THE RETAIL SPACE PARADOX: More is better? Let's look at Nestle's KitKat POSM Assets in the same standalone MT store: 1) A small hanging unit (left) can yield better and more consistent visibility with minimal stock (a single bar gives an illusion of completeness). 2) A large standing unit (right) might be difficult to stock fully, leading to inconsistent brand display as other brands are happy to use that extra space. More Space = More Responsibility to stock it well. #kitkat #nestle #retail #marketing #sales
Gives me an idea on something I noticed today. Will post about it soon.
we find too many confectionery at exit points, good ....not sure if cash / exit points deliberately delay to sell more confectionery....to ponder about secondly very many malls are poorly or unprofessionally organized ,with poor display overhead to indicate section below ,and poor direction in big mall and emergency exit points thanks to e commerce now ..I can select and delete at our free time ,and get it home delivered ...no need to stand in big queues with poor accounting personnel ,justling with bad consumer crowd with no queue sense
While utilizing FSU space take the hot spot and share others too in line with shop keeper. This way we can optimize usage of our assets.
More space also provides greater visibility. Both assets serve unique purposes and add value in their respective contexts. FSUs tend to be more effectively managed in MT stores compared to SAMT stores, given the structured operations and merchandising standards in MT. This distinction is one reason why many leading brands continue to classify SAMT stores within the unorganized trade segment. The strategic placement of the right POSM at the right location plays a pivotal role in enhancing visibility and driving sales. However, maintaining this consistency largely relies on the collaboration between store owners and the efforts of field representatives or merchandisers, which may have its limitations. Ensuring stock availability aligned with the requirements of the FSU, coupled with timely and efficient replenishment, can significantly address this issue and improve overall display effectiveness.
Interesting
So true, I can't decide if maintaining Asset hygiene is the Sales Rep's fault or the store owners'...looking at the size of the asset is a new perspective! Interesting!
small but have a huge impact!! very well explained!
Senior Sales Manager @ Perfetti Van Melle Ex: Kraft Heinz || Nivea || Reckitt || Nestle
21hNeil Poddar Both the assets/POSM have different roles to play inside the store for capturing different shoppers attention. The assets have been deployed basis the shoppers physiology or behaviour. The small compact unit is/are called “Parasites” and are deployed/executed outside the category (In this, the same is executed in the biscuits/cookies category) inorder to capture the share of mind or attention of the shoppers navigating through the aisle/category since chocolates purchases are mostly IMPULSE in nature. The other large stand or Floor unit is/are called “FSUs- Floor Stand Units” and are deployed/executed just at the end of parent category or at such junctions where there is/are HOT Zones of the stores with highest shopper’s traffic and eyepoints. There is a proven science of shopper behaviour study and all such locations inside the stores are logically selected by shopper marketing team basis the message/communication which they want to flow to the end shoppers. Now, the concern which u have highlighted is mostly related to poorly merchandising of both the units without proper planogram adherence and not with the type of assets/POSMs. Both type of assets have very different roles to play & cater different shoppers.