Summaries: Analysis of assortment indicators of goods, opportunities for their improvement. Determination of the assortment structure The assortment composition of a given group of goods

Plan:

Introduction

Chapter 1. The essence of the product range

1.1. Product assortment concept

1.2. Main indicators of the product range

Chapter 2. Types and structure of product range

2.1 Types and structure of the product range

2.2 Formation of the product range

Conclusion

Bibliographic list

Introduction.

In a market economy, the role of competent assortment formation has increased. This will increase the income of entrepreneurs both in production and in trade. A strategic approach is required to solve the problems of commodity policy at any economic level. Any decision in this area should be made not only from the point of view of current interests, but also taking into account how it “works” for ultimate goals. This approach requires a concentration of efforts in the main areas. Because mistakes in choosing a product, ignorance of its properties, characteristics, storage conditions, transportation, incorrect assessment of its quality can result in large losses and losses for an entrepreneur. Therefore, future entrepreneurs need a basic understanding of the commodity science of various groups of goods.

Market success is now the main criterion for assessing the activities of domestic enterprises, and their market opportunities are predetermined by a properly developed and consistently implemented product policy. It is on the basis of studying the market and the prospects for its development that the enterprise obtains the initial information for solving issues related to the formation of the assortment, its management and improvement.

This topic is of interest because it reveals the theoretical foundations of assortment formation. As mentioned above, there is a lot from the correct implementation of these theoretical foundations in the practice of envy. It was this problem that largely influenced my choice of topic for my term paper.

My term paper has the following structure: two chapters, each of which is divided into two sections. In the first part of the work, I tried to reveal as fully as possible the concept of assortment and some concepts that will be encountered in the following text. I devoted the second paragraph to the problem of assortment formation, revealing the basic principles that should influence this process. The species diversity of the assortment, as well as its structure, I cited in the first and second paragraphs of the second chapter.

Chapter 1. The essence of the product range

1.1 Concept of product range

When deciding on production, it is necessary to determine the composition of the products by types, types, grades, sizes and brands, i.e. assortment.

Product range - a group of goods that are closely related to each other either because of the similarity of their functioning, or because they are sold to the same groups of customers, or through the same types of retail establishments, or within the same price range. 1

An assortment is a collection of goods intended for:

    for a specific area of \u200b\u200bapplication (household appliances);

    for sale in a certain price range (prestigious expensive items);

    for sale in specific stores, supermarkets, boutiques, etc .;

The assortment of goods is specified in terms of their types, varieties, names, etc.

View - a set of goods that differ in their individual purpose and identification characteristics. Quite often, the type of goods is determined by their appearance, and for food products - additionally by taste, smell, and consistency. Although these signs are not absolute, but due to their availability and simplicity, they are most often used in practice.

Variety - a set of goods of the same type, differing in a number of particular characteristics.

Name - a set of goods of a certain type, which differ from goods of the same type by their own name and individual characteristics due to the selection of raw materials, materials, as well as design and production technology. 2

Nominal name - the nominal generalized name of the goods produced by different manufacturers.

Brand name - the individual name of the goods produced by a certain enterprise.

Product assortment formation - the process is constant, since market requirements always pose problems for its improvement, and their solution has a corresponding focus. 3

There are four main principles of assortment formation:

    functional - by the proximity of the functions performed;

    consumer - by consumer groups;

    household - by type of intermediary, trade organization or by style of sale;

    price - according to the price level.

The assortment can be formed:

    creating a parametric series (product line) - horizontal strategy;

    product differentiation, targeting each new option for a specific market segment - concentric strategy;

    diversification of production and development of a product range (product mix) - a conglomerate strategy.

Assortment management plays an important role in product policy, the main goal of which is its optimization. In the process of optimization, management influences are directed to the main characteristics of the assortment: breadth, saturation, depth, harmony.

Range of assortment Is the sum of its constituent product groups. The assortment can be too narrow if you can increase your profits by adding new products. It may be too broad for a firm if profits can be increased by excluding a number of products. 4

Nomenclature literally means a list of names. Thus, the nomenclature of products is a list of the names of products manufactured by an enterprise. As for the product range, this is a list of product groups offered by a specific seller. The seller, on the other hand, can offer customers the products of one or many manufacturers, attracting the product range of each of them in full or in part. The nomenclature as an economic category has an enlarged character. We can talk, for example, about men's, women's or children's shoes, about sleeping or dining sets, about televisions or tape recorders, about caramel or chocolate. In essence, these are assortment groups, and a product range is a list of assortment groups of products or goods.

