The Power of In-Store Product Placement: How to Create an Effective Strategy

In-store product placement is a marketing strategy for promoting products in retail stores. Effective product placement utilizes retail displays to showcase consumer packaged goods (CPG) strategically. This deliberate organization and positioning of products in stores helps optimize physical space and increase visibility and sales. 

The goal of strategic retail product placement is to influence customer behaviors by directing store traffic flow. It also creates an immersive, personalized shopping experience to maximize product exposure and customer satisfaction.

Top 5 Product Placement Strategies

Product placement strategies ensure products are arranged in a way that directs how customers navigate the store. There are various tried and true strategies you can explore when looking to increase product sales. 

1. Horizontal Placement

This product placement strategy puts similar products side-by-side on shelves. For example, different types of cleaning products from different brands are placed in one section of the store. Horizontal placement is effective because it shows shoppers the variety of items they can choose from and draws the eye down the aisle. 

2. Vertical Placement

In vertical placement, similar products are placed on shelves with two or more levels. The vertical display encourages shoppers to stop in the aisle for longer so they can explore more items in the section.

3. Block Placement

This arrangement places products under a general category together in one section. It utilizes multi-tiered displays to showcase a brand’s products or product variations. Block placement offers versatility and diversity, allowing customers to explore more products and can help encourage more impulse purchases. 

4. Commercial Placement or Margin Share Placement

This strategy leverages insight or information about product selling frequencies and profit margins. It places products with a higher selling value and selling frequency at eye level on shelves to boost sales even more. Products with lower perceived value are given a less attractive retail shelf level and space. 

5. Margin Level Placement

Unlike commercial placement, which focuses on the overall profit margins from specific product sales, margin level placement organizes products based on the expected profit margins according to the profit of one product. Items that bring in more profit per piece get the best placement on the display shelves.

In-Store Product Placement Considerations

When thinking about the best retail product placements, here are the top factors to consider when deciding the best strategy.

Eye Level

In marketing, eye level is buy level — the best in-store product placement is at eye level. The average eye level height is about 4-5 feet from the ground. Understandably, consumers in a store are less likely to bend down or reach up to see or pick a product. Instead, consumers easily notice products at eye level compared to items above or below this height.

Eye-level shelving is the most desirable placement to boost profitability and sales for goods with a high profit margin. This positioning is also ideal when you’re looking to promote new products because they will be harder for consumers to miss.

Pricing

Customers are accustomed to shop starting from the left and moving on to the right. Typically, lower-priced products are placed on the left and the most expensive items are on the far right of the aisle. Retail counter displays are an effective way to display small, low-cost items like candy, gum, sanitizer and toys on the front or left of the store.

An alternative placement strategy that relies on pricing is placing high-value, luxury items at the start of the aisles. Then, put inexpensive daily essentials like milk and bread at the far back.

The idea here is to entice consumers to make their way to the back of the retail store. Along the way, they come across other products they are tempted to buy on impulse. This placement strategy increases cart value and average order value, as more people purchase both the essentials they need and extra luxuries they want.

Space

One way to encourage customers to spend more time and money in retail stores is to provide ample browsing space. Cramped stores tend to be overwhelming to many customers, which makes them want to leave as soon as possible. However, when your displays are organized and have enough space between them, customers tend to enjoy browsing the aisles and possibly picking more items.

Inline displays are shelf display units that help organize products better on rows and stacks to optimize space. These types of displays effectively drive impulse purchases, especially for smaller products. Inline displays are customized to fit the size and shape of retail shelves, placing your products in the line of sight to attract more shoppers.

How Custom Displays Can Help Capture Your Target Audience

Custom displays are essential for improving in-store product placement. They provide an opportunity to attract and connect with your target audience inside retail stores, increasing brand awareness and sales. 

You can utilize your brand colors, images, logos and messaging to set your custom displays apart from competitors. This makes these displays more effective than plain retail store shelves. Custom displays can also include information that educates shoppers about your product’s features and benefits so they feel more compelled to buy.

The colors and visuals on custom retail displays elevate the customer’s shopping experience by making it more engaging. There are many other benefits of custom in-store displays, including:

• Inspire customers to interact more with your products.
• Attract attention to new items.
• Advertise promotions, sales and limited time offers.
• Encourage more impulse purchases.
• Allow for convenient positioning of products.

Learn About Our Custom Display Options

Working with custom retail displays increases the effectiveness of your in-store product placement. Custom temporary retail displays are an affordable option that can be easily customized to promote different campaigns throughout the year.

Creative Displays Now! has been a leader in manufacturing custom retail displays for the past six decades. We offer a wide variety of custom display options that fit different placement strategies. Our reliable and professional team works with you on everything from design, prototyping and printing to manufacturing and distribution. Our displays are made using sustainable corrugated cardboard, which reduces your carbon footprint and helps customers feel good about contributing to sustainability with their purchases.

To discuss the best retail custom displays for your brand and products, contact us online or call 855-284-6922.