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Planogram Concept in Business

Planogram Concept in Business

NishanthApril 21, 2023

A planogram is a schematic drawing that shows your store's shelves and products. It is a diagram that demonstrates the placement of particular retail products on store shelves or display cases in order to increase the customer purchases.

A planogram (also known as schematics) is important in retail to maximize sales and minimize wasted space. Manufacturers will occasionally utilise planograms to propose the best way to showcase their products in retail spaces.  In addition, it allows us to better organise the layout of products and have more control of how each of them will be presented in our store before investing resources in physically making these changes. As a result, it helps to enhance sales and suppliers make sure that brands get enough space.
A well-designed planogram will show the best location for each stock-keeping unit (SKU) in your store. To properly organise such products, the employees must be able to read planograms.

In Business, Planograms are of different types,

    1. Horizontal / Vertical product placements
    2. Fast moving products placements
    3. Slow moving products placements
    4. Customised or selected products placements
    5. Product placement based on sales margin & commercial status in markets

Why Planogram is important?

Planogram is more useful and important in FMCG’s and retail sectors, since they must manage a huge number of products.

The benefits of Planogram are,

1. To drive maximum sales.

2. Promote cross-selling - allow strategic product placement from a cross-merchandising point of view.

3. Efficient and well organised inventory management.

4. Enhancing the shopping experience and customer happiness by location of their favourite products.

5. Maximise in-store space and visual merchandising displays.

A planogrammer can design the planograms based on the past & current analysing of sales.If a BI integrated ERP solution provides this planogram for a business, market growth will be significant. As a result, sales managers or marketing teams can easily create an planogram of different product categories and products. The schematic diagram will provided from the automated solution based on the configurations. The planograms can be designed based on fast moving products, slow moving products, commercial status based products, sales margins & customised products. The BI tool will provide planogram templates which include list of products where should be placed in store shelf locations to increase the visibility and customer purchase. Selected offer products can also arrange in shelfs and placed at front view of shops for direct view of walk-in customers. As a result, store planograms can increase your chances of success through strategic product positioning and increased product visibility.

By following this concept, our team has developed a planogram feature for ERP solutions.For your queries and support, please contact

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