Range products literally means the selection of items, the totality of their names for some reason. From this point of view, the assortment can be simple or complex, narrow or broad. Such a classification provides for the allocation of groups of similar products or goods based on the type, variety, brand, etc. Assortment groups are formed, within which items have a certain similarity. And you can also distinguish between the range of products (UFO is produced by the enterprise) and the range of goods (which is offered to consumers by this seller). Group assortment of goods shows a list of enlarged product groups that make up the nomenclature of goods. For example, a grocery store can sell gastronomic and grocery products, and a sporting goods store can sell summer and winter sports equipment.
A specific assortment of goods reflects the presence of a number of types in a group of goods. For example, kefir, cream, cottage cheese, etc. can be presented in dairy products. Men's footwear includes such concepts as boots, boots, shoes, sandals, etc. Intraspecific assortment of goods represents varieties of products, division of the type into parts. So, cottage cheese can be of different degrees of fat content, samovars - of different capacities, shoes - of different styles, fabrics - of different colors, etc. An intraspecific assortment of goods can have a different depth of development and detail. In this sense, we can talk about the degree of complexity of the assortment. For example, drugs used for a certain human disease can be presented by means for external or internal use, in the form of tablets or liquids, have different packaging, packaging, etc. five
In relation to industrial enterprises, a production assortment of products is established, in relation to trade enterprises - a trade assortment of goods. The first of them reflects the specialization of the enterprise and serves as the basis for the conclusion of supply contracts. In the second case, there are grounds to judge the scale of a trading enterprise's ability to meet the needs of the population and distinguish between specialized and universal trading enterprises.
With good reason, the stated provisions on the nomenclature and range of products can be attributed to the performance of work and the provision of services, in relation to which groups, types, and subspecies of products are also distinguished. The planning of the nomenclature and assortment of products can and should be based on the entrepreneur's knowledge of the needs of the market and its state. This knowledge is achieved through the implementation of activities known as marketing. There are many definitions used, dedicated to marketing at different times and by different authors. Taken together, all of them, despite the variety of formulations, boil down to one judgment - market research, demand analysis, sales forecast, ensuring the fullest satisfaction of social needs. Satisfaction, in turn, is achieved by the development and production of new goods corresponding to the prevailing demand, the establishment of communications for the sale of products, the creation of service services that accompany the process of using the goods. 6

1.2 Main indicators of the product range

Assortment formation is the problem of selecting specific goods, their individual series, determining the relationship between "old" and "new" goods, single-batch and batch production, "science-intensive" and "conventional" goods, materialized goods, licenses and know-how. When forming the assortment, problems arise in establishing pricing policy, requirements for product quality, determining guarantees and the level of service, etc. It is also important to determine whether the manufacturer is going to play the role of a leader in creating fundamentally new types of products or has to follow other manufacturers.

Assortment formation is preceded by the development of an assortment concept by the enterprise. It is a directed construction of an optimal assortment structure, a product offer, while, on the one hand, the consumer requirements of certain groups (market segments) are taken as a basis, and on the other, the need to ensure the most efficient use of raw materials, technological, financial and other resources by the enterprise from in order to produce products at low costs. 7

When forming the assortment, the main principle of the selection of goods for sale should be mandatory testing of the first lots of new goods. The sale of traditional goods and those obtained through the exchange of goods should act as an auxiliary function of sale (although this does not exclude a significant share of such goods in the sales structure).

Thus, in general, the assortment of goods sold through a company store should consist of the following groups of goods receipt:

    trial lots of new goods (main group);

    traditional (previously approved) goods of this enterprise (association);

    goods received by exchange of goods, i.e. from other enterprises (associations) producing related or additional types of goods;

    related products. 8

The assortment for the listed groups should be compiled based on the prevailing function of ensuring the testing of new products and studying the demand. The rest of the groups are formed according to the results of a previously conducted demand study in order to compose an assortment.

So, the essence of the problem of assortment formation consists in planning practically all types of activities aimed at selecting products for future production and marketing and at bringing the characteristics of these products in line with consumer requirements. Formation on the basis of planning a product range is a continuous process that continues throughout the entire life cycle of a product, from the moment the idea of \u200b\u200bcreating it was conceived and ending with withdrawal from the product program.

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    ... him species, one or more commodity lines, the totality of which is commodity range. Commodity range ... the destination of the goods is determined by the external view goods, specifications him functionality, environmental friendliness and aesthetics ...

Assortment property - this is a feature of the assortment, which manifests itself during its formation and implementation.

Assortment indicator - This is a quantitative or qualitative expression of the properties of the assortment, while the number of groups, subgroups, types and names of goods is subject to measurement.

The unit of measurement for assortment indicators is the name of the product or the commodity article, which may include the name of the type or trade mark.

For instance, orange juice (kind) "J7" (trade mark).

When forming the assortment, the complex of its properties and indicators is regulated, which requires an understanding of their essence and knowledge of the nomenclature of properties and indicators of the assortment (table).

Table. Nomenclature of properties and indicators of the assortment

Calculation of indicators

properties

indicators

Latitude (W):

valid

Latitude index (W):
valid ( Shd)
basic ( Shb)
Latitude factor ( Ksh)


Completeness (P):

valid

Completeness index (P):
valid ( Pd)
basic ( Pb)
Completeness factor ( Kp)

Homogeneous group of goods
homogeneous group of goods

Depth (D)

Depth indicator (Dl):
valid ( Gld)
basic ( Glb)
Depth factor ( Kg)


Stability (U)

Stability index (Y)
Stability coefficient ( Ku)

Novelty (update) (N)

Index of novelty (N)
The rate (coefficient) of renewal ( Kn)

Structure (C)

Relative structure exponent ( FROMi) individual goods ( i)

Names and conventions

Calculation of indicators

properties

properties

Assortment minimum (list) (Am)

Assortment minimum indicator ( Am)

Rationality (P)

Rationality coefficient ( Cr)

Optimality (Op)

Optimality coefficient ( Cop)

Harmony (G)

Harmonicity coefficient ( Kgar)

m - the number of homogeneous groups of goods;
d - the number of types, varieties or names of goods available;
b - the basic number of types, varieties and names of goods, taken as a basis for comparison;
n - the number of goods of different names or brands and their modifications of a certain type;
ngar - the number of goods of different names or trade marks, identical with the approved list and taken as a sample;
Ai - the amount of an individual product in kind;
Si - the total amount of all goods available in kind;
m - the minimum allowable number of products that determine the trade profile of the organization;
at - the number of types and names of goods in steady demand;
n - the number of new types and names of goods;
vg, woo, ext - coefficients of weighting of indicators of depth, stability and novelty;
Ep - the beneficial effect of the acquisition and consumption of goods when used by the consumer for its intended purpose, rubles;
Z - costs of design, development, production, bringing to consumption, rubles.

