Merchandising Terms

 

   Retail Merchandising, like any other field, has terms specific to it. While many Retailers have unique terms, here are a few of the general terms you may run into while doing a routine store call.

 

 

Terms

4-Way:

A four sided fixture used in Action alleys to feature merchandise. It can be pegged or shelved, modularized or flex.

605 Clerk: See Claims Clerk

 

960 Unit:

Hand held scanner linked to a computer network. The unit will scan the tag or bar code on a product and then you can order, audit, survey, inventory, etc.

Acrylic trays:

Made of hard clear plastic and are typically used to build cosmetic sets.

Action Alley (A/A):

The main aisle way that runs around the store. Referred to by location such as back action alley, front action alley, etc. (Wal-Mart-Action Alley; K-Mart-midway; Best Buy and Target-racetrack)

Add-On:

Additional merchandise that could be added-on to a sale and purchased by the customer

Adjacent:

Merchandise to departments that are next to or nearby each other. As an example; Hair Shampoos are adjacent to the Hair Conditioners.

Air space:

The air space between the tallest products on a shelf in a category and the bottom of the next shelf up -  As a general rule 2 to 3 inches

Aisle:

Sections of shelving units placed together to display product that the store normally carries.

All Commodity Volume (AVC):

A unit of measurement denoting the gross dollar value of a specific marketing area of a specific product category. Refers to the total dollar volume of a market or category and is generally used in conjunction with share of t\market percentage.

Allocate:

To assign space on the shelf for products. Based on product movement and other measures

Allocation:

A limited quantity of merchandise that is ordered and sent to the stores, usually less than a full order

Assembly:

A program by which certain items in the store are ordered. An assembly item comes directly from the vendor to the warehouse and then to the store.

Attend and Assist (A/A):

To attend a remodel or new store set up and assist as instructed.

Audit:

Overt or covert visits by representatives who are asked to check merchandising and point of purchase issues; including, but not limited to, the stocking, placement and pricing of specific merchandise and POP materials. Audit are usually requested to ensure policy compliance by either a retail store or the manufacturer of the product.

Authorized Stock Item:

An item stocked by a chain or affiliated retailer, which has been approved by the chain or wholesale buying headquarters.

Automatic Distribution:

A method employed by chain headquarters and wholesale grocers to cover key stores promptly by allotting and delivering new items, current deals and special promotion stock to retail stores without specific order from the store manager.

Automatic Replenishment:

The ordering of product as it sells of the shelf. Also referred to as simply replenishment or P.O.S.

Back Tag:

A description tag that hangs on the back of a peg hook. This helps identify what goes on a particular peg if there is am out of stock situation.

Back Order:

An item of order that is presently not in stock but is being reordered and will be available at another time.

Back Room:

Stockroom or receiving area where reserve product is stored.

Backwall:

The farthest back board of a wall or gondola section. It can be pegboard, gridwall, slatwall or uniweb.

Baler:

A large cardboard compactor found in the back room.

Banana Box

A box that is used to ship bananas. These boxes are used to pack, repack, discontinued and/or not in set items

Bar Code

A scanable line graphic imprinted on product and assigned to that product by the manufacturer. It is a code pattern of bar stripes of different widths, which can be read by electronic scanner and used for identification (of products, cases, and coupons), ordering, and creating shelf labels. See UPC.

Bar Code Scanners:

Reads bar codes. Bar code scanners are generally classified as wands, hand-helds, or telzons. In most cases you can use this tool from the sales floor to check the current sales levels, on-hand counts, pending orders, etc.

Base:

The bottom shelf of a shelving unit that never changes position.

Bay:

As I know it from big box retail outlets such as Home Improvement stores. "Bay" refers to where the product is placed for consumer purchase. Example: I do Owens Corning insulation products and the bats are merchandised in a bay from where the consumer gets the product to take to the cash desk. It is akin to shelving for small products but are large open areas (without shelving ,etc) that run the length of an aisle where oversize product is located for sale with each product having its own bay--(area of placement according to a pog).

Bean Flip:

Plastic piece that holds up the rollback sign.

