What is a Merchandising Plan, and How Does it Help Businesses Succeed

Merchandise planning is a valuable strategy when running a business, and we’re here to help you understand how to go forward with one. Many different types are based on different outcomes, so make sure you know which type works for your retail business and why. Specialty Store Services sells all things retail but can also give helpful advice and tips on making your store succeed. Read on for more on what a merchandising plan is and how you can make decisions based on customers buying trends.

The Different Types of Merchandising Strategies

Knowing which strategy works for you is going to be most beneficial in making your store a success. Check out the various types of merchandising strategies below:

  1. Visual Merchandising – This primarily has to do with making your store more appealing, whether it be through in-store displays, fixtures, or other elements in your store layout.
  2. Promotional Merchandising – This strategy is all about increasing sales through promotions, discounts, or coupons. It’s a good way to push old inventory or promote new products.
  3. Assortment Planning – This is where you consider your store’s customer demographics, seasonality, and upcoming trends so that you can be prepared on how to assort your merchandise
  4. Inventory Management – This is where retailers make sure that they have enough stock on hand to meet their customer demand and don’t worry about overstocking.

Creating an Effective Merchandising Plan

Once you’ve decided on your type of merchandising strategy, it’s important to create an effective approach to the plan. You’ll need to go through a lot of market research, sales data, and more. Once you’re familiar with your store and the industry’s trends, you should have a better idea of market conditions and customer demands. Also, think about setting up goals for your business. This could be either inventory, pricing strategy, or any other things you think you need to work on.

Related Article: Why Customer Feedback Matters in Retail

Benefits of Having a Clear and Comprehensive Merchandising Plan

You can reap the benefits once you’re set on your merchandising plan and have done all the research needed. Having a clear and thorough plan can increase sales and reduce costs, improve customer experience, help your decision-making, and give you a competitive advantage. Once your plan is implemented, you can watch and see how the benefits will follow. Many retailers don’t think you need a merchandising plan, but it’s helpful to do it every couple of years so that you’re behind on what’s trending.

Summary

Merchandising planning is a super important tactic to increase revenue. It also helps give you the insight you’d need as a retailer better to understand your customers and the industry’s trends. When you’ve developed a plan, decided on what type you want to go with, and have a clear idea of how to implement it in your store, you’ll see how much it will help your business. Specialty Store Service can help businesses with our retail advice and offer your in-store fixtures or solutions. Make sure to check us out online today to continue to have success in retail!