Let's consider the assortment indicators in more detail.

1. Range of assortment Is the number of groups, types, varieties and names of goods of homogeneous and heterogeneous groups.
1.1. Actual latitude Is the actual number of groups, types, varieties and names of goods available.
1.2. Base latitude Is the latitude taken as the basis for comparison.

Latitude factor Is the ratio of the actual number of species, varieties and names of goods of homogeneous and heterogeneous groups to the basic one.

Latitude has 2 forms.
Overall latitude Is a collection of all assortment units, types and varieties of goods of homogeneous and heterogeneous groups.
For instance, the total breadth in the Auchan hypermarket is 45 thousand assortment units at a time, belonging to 40 groups, and within a year - up to 80 thousand assortment units. In supermarkets, the general breadth during the year ranges from 30-50 thousand assortment units.

Assortment unit - it is conventionally taken as a unit name, trade mark or product article and used to measure the indicators of the assortment by counting.

Group latitude - the number of homogeneous groups of goods produced and sold by the organization.
For instance, the group breadth of the Auchan hypermarket is approximately 40 groups, for supermarkets it is 25-40 groups.
2. Completeness of assortment Is the ability of a set of goods of a homogeneous group to satisfy the same needs.
Completeness is characterized by the number of types, varieties and names of goods of a homogeneous group or subgroup. Completeness indicators can be valid and baseline.

2.1. Actual completeness indicator Is the actual number of species, varieties and names of goods of a homogeneous group.

2.2. Basic completeness indicator -it is the regulated or planned quantity of goods.

Completeness factorIs the ratio of the actual indicator of completeness to the base one.

For instance,in the assortment of the store there are 4 types of cheeses that belong to the group of hard rennet cheeses, so the actual figure of completeness will be 4 units. And Russian standards provide for 25 types of cheeses in this group, so the base figure for completeness will be 25 units.

3. Depth of assortment Is the number of brands of goods of the same type, their modifications or trade items.
For instance, the depth of the commercial assortment of fruit juices is determined by the number of brands (Champion, Ya, Tonus, Dobry, My Family, etc.), as well as their modifications (Tonus: apple-orange, peach-orange, etc.) and commodity items differing in packaging capacity (0.2; 1; 1.5; 2 l).

3.1. Actual depth Is the number of brands or modifications available.

3.2. Base depth Is the number of brands or modifications offered on the market or potentially possible for release and taken as a basis for comparison.

Depth factor Is the ratio of actual depth to baseline.
The higher this indicator, the more fully the species assortment of a particular product is presented.
4. Assortment stability Is the ability of a set of goods to satisfy the demand for the same goods.
A feature of such goods is the presence of a stable demand for them.

Stability factor - is the ratio of the number of species, varieties and names of goods that are in steady demand among consumers to the total number of types, varieties and names of goods of the same homogeneous groups.

Manufacturers and sellers most often seek to expand the number of products that are in stable demand, but it should be borne in mind that tastes and habits change over time, so the stability of the assortment must be rational.

5. Newness (renewal) of the assortment - This is the ability of a set of goods to meet changed needs at the expense of new goods.
Novelty is characterized by actual renewal, i.e. the number of new products in the general list; and the degree of renewal, i.e. the ratio of the number of new products to the total number of product names (actual latitude).

It should be noted that constant and increased renewal of the assortment for the manufacturer and the seller is associated with certain costs and the risk that they may not be justified, therefore, the renewal of the assortment should also be rational.
For instance, a new product may not be in demand.

6. Structure of the assortment of goods - this is the ratio of the aggregates of goods in the set selected for a certain criterion.
It is characterized by the specific share of each type or name of the product in the total set.

The assortment structure can be expressed both in natural and in relative terms.
For instance, structure of the assortment of fabrics, expressed in m and%.

Type of fabric

Assortment structure

Cotton

Woolen

Synthetic

Assortment structure indicators are used if you need to determine the need for storage space, as well as the area for displaying goods.

7. Assortment minimum (list) Is the minimum permissible number of types of FMCG products that define the profile of a retail trade organization.

8. Rationality of assortment - this is the ability of a set of products to most fully satisfy the really substantiated needs of different segments of consumers.

Rationality coefficient Is the weighted average value of the rationality indicator, taking into account the real values \u200b\u200bof the depth, stability and novelty indicators of goods of different groups, multiplied by the corresponding weight coefficients.
With a certain degree of reliability, the rationality coefficient may indicate a rational assortment.

9. Harmony of assortment - This is a property of a set of goods of different groups, characterizing the degree of their proximity to ensure rational movement of goods, sale or use.

The enlarged assortment and its varieties are distinguished by the greatest harmony, and the mixed assortment is the least harmonious.
Harmony coefficient Is the ratio of the number of species, names or brands available in a trade organization and corresponding to an established list or sample, to the actual breadth of goods in the same organization.

assortment? A supplier's proposal appears, it is considered by the buyer and the commercial director, it is found acceptable and a narrow assortment is imported for sample in small batches. Then, with a fortunate coincidence, the demand for this product begins. Over time, sales begin to demand more and more goods, and it is good if the supply of goods keeps up with demand. And after some time, the assortment of 10 items brought for trial turns into 100 items, of which 20% is an obvious illiquid product, brought back for trial.

