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STORE MANAGEMENT
FLE
BY BILL WILSON, RETAIL ADVISOR, NRHA CANADA
MAXIMIZING
YOUR SALES
BY MERCHANDISING EFFICIENTLY
Are you optimizing your sales in every square foot of your store?
I
once encountered a retailer who
wanted to create a more open,
visual appearance in his store, but
was concerned about shoplifting. He made
the decision to lower the height of his store’s
gondolas. But this change required not only
reducing product on display, it resulted in
fewer facings, less shelf space for products,
and lower SKUs. The visual appearance of
the store was brighter, it was easier to see
throughout the whole store, but sales per
square foot fell dramatically. After a year,
he decided to remerchandise again to regain
that space and product, but getting back the
customers he lost when he had cut back his
products took time.
It’s a fine balance to find the right merchandising
set-up that doesn’t sacrifice sales
for shrinkage. But it’s not impossible.
To maximize square-foot sales, you
need to make maximum use of the cube
while still maintaining what your customers
expect from your store: good lighting,
open aisles, and good traffic flow. Today,
most stores are using five- or six-foot aisle
46 SECOND QUARTER / 2017
Hardlines Home Improvement Quarterly
www.hardlines.ca