In retail, a planogram is a schematic model used by brick-and-mortar stores. Planograms create a visual representation of the store’s product placement based on where they may sell the best and where they might have a bigger chance to trigger the shopper’s intention to make a purchase (eye-level placement for particular items, endcap displays, highlighting limited-time offers, etc).
Planograms, also known as plan-o-grams, POGs, shelf space plans, or simply plans, represent visual merchandising tools that help retailers optimize the arrangement and placements of merchandise within a store. It usually covers these aspects:
Planograms are important for retailers who want to optimize the use of their retail space. POGs can be used to enhance the consumer’s shopping experience by strategically putting products in places where customers are more likely to see them, increasing sales and improving customer flow in the store. By acting as a blueprint for stock allocation, this schematic model reduces inventory costs by ensuring that the right amount of stock is placed on the shelves. Planograms even contribute to creating a more visually appealing store environment, aligning with their promotions planning, optimization, and targeting efforts to make discounted merchandise look better and more accessible to shoppers.
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