Who, if not the buyer, knows that the assortment has a tendency to uncontrolled growth! Every buyer is faced with more and more new offers from suppliers every day - sometimes it is difficult to separate a really profitable purchase from a potential illiquid product. We do not have time to come to our senses, as the assortment is overgrown like a ship with shells. As new products are added, the costs of maintaining stocks of goods in warehouses, retrofitting of retail space, order processing, transportation, and advertising costs for new products increase. And there is no company that would not face the problem of selling illiquid assets ...

Expansion of the product range

Assortment managers tend to add new products to it, either by fulfilling the requirement of their own sales and distributors to expand the assortment to better satisfy customer needs, or because the company needs to expand its product line to increase sales and thus profit.

Consequently, the expansion of the product range should be planned and not chaotic. It should also be noted that the oversaturation of the assortment leads to the "eating" of some goods by others (the so-called "commodity cannibalism"), when previously normally sold positions cease to be sold. In addition, excessive choice can confuse the buyer - this leads to the conclusion that the introduction of new commodity items into the range is planned and thoughtful. If we are introducing a new toothpaste into the assortment - why are we doing this? At the request of buyers? Who determined this? In what form? What do we expect from this position? What will be the basis for expanding the assortment range of this paste?

What assortment is needed to meet customer needs? What forms of work with the assortment will ensure the maximum return on investment? Effective inventory management answers these questions and leads the company to ensure that the assortment most fully meets all customer needs and optimizes the resources of the enterprise.

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  • Tracking the movement of stock balances in warehouses and ...

On the one hand, it is quite difficult to guess the wishes of customers and please everyone - each customer has his own preferences and needs, especially when we are talking about consumer goods (food, clothing, household chemicals, shoes, household goods, cosmetics, mobile phones, etc. etc).

On the other hand, it seems obvious that it is necessary to optimize the assortment in such a way that the product the customer needs is always in the assortment and in stock.

But it must be taken into account that no method of inventory optimization will work if we have chaos in the assortment policy, if the accounting in the information system is carried out incorrectly and if there is no logic for constructing the assortment.

Let's talk about an important point that must be taken into account before we tackle analytics - this is the general structure of the assortment.

General assortment structure

So, you need to put things in order in the range. Everything should be laid out on its shelves - in other words, structured and classified, but not just at the inspiration of the director, but based on the general idea of \u200b\u200bthe store. For whom did we create such an assortment? Who do we want to attract to our store? For whom do we work every day and deliver goods?

The main reasons that make doing business pay serious attention to assortment classification are two main trends in the retail market:

  • The product itself is no longer a competitive advantage - the buyer requires the service as an integral part of what he agreed to give his money for.
  • The world of consumer and food products has already become a universe - new products are emerging in the world every day (see sidebar).

In 2002, more than 3,000 new trademarks were filed for registration with the Federal Institute of Patent Property (FIPS - the state body of the Russian Federation). Moreover, we are not talking about a new packaging of an old product or a new taste of an existing product. The number 3000 is exactly new products. In Russia today, 60 to 100 new products appear on a weekly basis.

Source: McKinsey & Co, Rospatent, research by Katchalov and Colleagues

With such an abundance of commodities, the situation should not be left to chance, otherwise we risk getting a huge uncontrollable mass of goods, which is difficult to turn around in our store. It is necessary to put things in order in the assortment and constantly keep an eye on the pulse, that is, analyze the assortment and take timely measures to update or change it.

Commodity classifier

For effective assortment management, first of all, it is necessary to draw up a commodity classifier and an assortment matrix.

A properly composed and structured product classifier is the resource that will allow the store to analyze the assortment and make decisions about its renewal or rotation.

How to draw up a commodity classifier correctly?

To describe the assortment, a number of basic terms have been adopted, which we propose to use to bring order to our assortment.

Commodity classifier - division of all products into levels: classes, product groups and product categories. In this case, goods at each level are combined into a class or category, or a position based on common characteristics or properties.

Division levels of the commodity classifier

There are three main levels of division of the commodity classifier:

1st level - class of goods: The larger the store format, the more division levels. In some cases, the first (highest) level of the classifier may be a class of goods - for example, "food products" and "non-food products" or "clothes" and "shoes" - that is, what is united by a common functional purpose in the buyer's mind. For example, “food” is what is eaten, and “non-food” is what is not eaten in any way, “clothes” is what is worn on the body, “shoes” is what is worn on the feet. But in shops of a smaller format or where all goods are homogeneous (for example, the store sells only clothes, and for a certain buyer, say, for young people), the allocation of a class is not necessary.

2nd level commodity group: it is a collection of goods united by some common characteristics - the type of goods, the method of production, etc. (For example, “dairy products”, “baked goods”, “women's clothing”, “men's shoes”, “furniture”, “lamps”, “home accessories”). As a rule, in a store of any format this level is present and is often the highest level, below which the product category already goes.

