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| Micro-marketing through planogram segmentation | ||
| Problem: AAFES was in need of planograms, for their chemicals and appearance product sections, which reflected the different demographic segments determined by extensive market research. The short-term goal was to create general, cohesive, and logical planograms for each category. The long-term goal was to create six micro-market based planograms that would best serve each demographic segment, balance their inventory overstock & understock problems, decrease their labor investment, help the consumer shop the section, thereby increasing their return on inventory investment. Opportunity: Automotive In-Store Marketing began with the current, single planogram for each category and the product assortment generated by the demographic research to: 1) create planograms with segment specific assortments for the two categories, 2) integrate cost, price, and movement data into the MerchoGram™ recommendation, and 3) bring in-line, the chemicals and appearance product sections, with the new in-store merchandising philosophy driving the way AAFES resolved to do business. Solution: Automotive In-Store Marketing, Inc.: 1) developed six planograms for each of the two categories 2) reorganize the shelf position and adjacency of every item into product segmented blocks based on how consumers shop the automotive section Result: AAFES management was so impressed with the assortment and placement recommendations that they accepted our final presentation and implemented it as the basis for placing their merchandising orders for the year 2000 without a single change. |
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