Sometimes your sales are down, customers attention are falling, and everything goes wrong with your retail business. To remain competitive, retailers need to assess product ranges in line with customers' needs. That is why product range review is an important tool to maximize your sales and improve profitability.
What is Product Range Review?
It is the logical understanding of products in a retailer’s range per cluster. This helps to evaluate the performance of each product against the performance of the total range.
The product you stock can decide the success of your store. But how? For one, if the retailer stocks the wrong items, it can displease customers and lead to fewer customers visiting the store. This will result in losing customers and a drop in sales. This can be reduced by a detailed product range review with the help of planogram software. Planograms help to evaluate the performance of in-store products with past retail sales data that can have an impact on retail sales. This helps retailers to get a better understanding of visual representations of what the store fixtures will look like to please customers. Retailers can also improve sales by changing the number of listings and facings of products on shelves with market trends and customer needs. A retailer can complete the analysis of product range review for his retail store, by considering the following points:
- Retail data: While reviewing the product range, a retailer should choose the relevant retail data. For instance, retailers can consider previous sales data of products to compare the growth of their business. This helps to track product performance and make better decisions.
- Category hierarchy: While considering the category-wise products, the retailer needs to structure the range within a level of hierarchy. This will help to analyze what products fall within each sub-category and satisfy the shopper’s needs.
- Category strategy: It helps to determine the type of specific group of products that can be implemented in the store to drive sales.
Planogram Factors to Understand When to Review the Product Range?
- Consider seasonality: Knowing the seasonality will help retailers to determine how many times to review your range a year. For instance, if you are an apparel retailer, you will sell more sweaters during winter than you will during summer. Therefore, a retailer needs to review the product range as seasons change or new trends appear.
- Category role: It is the role, which your product range reflects in a retail store. For instance, if a retailer is given a seasonal role, the retailer needs to analyze how your range covers customer needs during a particular season. Also, during the rest of the year, a retailer can eliminate your range and provide enough space for other category products on shelves.
Overview of Nexgen POG
Nexgen POG is a cloud-based, powerful category management software for visual merchandising. It provides the retailer with a detailed assortment optimized planogram for better shelf planning. Planogram also helps to identify consumer insights with planogram report analysis and retail data. It comes with an array of features, including customizable templates, bulk upload images, easy compliance, report generation and much more. Its interface is extremely user-friendly, and planograms can be designed by easily dragging and dropping the products. Nexgen POG is a cost-efficient planogramming tool, designed for creating store-specific planograms.
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