3rd level - product category: it is a collection of goods that the buyer perceives as similar to each other, or goods that are united by joint use. Simply put, a product category is what a customer goes to a store for. (For milk. For bread. For kefir. For shoes, for boots. For a washing vacuum cleaner. For a plasma TV. For wallpaper for the hallway. For a sofa in the living room). Here it is important to conduct a very clear detailed analysis of your main customer in order to understand what categories he thinks, why did he come to your store? If your store has a deep specialization in the same computers, then people will come to you wanting to get detailed advice and find something special - for example, a home office computer with a large number of special programs. In this case, the division in your store into categories, perhaps, will be "computers for the office", "computers for the home", "computers for schoolchildren", "computers for professionals", and then divided into subcategories (or subcategories) by brands and manufacturers.

EXAMPLE: Sample product classifier for a building and finishing materials store

Three levels of subdivision are shown using the example of detailing to the level of categories: for example, the class "Plumbing", the group "Baths and cabins", a category, for example, "Acrylic bathrooms". Of course, each store will have its own classifier, since even a store with a similar theme will differ from its competitor - perhaps your store has other groups or categories and a different proportion between product classes.

It is important to note once again that we group products based on a set of common features in the view of our buyer. It often happens when a store focuses on brands that are convenient for the buyer to work with (for example, we sell plumbing fixtures by the Finnish manufacturer XXX, plumbing fixtures by the German manufacturer AAA, plumbing fixtures by the French manufacturer BBB, and so on). But the buyer thinks in other categories - he came to the store for a washbasin, a toilet bowl and a bath. In this case, it is correct to do what is convenient for the buyer, and to transfer the classification by manufacturers "XXX", "AAA", "BBB" to the level of subcategories (or subcategories).

Assortment matrix

The assortment matrix is \u200b\u200ba list of all commodity items, including seasonal items that may be temporarily out of stock. But this is not just a list of goods - the matrix is \u200b\u200bbuilt on the basis of the classifier and is the result of structuring the assortment. Subcategories, brands, properties and other accounting units will be added to the division levels in the classifier.

Each company has its own matrix that meets the tasks of a particular store with its specific customers. Moreover, it should not be a chaotic document in MS Word or Excel format with scattered columns, but a detailed and structured list of all commodity items subject to a certain logic.

All goods in the matrix are approved for sale, and information about suppliers, terms of delivery, packaging, dimensions, properties, etc. can be added here. An assortment matrix is \u200b\u200bbeing developed on the basis of an assortment policy document, which reflects the procedure for working with an assortment. In fact, a well-designed matrix is \u200b\u200bthe main document on the basis of which all the work with the assortment costs.

The assortment matrix is \u200b\u200bthe result of studying and considering factors such as:

  • consumer demand (who is our main consumer - age, income level, marital status, education, how they spend their holidays, what they buy most often, why do they shop in our store, what they want to receive, what services they expect from us or our competitors);
  • assortment of competitors (which of the competitors is present, what advantages it has, what level of prices the competitors have, what services are offered, who is still going to come from other networks);
  • the specifics of the region or city (city with developed infrastructure, industrial, port city or regional center, regional capital or outskirts);
  • location features (residential area, in the city center, near a busy highway, near a market, etc.);
  • format requirements (self-service store or trade through a counter, minimarket, supermarket, discounter or boutique, etc.)

Based on the existing assortment matrix, a assortment minimum - a list of commodity items that must be constantly present in the store at a certain period of time. Again, the assortment minimum depends on seasonal fluctuations in demand and other factors related to the specifics of the store - the opening hours (around the clock or traditionally with a lunch break), the location of the store (in a prestigious center, in a residential area, on a busy suburban highway), main customers (retired grandmothers or working young people who do not yet have families and children) and so on.

An example of building an assortment matrix based on a classifier

If you do not know which structure of the classifier or assortment matrix is \u200b\u200bbetter, focus on the sequence in which the buyer makes a purchase decision. Keep in mind that this sequence of selection may not be spoken or even realized by the buyer. If you are a customer of your store, write how you would make the decision. If you don't, ask someone you know to do it, or try to imagine yourself in the shoes of this buyer. For instance,

  • I need dairy products - yoghurts - Danone - cherry.
  • I need a refrigerator - single chamber - domestic - Biryusa.
  • I need linoleum - imported - I don't know the trade mark - in a flower.
  • I need a wardrobe - three doors - with a mirror - light wood.
  • I need a backpack - for a hike - I don't know the brand name - 50 liters - green is better.

Do not forget that within the matrix, the division levels should be the same, so that further you can easily analyze groups, categories and products within a category in comparison.

You can also talk about concepts such as assortment properties.

Assortment properties

Assortment width Is the total number of different product categories included in the assortment. For example, in a grocery supermarket there may be products of such categories as "milk", "meat", "cheese", "fish", "baby food", "diet food", "salads", "household chemicals", "goods for at home ”,“ pet food ”,“ magazines and postcards ”,“ souvenirs and gifts ”. The wider the assortment, the more likely it is that the customer's requests will be satisfied and the wider range of customers we will be able to attract.

Assortment depth - the total number of commodity items within each commodity category in the assortment. In other words, the deeper the category is presented, the better we can guess the needs of our customer, the more choice we will give him. If we are dealing with a specialized store, for example "Cheese", then the buyer rightly believes that the assortment in such a store will not be very wide, but deep enough - that is, there will be mainly cheeses, but of the most different types: hard, soft , processed, goat, sheep, smoked, grated, sausage, moldy, green, low-fat, lactose-free ... and so on. The deeper the assortment, the higher the specialization of the store.

Organizational moments

Before we start analyzing the assortment, we need to put things in order in the organization itself. It will be difficult to deal with the assortment even if there is an excellent classifier, if our staff does not know how to use the system or the inventory is not kept correctly.

