You’re wanting a new front-end look and are designing your checkout. When does it make sense to bring in a supplier to help?
Recently, a large retailer, based upon what they were hearing in the marketplace and on the advice of some interested parties, decided to change up their front-end checkout units. The result was an aesthetic look that didn’t quite turn out like they had hoped in terms of ensuring the space was productive.
The Retailer's Objective
The objective was to add Healthy Grab and Go Snacks to the checkout assortment. The original design reduced one of the most profitable impulse categories from both sides of the checkout lane to only one side (shoppers' right). The premium space on the shoppers' left was replaced with healthy snacking options.
profit Results were concerning
Initial results were evaluated, and it became apparent that they had perhaps, been too aggressive in their space reduction for the highly profitable impulse products. The result would have been a significant profit loss to the company had they left it.
TNG’s FEM team designed a solution that reinstated pockets for the profitable impulse product placement within the same space parameters. WIN, WIN. A quick turnaround of design, approval, build and execution has minimized a good portion of the effect of the space loss. WIN, WIN, WIN!
Not only was the design innovative, the change over to the higher performing racking was done quickly and efficiently, thereby even further minimizing that profit loss. Over 2000 stores were reset in 7 weeks. This process included manufacturing, delivering, resetting the racks, changing out the products on the racks and taking away the old. When you think of everything involved, you can imagine the coordination required to get a large job like this done.
Want to learn more about how we did it? Contact us. An even better solution is to get us involved at the outset. We have the ability to do analysis of your data. Using your data, not just using averages, the design of your program would maximize profitability per store. We can then design racks based upon clusters that appeal to the various demographic segments for your retail environment.
Contact us for a no obligation consultation.