How do you create a merchandising policy?

1 Assess your goals

Before you start designing your merchandising policy, you need to have a clear idea of what you want to achieve with it. What are your business objectives, target market, value proposition, and competitive advantage? How do you measure your success and track your progress? How do you align your merchandising strategy with your overall marketing and branding strategy? These are some of the questions you should answer to define your goals and set your direction.

2 Analyze your products

Next, you need to understand your products and how they fit into your merchandising policy. What are the features, benefits, and prices of your products? How do they differ from your competitors' products? How do they meet your customers' needs and preferences? How do you categorize, group, and rank your products according to their demand, profitability, seasonality, and lifecycle? These are some of the questions you should answer to analyze your products and determine how to showcase them.

3 Plan your layout

Then, you need to plan how to arrange your products in your physical or online store. How do you use the available space, fixtures, and furniture to display your products? How do you create a logical and intuitive flow that guides your customers through your store? How do you balance the visual appeal and functionality of your layout? How do you use signage, lighting, and colors to enhance your presentation? These are some of the questions you should answer to plan your layout and create a positive impression.

4 Implement your tactics

After that, you need to implement the specific tactics that will help you attract, engage, and persuade your customers to buy your products. How do you use cross-merchandising, upselling, bundling, and discounting to increase your average order value and customer loyalty? How do you use storytelling, themes, and emotions to connect with your customers and build your brand identity? How do you use product placement, assortment, and rotation to stimulate your customers' curiosity and interest? These are some of the questions you should answer to implement your tactics and boost your sales.

5 Monitor your results

Once you have implemented your merchandising policy, you need to monitor its results and evaluate its effectiveness. How do you collect and analyze data on your key performance indicators, such as sales, traffic, conversion, retention, and satisfaction? How do you use feedback, surveys, and reviews to understand your customers' opinions and expectations? How do you use testing, experimentation, and innovation to improve your merchandising policy and adapt to changing market conditions? These are some of the questions you should answer to monitor your results and optimize your performance.

6 Review and update your policy

Finally, you need to review and update your merchandising policy regularly to ensure that it remains relevant, consistent, and competitive. How do you assess your strengths, weaknesses, opportunities, and threats in relation to your goals, products, and customers? How do you identify and implement the necessary changes and adjustments to your merchandising policy? How do you communicate and train your staff on your merchandising policy and ensure that they follow it? These are some of the questions you should answer to review and update your policy and maintain your edge.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?