Plano-gram(Lee store Jaipur)

& Visual Merchandising

Submitted to Submitted By

Prof. Ruchika Adarsh singh

FMS Arun Solanki

Dixit Verma

Sachin Kumar

Rakesh Kumar

M.F.M II

“Shopper found dead in local store; cause of death

– boredom”

Stanley Marcus, Chairman-Emeritus, Neiman Marcus

No other variable in the retailing mix influences the consumer’s initial perceptions

of a bricks & mortar retailer as much as the store itself.

The store is “where the action is” and includes such minor details as the placement

of the merchandise.

Objectives of the Store Environment

• Get customers into the store (store image)

– Serves a critical role in the store selection process

– Important criteria include cleanliness, labeled prices, accurate and

pleasant checkout clerks, and well-stocked shelves

– The store itself makes the most significant and last impression

• Once they are inside the store, convert them into customers buying

merchandise (space productivity)

– The more merchandise customers are exposed to that is presented in an

orderly manner, the more they tend to buy

– Retailers focusing more attention on in-store marketing – marketing

dollars spent in the store, in the form of store design, merchandise

presentation, visual displays, and in-store promotions, should lead to

greater sales and profits (bottom line: it is easier to get a consumer in

your store to buy more merchandise than planned than to get a new

consumer to come into your store)

Objectives of Good Store Design

• Design should:

– be consistent with image and strategy

– positively influence consumer behavior

– consider costs versus value

– be flexible

– recognize the needs of the disabled – The Americans with Disabilities

Act

Types of Floor Space in Store

• Back Room – receiving area, stockroom

– Department stores (50%)

– Small specialty and convenience stores (10%)

– General merchandise stores (15-20%)

• Offices and Other Functional Space – employee break room, store offices, cash

office, restrooms

• Aisles, Service Areas and Other Non-Selling Areas

– Moving shoppers through the store, dressing rooms, layaway areas,

service desks, customer service facilities

• Merchandise Space

– Floor

– Wall

Plano-gram

A planogram is a diagram that shows how and where specific retail products should

be placed on retail shelves or displays in order to increase customer purchases.

Planogramming is a skill used in merchandising and retail space planning. A person

with this skill is be referred to as a planogrammer. Planograms themselves are also

referred to as POGs.

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.

About Planograms Understanding the Retail Planogram

The planogram is a visual diagram, or drawing, that provides in detail where

every product in a retail store should be placed. These schematics not only

present a flow chart for the particular merchandise departments within a store

layout but also show on which aisle and on what shelf an item is located. A

planogram should also illustrate how many facings are allocated for each SKU.

The complexity of a planogram may vary by the size of the store, the software

used to create the planogram and the need of the retailer. Planograms can be as

simple as a photo of a preset section or more detailed with numbered peg holes

and shelf notches showing exact placement of each item.

Creation of Planograms

Big box stores and larger retailers typically hire merchandising specialists to

assist in developing planograms or they may have their own in-house

planogrammers. Due to the hefty price tag of most planogram software, small

and independent retailers often resort to using word processors or paper and

pen to optimize shelf layout.

As competition increases, we're seeing vendors and distributors becoming

more aware of the importance of correctly merchandising their products. That

awareness is leading to better point-of-sale displays, planograms and other

marketing aids provided to retailers directly from the suppliers at no cost.

Planogram Purpose

Any good retailer realizes the key to increased sales is through proper

merchandising. A planogram is one of the best merchandising tools for presenting

products to the customer. If you aren't using planograms, it may be time to start.

• Product placement and improved sales are just two very basic reasons a retailer

should be implementing planograms in their shops. Planograms provide many

other positive benefits, such as:

• Assigned selling potential to every square foot of space

• Satisfying customers with a better visual appeal

• Tighter inventory control and reduction of out-of-stocks

• Easier product replenishment for staff

• Better related product positioning

• Effective communication tool for staff-produced displays

Planogram layout

A planogram is a visual description, diagram or drawing of a store's

layout to include placement of particular products and product

categories. In order to optimize shelf layout and receive a return on

investment, the planogram should be properly executed and

maintained by staff.

Here's How

• Plan plenty of time to setup a new planogram without interruption.

• Gather cleaning supplies, additional shelving, peg hooks, signage, product,

planograms and any other items needed to begin working. Take these items to

the workspace.

• Each new planogram should begin with a good cleaning of the shelves and

fixtures. Don't forget the base.

• Using the planogram, begin setting shelving and peg hooks in the required

location. We read planograms from left to right. Shelves should be worked

from bottom to top, left to right. Pegs should be worked from top to bottom,

left to right.

• If necessary, use the actual product to help determine the exact distance needed

between each facing and/or each SKU.

• Once the planogram is set, fill each space with the correct product. Additional

merchandise should be kept in the stock room as overstock.

• Create current shelf labels, signage and any other pricing needed for the newly

set section.

Planograms for retail

• Planograms differ significantly by retail sector. Fast-moving consumer goods

organizations and supermarkets largely use text and box based planograms that

optimize shelf space, inventory turns, and profit margins. Apparel brands and

retailers are more focused on presentation and use pictorial planograms that

illustrate "the look" and also identify each product

Best Practices

Identify the purpose. Decide what you are making the planogram for, whether

for a store or for your home. Also, decide what will be going on the shelves or

display you are outlining.

