Retail Space Utilization Insights From Top Brands

“𝗪𝗲 𝗷𝘂𝘀𝘁 𝗱𝗼𝗻’𝘁 𝗵𝗮𝘃𝗲 𝗲𝗻𝗼𝘂𝗴𝗵 𝘀𝗽𝗮𝗰𝗲.” How many times have you heard this from buyers?  It’s hard to argue with because we all know they are presented more items each category review than would fit in the section. There are so many factors that go into category decisions, but ultimately, it does come down to space. There is a defined space for the section they’re reviewing and only so many items can fit within that section. Also, buyers are held to merchandising, pack-out, and days of supply standards that aren’t apparent when you’re just looking at the shelf. So how do you avoid this answer from your buyer? Efficiency! At Publix, I was known to put more items into a set than most and there were some key factors I would look for: • Item Dimensions: How efficiently do your items use the space? Trader Joe Coloumbe took a ruler to most items presented in their early days. Everyone wants a brand block, but if I can fit 4 of your items where only 2 of your competitor will fit, you have an advantage. • Height of the product plays a factor too. If your product is short enough to stack on a standard shelf set, that could be an advantage. • Pack-out: Another component of efficiency is pack-out, or how many items will fit within the space allocated. Publix requires that more than 1 case will fit on shelf in the space allocated for a product. • Case Pack: Your case pack affects pack-out. Larger case packs means the buyer needs to allocate more facings to fit a case of your product on shelf. If you have an option, look for smaller case packs. Obviously, velocity is the most important metric in efficiency but you have to get on the shelf before you can prove that out. That’s why item dimensions, case pack, and pack out are so important. They’re concrete measures while the buyers hear a lot of conjecture in category review meetings. Being able to speak to these metrics will put you at an advantage to other brands presenting. Go measure the shelf depth at your retailer (At Publix, they’re typically 18” or 22”) and figure out how many facings/inches you need. How efficient will your products be in that space? Have more questions about this? Feel free to reach out. #categoryreview #cpg #cpgfounder #grocery #buyer #planogram

Retailers are sitting on a goldmine of data— but are they using it right? Retailers have more customer data than ever now. The question isn’t how to get insights— it’s how to apply them strategically. Sephora and Coach are proving that when retailers merge data with design, they don’t just tweak store layouts— they transform the customer experience. 🔹 Sephora’s insight? Customers hated getting their makeup done in the front window. Not exactly shocking in hindsight, but it led to a complete redesign of Beauty Studios— resulting in better customer engagement and increased sales. 🔹 Coach applies a ‘70-20-10’ model to store innovation, ensuring bold ideas (like branded cafés and immersive activations) ladder up to business strategy. The takeaway? Innovation works best when it’s structured, not random. 💡 The real opportunity for retailers isn’t in gathering more data— it’s in operationalizing it. Store design isn’t just about aesthetics— it’s a business lever that drives traffic, conversion, and loyalty. Retailers that act on insights instead of just collecting them will be the ones that win. How is your company bridging the gap between data and action? 🔗 Great piece here from Alicia Esposito: https://lnkd.in/geJv4NXa #RetailDesign #CX #DataDrivenDesign #RetailInnovation #TechInRetail #ConsumerInsights * Images from Handout and Coach

I love seeing brands that are absolutely crushing it with brick-and-mortar. Case in point - Rothy's reported 17% revenue growth, with same-store sales jumping 20%. How did they get there? 1️⃣ They approach physical spaces with the same data-driven mindset they use with e-commerce: - They analyze optimal store size - They patiently wait for prime locations with the right co-tenants - They continuously refine their store layout and strategy based on performance Digital-first brands have a huge advantage when moving into physical retail - they bring their testing mindset to spaces where many retailers have been running on autopilot for decades. 2️⃣ They focus on the unique benefits of physical retail Rothy's understands that physical retail is a brand's most powerful channel for building loyalty. While e-commerce is a great channel for purchase, physical retail allows you to: - Share your brand's story - Communicate your values - Showcase your products in context - Build genuine human connections with customers Their most surprising discovery? Having multiple stores in the same market didn’t cannibalize sales, but actually expanded their entire customer base. Physical stores make every channel more effective. What other brands have you seen taking smart, data-driven approaches to physical retail? https://lnkd.in/dbYBixmC