the planogramming needs to update their database with new information about the retail sales. The main goal is to create planograms that match the reality. That is the unique way to improve your management in retail and ramp up your product performance. Clearly, retail analytics allow to update planograms with new sales data.