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The Principles of Supermarket Product Placement

The Principles of Supermarket Product Placement

The reason you buy so much at the grocery is due to design.

The way consumers shop in the grocery store often goes beyond getting exactly and only what they need. Typically, two-thirds of what people end up buying is not what they intended to buy at all. There is actually a good reason for this. The design of a supermarket, small grocery store, or convenience store has to do with just that: how to get the consumer to consume more. This has everything to do with the principles designers, marketers, and the sales team use concerning product placement.

Block Placement

Block placement is the grouping together of related products in the same area. Whether looking vertically or horizontally, one would be able to see that someone looking for one item may very well buy the product next to it. For example, if someone is buying paper plates, paper cups and plastic utensils might be something the buyer would also need to get.

Vertical Placement

Vertical placement has a science and art all its own. Looking at one column of products in any grocery store, one can start to see a pattern. “Eye-level is buy-level.” While best sellers are placed on the top-middle, or “eye-level” shelf, pricier items are often located higher up. Below eye-level shelving are products more geared towards the kids, at their eye-level. Below that tend to be the lowest-priced or bulk items.

Commercial Placement

If marketers perceive certain items as having a higher value, they will place them at a more desirable location than other items. The eye-level shelves and end cap units are typically the best locations for products to get seen. 

Margin Placement

In margin placement, the placement of goods depends on how well each product sells after expenses are subtracted from the total income. The more profit an item gives the retailer, the better shelf position it will get.

Market Share Placement

In market share placement, revenue determines product placement. Depending on how much certain items bring in, without subtracting expenses, those items get a more prominent location.

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This entry was posted on Tuesday, August 6th, 2019 at 4:32 pm. Both comments and pings are currently closed.