Planogram software has become essential for retail businesses to stay competitive in today's retail environment by utilizing shelf space to promote products and generate sales. Planograms are visual merchandising tools, which help retailers plan and execute products on shelves to maximize space profitability. You can provide useful insights for increasing in-store sales by mapping each product to its precise display placement.

1. The 5 Biggest Mistakes Which can
Doom Your Retail Business

2. How visual merchandising can avoid common
pitfalls in retail?
• Provides useful insights for increasing
in-store sales by mapping each product
to its precise display placement.
• This helps retailers plan and execute
products on shelves to maximize space
profitability.

3. Mistakes to Avoid in Retail in Order to Boost Sales
Doing everything
manually
Over/underpricing
products
Not following
marketing trends –
being too niche
Poor in-store
inventory
management
Ignoring the
importance of
store layout

4. Doing everything manually
• Prior to the development of computers,
retailers used paper planograms to
organize and plan their store shelves.
• This resulted in serious consequences
such as labor inefficiency, unsatisfied
shoppers, poor profitability, unorganized
shelf system, and more.
• Using a cloud-based planogram in a store
can execute shelf management processes
properly.

5. Over/underpricing products
• Mismanagement of product pricing has encouraged
shoppers to demand products at prices that stores simply
cannot afford.
• Retailers can avoid such errors by planning the product
execution using planogram strategies.
• This makes it possible for retailers of every size to entice
customers, understand their buying behavior, and maximize
their profits on every sale.

6. Not following marketing trends – being too niche
Most retailers stock the store
with niche goods that they love.
This approach will lead the
store to target a segment of the
market which is very narrow.
For example, if you are a sports
goods retailer that only sells
tennis rackets, which may be
too niche for your market
segment.
To entice people, your shop
would need to sell other sports
items and draw people who do
not only play tennis. This
means placing balls, bats or
shoes for other target athletes.

7. Poor in-store inventory management
Planograms can help
retailers in proper
assortment planning by
guiding retailers in
purchasing the right amount
of stock for the retail store.
When it becomes excess
inventory, cross-
merchandising them with
other best-selling products
can make shoppers
purchase.
Ensure days of supply
analysis to understand the
number of days a product is
expected to last before it is
restocked.
This allows retailers to
reduce out of stock and
prevent shoppers from
visiting other stores.

8. Ignoring the
importance of store
layout
• You need to design store layouts to
create first impressions on your
customers.
• Your store’s window displays should be
compelling to shoppers and tell a story.
For example, if it is Back-to-School
season, then you could display items
about kids preparing to head back to
school.
• Placing end cap displays or sidekick
displays in a store can get the attention
of the shoppers as they browse the
aisle.

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