In addition to structuring the assortment, it is also necessary to look at the organization of work and business processes taking place in the company itself. How do we order and reorder goods? How do we receive and store the goods? How do we conduct inventories (and do we conduct them at all)? What is the procedure for moving goods from the warehouse to the sales area? Do my managers know what they need to do and what area of \u200b\u200bwork they are responsible for? Are they trained to work with the new computer system? Are they motivated enough? And so on - the larger the company, the more such questions will arise.

If we want not only to analyze the assortment, but also to manage it, then it is also necessary to check and streamline relationships with suppliers, for which we ask ourselves the following questions:

  • Why am I working with this particular supplier (there shouldn't be an answer, because we go fishing together or because he is such a sociable guy who is pleasant to do business with);
  • Does the supplier bring me everything clearly in accordance with the order or take liberties (they ordered an assortment of tea, but received all green with jasmine);
  • Does the supplier bring me everything on time (they come to me for bread in the morning, but for some reason they bring it in after lunch or how it turns out) or with delays for an indefinite time;
  • If I'm not happy with this supplier, do I have a fallback? Do I need a backup provider?
  • What kind of relationship do we have with the supplier - does someone dictate the terms of the deal or do we have an equal partnership? Or are we just performing the act of buying and selling without mutual obligations?
  • Do I have to invest in the development of his product more than I get from selling it?
  • Are the conditions under which we work with the supplier optimal? Can you improve them?

What else should the manager pay attention to before he can start analyzing the assortment? Of course, on the external component of the store's work: are the rules for displaying goods on the trading floor being observed, are the sellers polite enough (and can they be found at all), is it convenient for buyers to enter and leave with purchases, is it possible to park near the store, and so on. All efforts to optimize the assortment can be nullified by the banal lack of parking for cars, if our store is designed for a customer with a car. Take a look at the store through the eyes of the buyer - the store should be liked, be accessible and “own” for the buyers.

Information system (database and its users)

Enterprise resource management systems are also called ERP systems (the abbreviation ERP stands for "enterprise resource planning"). Sometimes they are also called KIS - corporate information systems. This system must be modern enough to structure the goods according to the store's objectives. It should be understandable and easy to use. She, at least, should be! In practice, it often happens that a company at the beginning of its development saves on the information system and orders either a system without some modules or a system only for a central distribution warehouse. And all the necessary information is manually entered by purchasing specialists or product managers into Excel spreadsheets. Or they do not contribute at all, believing that there is nothing to do extra work.

An example from personal practice: A set of dishes comes from the central warehouse to five chain stores, and there, on the spot, the goods are received under different names - depending on the understanding of the task by the manager of the operational department of each store. For example, initially it is listed as "A set of dishes Lemon 12 pers, yellow, manufactured by Limax, Russia, AX-134" When one chain store arrives at the warehouse, it is received as: "Dishes lemon, Limax, 12 pers.yellow.", And on the other it becomes "AX-134 Lemon, set, 12, yellow, Russia." When trying to analyze sales in each store, we will have at least two or even five different positions, which in no way reflect the real picture of the sale.

Also, inaccurate data can be entered into the database due to a change in the name of the supplier or a change by the supplier of the article. All this should be reflected in the information system and your staff should understand the importance of a uniform approach to data entry.

And do not forget about the people - the users of that very system. The system may be very good, but it doesn't matter in itself. Any system is just a reflection of the information that we, specialists, have entered into it. Therefore, it is very important that all employees of your company know how to work with databases and have a consistent understanding of the standards for entering information into the database.

This is the "nervous system" of the store, and the further well-being of the entire organization will depend on how professionally people do this work. The data from the information system must match the real data in the warehouse. Providing a reliable and powerful system and competent users is not enough for effective assortment management. All data can be perfect on paper, but what matters is what can actually be taken on the shelf and given to the customer. Therefore, it is imperative to carry out timely inventories and maintain order in the warehouse. All internal and external movements of goods should be monitored and carried out only with the use of documents and the entry of goods movement into the information system.

And only after understanding the structure of the assortment, assessing how well-adjusted the business processes in the company are, whether the information database is up-to-date and whether our people know how to handle it and whether the movement of goods is properly recorded, we can start analyzing the assortment.

The article uses materials from the book by E. A. Buzukova “Assortment of a retail store. Methods of analysis and practical advice ”, publishing house“ Peter ”, 2006 from the series“ Library of the store director ”ed. Sysoeva S.

Author: Buzukova E.A., specialist in assortment policy,
consultant, member of the Super-Retail Club

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What is category management and how to implement it? What are the categories? How to balance the assortment and increase the financial return from its management? Answers to these and other no less important questions for a retail store are given by the new edition of the bestseller on assortment management, the only practical guide in Russia for building a system of categorical product management.

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Assortment width - it is the total number of different product categories included in the assortment. For example, a grocery supermarket might have items such as “ milk», « meat", « cheese», « a fish», « baby food», « diet food», « salads», « household chemicals», « household products», « pet food», « magazines and postcards», « souvenirs and gifts". The wider the assortment, the more likely it is that the customer's requests will be satisfied, and the wider range of customers we will be able to attract.

On the one hand, the wider the assortment, the more varied needs can be satisfied. The wide assortment allows you to set various trade margins (from minimum to maximum), while maintaining the overall profit of the store. The number of impulse purchases is increasing, the number of different customer segments is increasing. On the other hand, given the ultra-high breadth of assortment, it is difficult for the consumer to navigate in such a variety, which makes it difficult to choose the right product. It is also difficult to manage too wide an assortment - it leads to huge logistics costs and in most cases to excess of working capital frozen in the inventory. With a very wide range of products turnover is lower, accounting policy is complicated by the need for frequent inventories.

