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Front End Templates

Transcript: Front End Planning Merchandising is more than simply the arrangement of products on the shelf. It is an integral component of the business image. Your Front Ends are prime Real Estate. They should be taken seriously. They need to catch the customer's attention. Front End standards A minimum of two front ends must be dedicated to front page flyer product A minimum of one sheilding or companion sale item must be included on all front ends Corporate brands must be used for sheilding when possible to increase corporate brand penetration and blended margin Shielding at full retail must be used whenever possible Life brand or corporate brand is the perferred item for shielding No more than three product families must be merchandised on a front end. When creating your front ends you need to think what is going to attract the customer. New items are always attractive. Stick with a theme, don't just randomly choose any item. FILLING IN THE TEMPLATES Start with the blended margin calculation sheet, you'll need two of these minimum to start with. Enter the flyer start date Aisle # just use 1 or 2, it really doesn't matter. Theme whatever your theme is, example oral care, body care Select your front page item from the Flyer purchasing summary, I look for items that are new, or items that we don't lose too much money on, check the cost versus the sale price to see how much your losing. Next select your Companion add-on / impluse item, I usually select an item from the ad that's featured on the back page or one of the top seller pre-book items usually on the last page of the flyer purchasing summary. once again look at the cost versus the sale price Choosing the shielding item is the most imporant. This item will protect the margins lost from the Flyer and add on impulse item. Use the Inventory sales and margin Analysis report in MMS to determine the best selection for your shielding item. This report will identify your key private label item that sells and generates high margin dollars to offset the loss of the frontpage item you select. Two great examples that sell very well for us are the Life Brand Spa mesh sponges and Life Brand dental flossers Keep your shielding items full at all times next we enter the cost and retail for each item. add up the three cost totals and three retail totals Take the total retail and subtract the total cost this will give you the profit. Take the profit and divide it by the total retail then mutilply by 100 this will give you the total blended margin As you can see if you built these ends with only sale items the profit margin would be very low if any at all. We as Front store managers have an obligation to protect the margins for the company we work for. This applies to all ends not just the front ends. Have you ever noticed whenever we receive a floorstand with mutiple items on it, example a Pantene hair care floorstand, that the floorstand will have at least one of the items on at regular cost and the rest will be on sale? Also note the MFS back ends, will always have one or two shielding items at full retail protecting the margins. The next sheet we fill in is the front ends template. This is used by the merchandiser who creates a regular price sign for the end . I usually look up the upc# as I am pre-booking the Flyer. Just select G in item maintenance and you'll quickly find 1 flavour of whatever it is your looking for. This saves time so you don't need to go out onto the floor to find the upc # of a product. This page also helps you in deciding how much product to bring in for the sale. How many items are in each case and how many shelves your using. This helps plan how many cases to order in for each product. The last sheet to fill in is the Flyer Week-Front End Template This is used by the designated merchandiser who builds the end. They have all of the information available. Flyer Item, Shielding item and add on item Description of where to look for the product the upc to make the sale talker for the # of shelves/baskets used the depth of the product on the shelves I also attach the Flyer purchasing Summary and purchase orders to the templates and file it in the 52 week file for easy access when it comes time to change the front end up Summary Prime real estate shopper stopping, impulse buying, eye catching displays protective margins Most of all have fun with it, Shoppers Drug Mart allows us to decide what to put on the ends, so take advantage of it and plan accordingly, be innovative, creative and most of all protect those margins. happy selling as Judy would put it! You should also review the end - cap templates 2 weeks prior to ensure that should the shielding items listed require a top-up order it is done in advance of the flyer commencing. Shielding items are not typically ordered through the flyer events as they should not be part of the national flyer

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