SPACE PLANNING Pallavi Pathak

Location of Departments How the location is fixed for a particular Department within a store. Why one Department is at the ground floor & other one at top floor.

Location of Merchandise within Departments  Plano grams.  Leveraging Space  In store Kiosks

LOCATION OF DEPARTMENTS.  The profit generating abilities of various location within a store are not equal or it varies.  The more traffic through a department, the better the location will be.  Unfortunately every department can’t be situated in the best location.  Retailers must consider additional demand generating factors & the inter relations between departments when determining their locations.

RELATIVE LOCATION ADVANTAGES The best locations within the store depend on the (1) Floor Location (2) Position within a Floor (3) Location relative to traffic,aisles,entrances,escalators etc. In general, in a multilevel store,a space’s value decreases the farther it is from the entry level floor.

Contd……... Since men are not generally as evidshoppers for clothing as women,thats why many large store locate the men’s department on the entry level floor to make shopping as easy as possible. The position within a floor is also important when assigning locations to departments. The best locations are those closest to the store’s entrances, main aisles, escalators & elevators. Also, most customers turn right when entering a store or floor, so the right side will be specially desirable space.

Contd………. Finally, most most customers won’t get all the way to the center of the store, so many stores use the racetrack design to induce people to move in to the store’s interior.

Location of Departments Following factors are kept in mind while localizing the departments: 1.Impulse Products: Impulse Products are products that are purchased without prior plans, like fragrances & cosmetics in department stores & magazines in supermarkets.They are almost located near the front of the store, where they are seen by everyone & many actually draw people into the store.

2. Demand/Destination Areas: Children’s expensive specialty goods, and furniture departments as well as customer service areas like beauty saloons, credit offices, and photography studios are usually located off the beaten pat-in corners and on upper floors.A purchase of one of these unique, expensive prices requires thought and concentration. customers would probably become distracted if the department were adajcent to a high traffic area. Besides, customers looking for these items will find them no matter where they are located in the store.

3. Seasonal Needs: Some departments need to be more flexible than others.For instance, it is helpful to locate winter coats near sportswear. 4.Physical Characteristics of Merchandise: Departments that require large amounts of floor space,like furniture,are often located in the less desirable locations. Some departments like curtains, need significant wall space, while others, like shoes, require accessible storage.

Location of Merchandise within Departments. The Use Of Plano grams:- To determine where merchandise should be located within a department,retailers of all types generate maps known as planograms. “A Planogram is a diagram created from photographs,computer output, or artists rendering that illustrate exactly where every SKU should be placed.”

Characteristics of Planograms Planograms should:-  Visually appealing  Represent the manner in which a consumer shops  Embody the strategic objectives of the corporation

Planogram both Science & Art There is an art and a science to planogramming.  The art is in ensuring that the proper visual impact and presentation is maintened.  The science is in the financial analysis portion.

Designs Of Planogram

Leveraging Space: In-Store Kiosks “In-Store Kiosks are spaces located within stores containing a computer connected to the store’s central offices or internet”

Contd…….  In-Store Kiosks can be used by customers or sales people to order merchandise through retailer’s electronic channel,check on product availability at distribution centers or other stores,get more information about the merchandise,and scan bar codes to check the prices.  Retailers are interested in installing these kiosks because they create a synergy between the store and Internet site.

Contd…….  Kiosks provide additional assortment choices that are not available in the store. A typical Staples store has 9,000 SKUs, compared to 100,000 offered via in-store kiosks.  Kiosks can incourage customers to stay in the store longer and, it is hoped to spend more money. For instance, allowing customers to check their is an added service thet will endear customers to the store.  Scare and Starbucks are examining programs to deliver more or less conventional Internet access in their respective stores.