Blog for Retail
Compliance score

Compliance score

What is a planogram? A planogram is the one set solution to a store’s visual merchandising queries. It is a blueprint of the layout that shows the placement of different products. Planograms are efficacious in stores that have diverse product lines and categories as in CPG companies. These have a profused variety of brands in stores which can be placed and sorted in a manner to drive maximum sales. Every brand and every product acts differently in every store. One needs to analyse its store proficiently to increase the foot movement and sales. Compliance score is the evaluation of the planograms depicting their status. 

Follow-up action is needed when plans are laid down to overview how plans have collided with the set results. Here we’ll be needing assistance from Xtract as it acts as a supervisor who assesses the plans and announces the official scorecard (compliance score). 

Xtract IR does Planogram check through varied levels to give a comprehensive and appropriate compliance score. 

Level 1

It focuses on the floor work of the Planogram. It aims at identifying the SKUs availability in the shelf image. SKU mean stock-keeping unit which identifies the inventory.  

Results: 

  1. If all the planned SKUs are placed on the shelf disregarding the position then the POG score would come out to be 100%.
  2. If all the planned SKUs are missing from the image captured then the score would come out to be 0%.

Level 2 

This level points at the placement of the planned SKU on the right shelf irrespective of its positioning. 

Results:

  1. If all the planned SKUs are placed on the right shelf disregarding the position then the score would come out to be 100% 
  2. If all the planned SKUs are present but not on the planned shelf then the score would come out to be 0%.
  3. If the planned SKUs are missing from the image then the score would be 0%.

Level 3

This level directs the Planned SKUs to be placed on the right shelf and at the right position. 

Results: 

  1. If all the panned SKUs are present on the right shelf and at the right position then the score would be 100%
  2. If all the panned SKUs are present on the right shelf but not at the right position then the score would be 0%.
  3. If all the planned SKUs are on the different shelves as per plan then the score would be 0%
  4. If the planned SKUs are missing from the shelf then the score would be 0%

    For better understanding let’s take an example.
ProductsProduct code 
Pink boxes1
Pink packs 2
Blue bottles 3
Yellow bottles 4
Purple packs 5
Tissue packs 6
Washing powder pack 7

Now for better understanding, we are taking an example for you. 

  1. Checking the availability of the SKU 
SKU IDQty required 
14
22
36
45
53
61
71

Result: 100% Complied
[Calculation: 22 ÷ 22 * 100]

  1. To check the SKU availability on the defined row and defined position.
SKU IDROW NO. Qty required 
134
222
316
445
523
643
741

Result: 45.45 complied 

[Calculation: (1+3+2+4) ÷ by total qty i.e 22 * 100]

  1. To check the availability of SKUs on a defined shelf’s row and at the right position on that row as well.
SKU id ROW NO. POSITION 
13Whole Shelf 3 
22Left 2 spaces 
31Whole shelf 1 
44Right 5 spaces 
52Right 3 spaces
64Definite position 
74Left 1 space 

Result: 22.72% complied 

[ Calculation: (1+1+2+1) ÷ 22*100 ]

Conclusion:

A lot is missed while not complying with planograms. This is an example of how planograms and compliance scores work. We got a solution to your store problems, visit xplorazzi.com .  Although the above example is pretty simple, modifications can be done in logic for eg, brand availability, sub-band availability etc, to obtain the score. It can get as complex as exciting.
Tip- Xplorazzi provides all such improvisations so no need to worry. 

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