Set the scene. Begin by drawing the backdrop, the display case or shelf that the

items are to go on. Draw it as accurately as possible so it can be used literally as

instructions for organizing your shelves.

Organize the items. Decide where you want the products or items to go using

shapes that share the actual items dimensions and form. Experiment with different

ways of arranging the objects so that they fit as best as possible and will be easily

seen.

Add visuals. Although optional, using pictorial representations of the objects will

give you the complete feel of what you've arranged. It will also allow anyone you

share it with to imagine the display.

Use it. Now that you've completed your planogram, use the diagram to create the

life size display. Since all of your dimensions are accurate, you should not have to

worry about whether or not everything will fit as you envisioned it; you know it

will all fit together perfectly.

Location of Departments

• Relative location advantages

• Impulse products

• Demand/destination areas

• Seasonal needs

• Physical characteristics of merchandise

• Adjacent departments

Feature Areas

• The areas within a store designed to get the customer’s attention which

include:

– End caps – displays located at the end of the aisles

– Promotional aisle/area

– Freestanding fixtures

– Windows

– Walls

– Point-of-sale (POS) displays/areas

Fixture Types

• Straight Rack – long pipe suspended

with supports to the floor or attached to

a wall

• Gondola – large base with a vertical

spine or wall fitted with sockets or

notches into which a variety of shelves,

peg hooks, bins, baskets and other

hardware can be inserted.

• Four-way Fixture – two crossbars that

sit perpendicular to each other on a

pedestal

• Round Rack – round fixture that sits on

pedestal

• Other common fixtures: tables, large

bins, flat-based decks

Fixture Types

• Wall Fixtures

– To make store’s wall

merchandisable, wall usually

covered with a skin that is fitted with

vertical columns of notches similar

to those on a gondola, into which a

variety of hardware can be inserted

– Can be merchandised much higher

than floor fixtures (max of 42” on

floor for round racks on wall can be

as high as 72”

Merchandise Display Planning

• Shelving – flexible, easy to maintain

• Hanging

• Pegging – small rods inserted into gondolas or wall systems – can be labor

intensive to display/maintain but gives neat/orderly appearance

• Folding – for softlines can be folded and stacked on shelves or tables - creates

high fashion image

• Stacking – for large hardlines can be stacked on shelves, base decks of

gondolas or flats – easy to maintain and gives image of high volume and low

price

• Dumping – large quantities of small merchandise can be dumped into baskets

or bins – highly effective for softlines (socks, wash cloths) or hardlines

(batteries, candy, grocery products) – creates high volume, low cost image

Three Psychological Factors to Consider in Merchandising Stores

• Value/fashion image

– Trendy, exclusive, pricy vs. value-oriented

• Angles and Sightlines

– Customers view store at 45 degree angles from the path they travel as

they move through the store

– Most stores set up at right angles because it’s easier and consumes less

space

• Vertical color blocking

– Merchandise should be displayed in vertical bands of color wherever

possible – will be viewed as rainbow of colors if each item displayed

vertically by color

– Creates strong visual effect that shoppers are exposed to more

merchandise (which increases sales)

POS Displays

• Assortment display – open and

closed assortment

• Theme-setting display

• Ensemble display

• Rack display

• Case display

• Cut case

• Dump bin

Visual Merchandising

• The artistic display of merchandise and theatrical props used as scene-setting

decoration in the store

• Several key characteristics

– Not associated with shop-able fixture but located as a focal point or other

area remote from the on-shelf merchandising (and perhaps out of the

reach of customers)

– Use of props and elements in addition to merchandise – visuals don’t

always include merchandise; may just be interesting display of items

related to merchandise or to mood retailer wishes to create

– Visuals should incorporate relevant merchandise to be most effective

– Retailers should make sure displays don’t create walls that make it

difficult for shoppers to reach other areas of the store

Storefront Design

• Storefronts must:

– Clearly identify the name and general nature of the store

– Give some hint as to the merchandise inside

– Includes all exterior signage

– In many cases includes store windows – an advertising medium for the

store – window displays should be changed often, be fun/exciting, and

reflect merchandise offered inside

Atmospherics

• The design of an environment via:

– visual communications

– lighting

– color

– sound

– scent

to stimulate customers’ perceptual and emotional responses and ultimately

influence their purchase behavior

Visual Communications

• Name, logo and retail identity

• Institutional signage

• Directional, departmental and category signage

• Point-of-Sale (POS) Signage

• Lifestyle Graphics

Visual Communications

• Coordinate signs and graphics with store’s image

• Inform the customer

• Use signs and graphics as props

• Keep signs and graphics fresh

• Limit sign copy

• Use appropriate typefaces on signs

• Create theatrical effects

Lighting

• Important but often overlooked element in successful store design

– Highlight merchandise

– Capture a mood

– Level of light can make a difference

• Blockbuster

• Fashion Departments

Color

• Can influence behavior

– Warm colors increase blood pressure, respiratory rate and other

physiological responses – attract customers and gain attention but can

also be distracting

– Cool colors are relaxing, peaceful, calm and pleasant – effective for

retailers selling anxiety-causing products

Sound & Scent

• Sound

– Music viewed as valuable marketing tool

– Often customized to customer demographics - AIE

– Can use volume and tempo for crowd control

• Scent

– Smell has a large impact on our emotions

– Victoria Secret, The Magic Kingdom, The Knot Shop

– Can be administered through time release atomizers or via fragrance-

soaked pellets placed on light fixtures