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  A major UK confectionary manufacturer gains additional shelf space and improved layout
November 2004

Using a combination of Named Account Data and the Apollo Software, Merchandising Consulting at IRI helped a major UK Confectionary Manufacturer gain additional shelf space and improved layout in the Confectionary category.

The Manufacturer in question, who planned to launch a completely new pack design, required assistance from IRI in producing a business case to change the layout of the confectionary fixture within a major Retailer, which would incorporate its new style packs.

The existing planogram was generated in Apollo Professional and with the use of Named Account Data, the Manufacturer in conjunction with IRI was able to prove that the particular brand did not have the space it deserved, in its original form, compared to its sales. The competitor products that were over faced based on their sales were highlighted so the Retailer could clearly identify areas for improvement.

The submitted business case resulted in the Retailer generating a completely new layout by adjusting the facings of the bagged confectionary section and adding new mini shelves to the middle of the fixture to make sure that the “new look” brand received a fairer percentage share of space in accordance with its sales (the original brand had previously sat, below eye level, on a shelf below the hanging bagged confectionary).

The new layout was implemented in a set of trial stores, and the sales were tracked against stores of similar size which had the original layout.

The result was that sales for the “new look” product increased in both types of stores, however, the sales for those stores that implemented the new trail layout increased on average by 3% more that the stores that had the original layout.

Due to these results, the Manufacturer and Retailer came to the conclusion that both the new pack design and the new positioning were successful. The Manufacturer went on to replicate the business case at other Retailers, and the “new look” brand went on to be repositioned within a large part of the market place.