An example from personal practice. I started thinking about assortment optimization many years ago, when I was in charge of a separate division of a large trading holding. Carrying out an inventory of stocks, I realized that too large warehouse areas are involved, we keep a lot of surplus goods ... But it is necessary to increase sales, and the expansion of the assortment seemed the shortest path, because many are following the path of expanding the assortment. But this does not always lead to a direct increase in income and increased competitiveness.

For example, there was a time when in our assortment there were collections of wall ceramic tiles in seven different colors and sizes 20 x 20, 35? 23, 25? 40, 20? 15, 20? 30, 30? 40, 15? 15 and 10? 10 centimeters (plus a mosaic). We wanted to attract more buyers in this way. Imagine our surprise when it turned out that with such a variety of goods, people are simply not able to make a choice and, as a result, postpone the purchase or take the most popular sizes and colors. We have cut the assortment and left four colors and three mainstream sizes in each collection. And this assortment turned out to be more competitive and profitable. Then we did this not only with the ceramic tile group, but also with all positions.

An overly wide choice acts as a lack of choice. Therefore, breadth cannot serve as the only indicator of a correctly selected assortment and the main competitive advantage.

Assortment depth - the total number of commodity items within each commodity category in the assortment. The deeper the category is presented, the more accurately we can guess the needs of our customer, the more choice we will provide to him. If we are dealing with a specialized store, for example "Computers", then the buyer rightly believes that the assortment in such a store will not be very wide, but deep enough, that is, there will be only computers, but all kinds of brands, models and options. The deeper the assortment, the higher the specialization of the store.

As a rule, a deep assortment is easier to manage, but it attracts a rather limited number of buyers. But these buyers are ready to pay a higher price in anticipation of a special choice, they are more loyal to the store, where their most delicate needs are satisfied.

How to understand whether a store should have a wide or deep assortment?

Take a popular category like cheese. Imagine that you have entered a store where the assortment seems wide to you - there are many products and grocery and food groups. But among the cheeses you see only two types - the Russian cheese and the Viola processed cheese. Can such an assortment be called deep? No, most likely, such an assortment of the store as a whole will seem insufficient to you, despite its breadth. The depth is precisely what determines the presence within the category of such an offer of types, varieties of goods, by which one can judge the balance of the assortment.

Example 1. If we look into a grocery store and see categories such as meat, milk, wine, cheese, etc., can we conclude that the store is wide? Most likely no. But if we see other categories of goods in the store - diet food, pet food, magazines, postcards, etc., then such an assortment will be perceived by us as wide.

Exploring the assortment further, we come to the "Cheese" section. And if we see one variety of hard, soft and melted, then can we perceive such an assortment as deep? No, most likely we will conclude that the store is not deep enough or poor assortment of cheeses. But if cheeses of different varieties are presented, and also with mold, lactose-free, sausage, low fat, green, etc., then such an assortment will seem deep, or complete (Fig. 3.9).


Figure: 3.9

Example 2. Examining the assortment of a cosmetics and perfumery store, we will conclude that the assortment is not wide enough if we only see creams, shampoos and body care products. But if the assortment also includes gift sets, jewelry, professional care products, etc., then the assortment will seem wide to us. In this example, the category "Hand creams" is presented deeply - there are many varieties of cream. If we limited ourselves to only three or four varieties (with aloe, moisturizer and with glycerin), then such a range of creams would not be deep (Fig. 3.10).

The ratio of these two parameters - the width and depth of the assortment - determines the format of the store. Discounters and supermarkets are characterized by a policy of maintaining a wide but shallow assortment. For specialty stores, on the other hand, the assortment is not wide, but deep.


Figure: 3.10


Figure: 3.11. Store formats

Small-format shops with a small area (stalls, shopping pavilions) do not have the opportunity to trade in a wide range. And nobody expects depth from them.

Hypermarkets, on the other hand, have significant areas and can have a deep assortment in many (but not all) categories.

Knowing the format gives us an idea of \u200b\u200bwhere and in which direction to develop our assortment - in width or in depth. Should we introduce new product categories or deepen existing ones? Where to invest money?

Whatever development strategy we choose, one thing is important: the assortment should be balanced.

Balanced assortment Is a combination of the optimal number of categories (width) and types of goods within the category (depth) for the buyer. We emphasize again - for the buyer... In a large hypermarket, the customer expects the assortment to be as wide as possible, but his expectations related to the depth of the assortment are different. No one expects that among such an extensive offer of goods there will be all kinds of exotic fruits (papaya, mango, rambutan), less common types of meat (horse meat, rabbit), atypical clothing sizes (40–42 and 54–56). For these products or sizes, the buyer will have to go to specialized stores - where the prices are higher, the assortment is not so wide, but it is possible to satisfy even the rarest requests.

However, if the assortment is not balanced, that is, it does not meet the expectations of the buyer, then such an assortment is felt as incomplete. Therefore, we will draw a parallel between the two concepts - completeness and balance.

If the completeness of the assortment does not correspond to the concept of a given store, then the needs of customers are not fully satisfied - the assortment is perceived either as "too narrow - there is nothing", or as "it is impossible to choose - there are so many things!"

