In today’s retail world, it is difficult to maximize the store’s performance and look for every single detail of efficiency. Since they operate business on a low margin at first, they need to look for better ways to boost their revenue by 5% on average with planograms. Planograms are visual merchandising tools, which allow retailers to analyze the shelf space for an assortment of items and identify how much space they need to place new products on shelves efficiently.

1. Six Reasons Why
Visual Merchandising
is Good for Retail
Business

2. Why Visual Merchandising is Good for Retail Stores?
In today’s retail world, it is
difficult to maximize the
store’s performance and look
for every single detail of
efficiency.
Since they operate business
on a low margin at first, they
need to look for better ways
to boost their revenue by 5%
on average with planograms.
It allows retailers to analyze
the shelf space for an
assortment of items and
identify how much space they
need to place new products
on shelves efficiently.

3. Six Reasons Why Planogramming Helps Boosting
Store Sales
Improves space
elasticity demand
Understand
customer needs
and shopping
behavior
Increase visual
appeal of items
Help to improve
stock control
Help to boost store
sales per square
meter
Enhances impulse
purchases with
cross-selling

4. Improves space elasticity demand
Planogram helps with space elasticity demand. It makes sure to ensure
that the popular and profitable items of your store get maximum shelf
space.
If you are using Nexgen POG software, you can use the days of supply
analysis and retail data to ensure that the right products are available
at the right time and in the right quantity.

5. Understand customer needs and shopping behavior
Retailers can consider consumer decisions tree to build a planogram to create an
enticing shopping experience for the shoppers.
For example, a planogram can be merchandised according to how shoppers prefer to
shop in your store and in which category and all. If you fail to do so, it causes
shoppers to find it too difficult to locate items, and this makes shopping frustrating.
If you use the category of cosmetic items, you must categorize it appropriately, and
you can divide it into sub-categories or segments. It includes products that fall under
hair, skin, face, or other categories to visually appeal shoppers.

6. Increase visual appeal
of items
• It is true that manufacturers put a lot of
effort into product packaging, which
includes multiple colors, shapes, sizes, and
textures. While placing items on retail
shelves, it must be visually appealing to the
shoppers.
• With planograms, retailers can improve the
store aesthetics and draw shopper’s
attention to specific areas to boost store
sales effortlessly.

7. Help to improve stock
control
• Not having control of your stock can result in
multiple challenges for your retail business.
• Planograms can help in analyzing how long the
products have been on the shelf, current number
of facings, shelf space shared by each category
and more.
• By looking at the retail data, retailers can identify
poor performing items, and this results in
relocating such items for cross-selling to avoid
replenishment costs.

8. Help to boost store sales per square meter
• When placing products on a planogram,
retailers can increase the number of
facings of a given line in aisles based on its
sales performance.
• Meanwhile, you can decrease the low-
performing items with new items for
better exposure of your stock to boost
sales.

9. Enhances impulse
purchases with cross-
selling
• Customers may visit your store with the
intention of buying pre-determined items off
their shopping list. This is where you can
place complementary items next to each
other to make them end up with unplanned
purchases.
• This results in increased shopping experience
and boosts your sales.

10. Use Nexgen POG to effectively plan and
execute retail store shelves to improve sales.
www.nexgenus.com sales@nexgenus.com