Planogram
A planogram is a visual representation of item placement on shelves or similar retail spaces. In English-speaking countries, the term POG (= plano-gram or plan-o-gram) is also used for this. Planograms are used in all retail areas.
With the help of planograms it is determined which products are placed where and in what quantities on which shelves. The rules and theories for creating planograms can be summarized under the term “ merchandising ”.
Primary goals
Primary goals to be achieved with the help of planograms:
- Creation of optimal visual product placements
- Creation of optimal commercial product placements as part of shelf optimization
In summary, the primary goals can be described with the desire to increase sales and earnings. Visual product placement optimization is supported by various theories:
- Horizontal placement: In order to direct the customer's concentration on a certain article, attempts are made to increase attention by placing the article horizontally next to each other. Various research has shown that a minimum placement of 12 inches is required to achieve success.
- Vertical placement: With vertical product placement, a product is placed over several shelf levels until the 30 cm rule is reached.
- Block formation: Block placement is the placement of a block of several products that have similarities (brands). This can be done next to each other, one below the other, centered or flush.
In addition to the visual product placement, the "commercial placement" is another essential aspect of the development of planograms: it is about the selection of which products should be placed and in what quantity. A distinction must be made between two decision factors, which can also be combined with one another:
- Market share placement and
- Return placement
A market share placement is to be understood as a placement of the sales generator. Various market research institutes such as B. ACNielsen , IMS, GfK collect sales data and thus calculate the market share of a product in the respective market segment. With the help of such data, products can be specified which should be placed on the shelves in "A" positions (best position). An evaluation from a group of markets should be aimed for, but a simple analysis of the respective sales data of a market or shop is in a certain sense “better than nothing”.
A return placement refers to the margins that can be achieved by a product. The higher the margin, the better to choose the location of the placement.
Secondary goals
Secondary goals when creating planograms are:
- optimal use of the available space
- organizational implementation of product placement for staff
- Possibility to plan the inventory through sales calculations
Creation of planograms
Planograms are created with the help of planogram and shelf optimization software. There are only a few manufacturers of such software worldwide, which is also reflected in the high software costs. Software products of this type were developed and marketed from around 1990. Due to hardware and software restrictions at the time, these programs initially concentrated mainly on the manual drawing of individual shelves.
Over the past few years, the programs have been further developed and equipped with additional functions in order to visualize, evaluate and optimize not just individual shelf elements but entire market areas. The various program packages (Galleria, Spaceman, Apollo, Intactix, ProSpace, XPACE, Quant) each have their own focus (e.g. food, non-food, do-it-yourself) or strive to improve the 3D visualization or a Increased efficiency in the creation and distribution of planograms. A database connection to merchandise management and ERP systems ensures that the data used in planning is up to date.
Smaller software packages that are more to be understood as drawing programs (Planographics, Smartdraw) can be acquired inexpensively.
right
Planogramm has been registered as a word mark at the German Patent and Trademark Office since August 31, 2005 under the registration number 30551961. Rights holder is COM-MarketingService GmbH, Nümbrecht, Germany