The category management methodology allows with a high degree of probability balance assortment in such a way that it meets the expectations of the buyer as much as possible. We will talk in detail about assortment balancing in the section "Assortment balancing by depth". You can also see examples of a balanced assortment there.

For one “trip” to the supermarket, the average “normal” consumer purchases goods of 10-12 categories. The average consumer is not inclined to spend more than 35 minutes on one visit ... Subtract the time spent walking through the sales area (5-7 minutes), the time spent at the checkout (5-7 minutes), as well as the minutes spent looking at goods that are not subsequently will be purchased. There are no more than 15-18 minutes left, or one and a half minutes for each category. How many options will be considered during this time? 5-6 - no more. And that's because 3–4 of them are recognizable brands, which take 6–7 seconds to identify. One or two "novelties" (that is, new proposals that were not previously considered by this consumer) will receive 20-30 seconds of consumer attention.

Items in the form of articles produced by industrial enterprises constitute an industrial (production) assortment. The assortment of goods supplied to wholesale and retail trade enterprises (in the sphere of goods circulation) is called trade.

The industrial and commercial range of goods are interconnected. The industrial assortment of goods is determined by the needs of the population, consumer demand and trade orders, as well as raw materials and production capabilities, and the products of industrial enterprises enter the trade.

In trade, they operate with such concepts as product and group assortment, assortment of a commercial enterprise, a wide, narrow, simple, complex assortment.

The assortment of goods, trade enterprises is determined by their type. A wide range of products is presented in supermarkets and wholesalers; a narrower assortment - at specialized trade enterprises.

Simple assortment - merchandise products include a small number of product types. A complex assortment unites a large number of types and varieties of goods that differ in source materials, design and other characteristics,

In order to improve the service of certain groups of consumers, the assortment of a number of goods at trade enterprises is grouped into complexes (goods for newlyweds, tourists, holidaymakers, etc.). The totality of goods in them is united by a certain group of needs. For the same purpose, related products are added to the main group of goods, for example, in the shoe department they sell shoe creams and insoles.

In the practice of trade, commodity science and in trade and economic sciences, the concept of “structure of the trade assortment of goods” is widely used.

The structure of the assortment of goods is the composition of product groups and other divisions included in the assortment, and the quantitative ratio between them, expressed as a percentage, shares of the entire assortment. Usually the shares of each group (or other division) are calculated according to the value of goods (according to the turnover). Although this is not the best way of calculating, since the cost of different goods is different, it is nevertheless very useful and allows you to analyze the compliance of the structure of the trade assortment with the needs of the population.

The formation of the structure of the assortment of goods means the replenishment and renewal of the assortment in accordance with the needs of the population.

The assortment structure is considered rational if it most closely matches consumer demand.

The indicators of the rationality of the assortment structure are the breadth, completeness, degree of renewal and the economy of the assortment of goods.

The concept “ latitude" assortment of goods refers to both industrial and commercial assortment, characterized by the number of names (types and varieties) of goods manufactured by industry and on sale. Naturally, numerous goods of the same type, which differ little from each other in composition, design and functions performed, and do not correspond to the needs of the population, are not in demand and “settle” in trade. Thus, the concept of "breadth of assortment of goods" is closely related to its optimality and rationality, with the degree of satisfaction of the needs of the population. The industry recommends typed products that differ in purpose and functions.

Completeness assortment of goods is understood as the ratio of the number of varieties of goods on sale to the number of goods provided for in price lists and contractual obligations.

Update assortment is called the replacement of commercially available goods with products with higher consumer properties, which contribute to a more complete satisfaction of the needs of the population. The renewal rate is characterized by the percentage (percentage) of new products in the total output.

When assessing the rationality of the assortment of goods, the assessment profitability manufactured products in production and operation, since the integral quality of goods depends both on their total usefulness and on the costs of their production and operation.

In accordance with the demand of consumers, a certain minimum set of goods is established for trade enterprises, which must be in stock. Such a mandatory list of goods is often called the assortment minimum.

The main principle for the formation of industrial and commercial assortment of consumer goods is the fullest satisfaction of the needs of the population on the basis of the development of productive forces, the growth of industrial production, and the acceleration of scientific and technological progress. The widespread use of new, in particular, synthetic substances and materials, as well as technological processes and more advanced technology leads to the creation of new products that, together with traditionally produced ones, increasingly satisfy the needs of people.

Over time, the existing structure of the assortment of goods can no longer meet the growing needs of the population. Therefore, it is imperative to systematically study the demand of the population in order to develop (taking into account the forecast demand) a preferred (rational) structure of the assortment. Taking into account all the factors affecting demand, systematic replenishment and renewal of the assortment of goods should increasingly contribute to its optimization, which is of major socio-economic importance.

Wholesale and retail enterprises and organizations have services that study the situation and the demand for goods. The functioning services not only identify demand, but also form orders of a commercial enterprise to meet the actual needs of the population. Marketing services coordinate their own activities, taking into account the existing trade network of a particular region. Coordination of marketing services activities is linked to the segmentation of needs and consumption, with financial support of consumer demand.

Consumer demand factors also determine the formation of the assortment of goods in trade enterprises. These factors include climatic conditions, season (season), social composition of the population, fashion, tastes and income level of the population, etc. With the growth of the income level of the population, the demand for new goods and goods of improved quality is increasing.

The criteria for the novelty of products include, first of all, their new functional properties, improved ergonomic and aesthetic performance, and increased economic efficiency of use. A special place is given to household machines and devices with low consumption of electricity, water, fuel consumed while ensuring high environmental and biological safety.