The Rule of Retail Placement: Location, Location, Location

By Bryan Durocher, Durocher Enterprises

We all know the location of a salon is absolutely essential to the success of the business. The same theory applies when selecting where a product is going to be placed within the retail space. Proper location and placement of product can be the difference between high sales and product languishing on the shelf. An important concept for effective merchandising is to always have a major focal point for every display. The easiest way to produce a focal point is to start by placing the main product you are featuring directly in the line of vision, and then surround it with complementary products. The products on the periphery will not only frame the featured product but create a natural opportunity for an up-sell of the featured product. Be conscious of the height of the majority of your clients. If you are shorter or taller than the average client, be sure to create the focal point at the client’s average height, not yours. This may sound silly, but it can make a dramatic difference in the total sales.

Always keep in mind the goal of creating a balanced display. Asymmetrical displays can be stunning, as long as the balance and perspective is appropriate. The goal should always be to create an atmosphere of organization and harmony. Before beginning to shift everything around, think about whether you want to organize product from front to back, right to left, in a curved pattern or triangular shape. Taking the time to map out a plan for product placement is a great time-saver and it will be easier for additional staff members to help with the process.

When introducing a new product to your clients, prime placement within the space is always a great idea. By placing the new product with shelf-talkers explaining what the unique selling point is and featuring an attractive price-point display, sales can be maximized. Prime placement should not always go to the new featured product, though. It is equally important to keep the best sellers and heavy-hitters front and center in the ideal real estate of your salon. Understanding which products are the top five drivers of the retail sales and keeping them near the number one location in the spa makes good merchandising sense.

Point of sale is another location that should not be overlooked. While it is important to keep the reception area free and clear of clutter, there are many ways to create an opportunity for an “impulse” buy. Small products such as a lip plumper or a travel size cream can be tempting add-on purchases. If you pay attention to the merchandising of the product and space, the little sales will add up to a big number by the end of the year. Remember, the placement of every single product should have a reason, and that reason is to increase the business’s profit.