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Success story
Consumer Goods|Global|English

Streamlining shelf assortment for an appliance manufacturer

30.03.2017

Streamlining shelf assortment for an appliance manufacturer

We conducted a shopper and point of sales analysis to refine a company’s shelf concept in the Italian kitchen appliance market.

Situation

Our client believed the shelf presence for its kitchen appliances in superstores was not being managed optimally on its side or that of its retail partners. A lack of systematic category management meant customers did not get the necessary help at the shelf along their purchase journey, resulting in lost sales

Approach

We conducted a shopper analysis, based on qualitative research and 518 quantitative interviews in four key Italian cities, as well as an analysis of point of sales tracking data. We carried out two semiotic analyses and 24 shop-along expeditions to identify the elements of shelf organization and marketing that guide customer purchases. We used these insights to draw up a quantitative questionnaire that enabled us to measure customer attitudes about the kitchen appliances shelf. Our point of sales analytics provided sell-through data to offer an understanding of shelf efficiency.

Outcome

Following the study, our client is working with retailers on a new shelf concept that will help drive sales efficiency for the manufacturer and the channel. This concept is organized around customer needs, helping prospective purchasers to better compare the company’s products and understand the features of the items on the shelves.

For example, we suggested the manufacturer ensure information such as price tags and product characteristics (technical terms and benefits of use) is always present, easily identifiable and consistent. Products should be arranged by subcategory, with tags to identify the type of items on offer. We measured the contribution of each item to product category sales to define the optimal assortment and recommend ways the company could refine its shelf assortment by adding or reducing items.

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