By Dawie du Toit, Chief Operations Officer
How Smart Merchandising Drives Sales
In today’s fast-paced retail world, winning at the shelf means winning the consumer’s mind. I’ve seen time and again that the brands that thrive are those that understand how psychology, data, and smart product placement come together to shape consumer behaviour.
As a contending challenger in the fast-moving consumer goods (FMCG) space, shelf position is no longer just about visibility, but about impact. Today, success depends on driving sales, strengthening brand loyalty, and ensuring every merchandising investment delivers measurable returns.
So, what does the science say about where brands thrive in-store? Let me walk you through some key insights.
The Science of Product Placement and Consumer Psychology
Eye-level is buy-level
It’s no secret that eye-level shelf space is prime real estate. It consistently delivers results. Products positioned at eye level naturally attract more consumer attention, increasing visibility and purchase likelihood. This prime placement ensures that brands remain top of mind, making it one of the most valuable areas for driving in-store sales. Why this works:
- Consumers scan shelves at eye level first, making these positions the most valuable real estate in retail.
- High-margin, new, or promotional products perform best in these prime zones.
- Kid-focused products (e.g., cereals, snacks) see higher sales when placed at children’s eye level, leveraging pester power (that relentless ability kids have to influence their parents’ buying decisions).
To really stand out, it’s essential to secure premium shelf placements. But positioning alone isn’t enough, you need bold, high-contrast packaging to catch the shopper’s eye. Additionally, testing endcap displays, which drive 30% higher engagement than standard shelf placements, can significantly boost product awareness and impulse purchases.
Why check-out placement works
Think about the last time you stood in a checkout queue. How often have you grabbed a chocolate bar, a pack of gum, or even a travel-sized product on a whim? That’s no coincidence. These impulse purchases account for an impressive 62% of all supermarket transactions, making checkout placement a key driver of unplanned sales.
Checkout placement works because it taps into the psychology of decision fatigue. After navigating the aisles and making numerous choices, shoppers are often mentally exhausted, which makes them more susceptible to impulse purchases. Items at the checkout, typically low-cost and convenience-focused, feel like “guilt-free” add-ons, requiring little thought or justification. This strategic positioning makes checkout lanes a highly effective space for driving last-minute sales and encouraging unplanned purchases.
Brands should strategically leverage high-traffic areas like checkout lanes and store entrances to showcase small, impulse-friendly products that encourage quick, unplanned purchases. Introducing limited-time promotions in these areas motivates shoppers to act on the fear of missing out, driving spontaneous buys. To maximise impact, brands should also ensure that shelf-edge messaging is clear, concise, and focused on highlighting the product’s value, making the decision process seamless for consumers.
The “Golden Triangle” of consumer attention
Retailers use a “Golden Triangle” strategy to maximise product visibility in-store. This refers to the three key zones where consumers naturally focus:
- Entry zones: New product launches and high-value promotions should be positioned near store entrances.
- Central aisles: Shoppers follow a U-shaped shopping path, making the middle of the store prime retail space.
- Checkout and endcap displays: These capture last-minute buying decisions and encourage unplanned purchases.
Brands can gain a competitive advantage by collaborating with retailers to secure strategic placement within the Golden Triangle, ensuring maximum visibility in high-traffic zones. To further capture attention, brands should implement eye-catching point of sale (POS) displays that disrupt shopper routines and draw focus to featured products. Additionally, experimenting with different store layouts allows brands to identify the most effective positioning for driving conversions and optimising in-store performance.
The Science of the Shelf is the Science of Sales
Retail success goes far beyond simply stocking shelves with products. It’s about strategically placing items in locations that naturally attract attention, leveraging consumer psychology to influence purchasing decisions, and using real-time data to optimise placement and performance. Understanding where shoppers are most likely to look, how they make decisions, and what triggers impulse purchases allows brands to create a more impactful in-store presence.
The brands that truly thrive are those that embrace these insights and adapt their merchandising strategies accordingly. When we understand how shoppers think, move through a store, and make decisions, we can create a truly impactful in-store presence. Every square metre of shelf space becomes an opportunity to drive sales, strengthen brand loyalty, and stay ahead in an increasingly competitive market.
What’s Next?
If you’re ready to improve your merchandising strategy and dominate shelf space, let’s talk. Meridian is here to help brands thrive.