Bill Licata

In last week’s feature, I discussed the basic process for square inch (squinch) analysis and how the sales per inch metric can determine which products in your catalog deserve more space and which can be eliminated from the catalog entirely. This week, I’ll discuss other squinch metrics that can be tracked and those worth pursuing. Five additional metrics you can add into your squinch analysis spreadsheet are: * Profit per inch by item; * Sales per inch by category; * Profit per inch by category; * Sales per inch by page; and * Profit per inch by page. Profit per inch: Although it’s available in many software packages, especially

Because catalog space costs you money, you need to know which products are paying a return on investment and those that aren’t. However, square inch (squinch) analysis can be used to determine the relative strength of your customers’ demand for each and every product. This invaluable information then is used to make decisions about the catalog, such as featuring high-demand products and eliminating those with little or no demand. More importantly, however, squinch analysis provides a guide for correcting marginal items and shows you how to make them winners. The result is often an increase in total sales per catalog –- not just products

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