Display guidelines

🎓 Definition

The display guidelines define the main rules products should be displayed on the shelf. Always articulated following the customer flow, it comprises:

• Horizontal order of display
• Vertical order of display
• Pack Size positioning
• Price level positioning
• Number of SKUs

🧪 Example of Display guidelines

Here is an example of how a Retailer might display the Cereal category on a shelf:

• The most popular brands of cereal, such as Cheerios, Frosted Flakes, and Rice Krispies, would be displayed in the center of the shelf.
• The less popular brands of cereal, such as Kix, Special K, and Grape-Nuts, would be displayed on the ends of the shelf.
• The largest packages of cereal, such as the 18-ounce boxes of Cheerios and Frosted Flakes, would be displayed at the bottom of the shelf.
• The smaller packages of cereal, such as the 10-ounce boxes of Kix and Special K, would be displayed towards the top of the shelf.
• The most expensive cereals, such as organic cereals, and the cereals with special features, such as granola bars or fruit-filled cereals, would be displayed at eye level.
• The less expensive cereals, such as the plain cereals and the cereals with the most basic features, would be displayed lower on the shelf.
• The Retailer would only display a few SKUs of each brand of cereal, such as the most popular flavor and the most popular pack size.

This is just one example of how a Retailer might display a category on a shelf. The specific guidelines that a Retailer follows will vary depending on the Retailer's goals and the specific products that they are selling.

❓What is used for

1. By following display guidelines, Retailers can ensure that their products are displayed in a way that is easy for customers to see and find. This can lead to increased sales as customers are more likely to buy products that they can see.
2. By placing products in strategic locations, Retailers can encourage customers to walk through the entire store and see all of the products that are available.
3. Creating a positive shopping experience for customers. By displaying products in a clean, organized, and attractive way, Retailers can make their stores more inviting and enjoyable for customers to shop in.
4. To inspire customers and increase basket value. Because the layout of the products in your Retailer can have a significant effect on the cross-selling technique, also referred to as Cross-merchandising. So, they can show the customer what they want and suggest products that they need.
5. Every single element in retail space helps contribute to brand image. It's not only selling the products but also decoration, atmosphere, and experience that all play a pivotal role in generating sales too.

How are display guidelines determined or established by Retailers?

Retailers typically establish their display guidelines based on a combination of factors. This might include conducting consumer behavior studies, analyzing sales data, and observing shopping patterns within their stores. Some Retailers may also collaborate with product manufacturers to understand product packaging and branding strategies. Additionally, Retailers may consider the physical layout of their stores, available shelf space, and the overall store design when determining display guidelines. The aim is to create a layout that is both visually appealing and functional, ensuring that products are displayed in a way that maximizes visibility and encourages purchases.

Are there any industry standards or best practices for creating effective display guidelines?

While there may not be strict industry standards, there are certainly recognized best practices that Retailers often follow when creating effective display guidelines. These best practices are often informed by retail industry research, consumer behavior studies, and successful case studies from leading Retailers. Key principles might include prioritizing popular or high-margin products in prime display locations, organizing products in a logical and easy-to-navigate manner, and incorporating cross-merchandising techniques to encourage additional purchases. Retailers may also consider seasonal trends, promotional campaigns, and new product launches when developing their display strategies.

How often should Retailers update their display guidelines?

The frequency with which Retailers should update their display guidelines can vary based on several factors, including changing consumer preferences, market trends, and inventory turnover rates. In general, Retailers should aim to review and update their display guidelines regularly to ensure they remain relevant and effective. This might involve conducting periodic store audits, analyzing sales data, and seeking feedback from both employees and customers. Retailers should also consider updating their display guidelines in response to seasonal changes, promotional events, or the introduction of new products to ensure their stores continue to offer a positive shopping experience and maximize sales potential.