Blister Pack:

A package in which an item or items of merchandise is covered with a transparent plastic casing and attached to a piece of cardboard. I.E. 2 pc of aspirin

Blitz:

A focused retail coverage conducted in a compressed time frame on a given initiative, project, or circumstance. The time frame is less than a normal cycle, usually one or two weeks, in which service must be completed usually at multiple stores.

BOGOF or BOGO:

Abbreviation for buy one, get one free.

 

Bonus Pack:

A larger size package being offered for a limited time at no additional cost to the consumer

Brand:

A manufactures specific trademark and label which is used to separate their products from others

Brand Partners:

In Kmart Vendors are referred to as Brand Partners.

Building a Display:

Arranging and putting together merchandise or sample products, usually from scratch

Bundle Packs:

Several different products or units packaged together and sold as a single unit.

Call:

A visit to a store/client to complete work in that store

Call-ins:

Items the buyer has determined should be returned to a designated location.

Call Report:

A report filled out during a store visit to provide data to the client

Capacity:

The number of items that can be stocked on the shelf or display when fully stocked (regardless of how many are actually present on the shelf). This is a different that an inventory count. See "Inventory".

Carded product:

Items packaged with a backing and clear front to allow customers to see the product. Products are usually merchandised on pegs. The "card" is a cardboard backer.

 

 

Case Out:

When product is kept in its case (with one side of the case cut to reveal the product) when put on the shelf for sale.

Case Pack:

The number of individual units in a case

Category:

A group of products that have a common consumer end use;

Examples- pet,health and beauty aids, snack, baking, etc


Channel Strips:   See Shelf Strips

 

Charge back:

When the store returns product to the warehouse, the store "charges" (or in so many words requests reimbursement from) the warehouse for the product they are returning. If the warehouse decides to deny the charge (for whatever reason) it is called a "Charge Back".

Cheater Shelf:

Flex space below riser in some departments.

Check Digit:

The last digit of the UPC code is called a check digit and is the far right number on a product package.

Clamshell:

The hard plastic casing/cover for videos used to prevent theft.

Client:

The client is the manufacturer/distributor that contracts with the merchandising companies to employ merchandisers to represent /service their product at store level.

Clip Strip:

 A type of display that is metal or plastic and hangs by a hook from the shelf on which merchandise is clipped and hung vertically. Clip strips are used to display high profit, impulse items that are displayed throughout the store. (AKA Product clips)

Code Dating:

Manufacturer's practice of marking a code on an item to determine the packer or to measure the salable life of an item. Code usually indicates source and date of packaging.

Coffin Case:

A waist-high open-faced refrigerated or freezer case usually used for impulse or sale items.

Competition:

Mark-down (Comp. items)
A mark down taken on a particular product to meet a competitors ad.

Counter Card:

A display card used at the checkout or at a service counter.
Counter cards may be with merchandise or to serve as a sales promotion/reminder.

Countertop Display:

Display that sits on a sales counter

Coverage:

The extent to which a call/client is serviced. How long a service is in a store.

Cross Merchandising:

Displaying product along with other related product. Example: Batteries on clip strips placed next to battery operated toys. An item can be cross merchandised in many locations throughout the store. Some chains print a "M" on their labels to signify that item is found in more than one location.

C-Store:

Convenience stores (Chain or Independent)

Cut Case Display

(aka punch out) A product display created by trimming the corrugated outer casing to display the product contained within

 

 

Cut-Ins

An action taken to place new items on an already existing display/fixture/shelf by removing an old items or reducing the facings of an existing items. Items are cut-in a specifically designated location without resetting the whole section. A cut-in usually occurs between major resets and to a Plan-o-Gram.

Cycle

The time span in which a store or groups of stores are visited and/or revisited by a rep

Damages

Products that cannot be sold for any number of reasons. Example: broken, ripped, dirty, tarnished, etc Each store has a policy for proper handling of these items. Follow the stores authorized procedures.

Dead Label

An EAS label in an inactive state where it will not alarm an EAS System

Dedicated Service

Another word for exclusive service, loyal to one account/client. If a client has two cycles a month, generally they are visited every other week.

Deletes

Items that are no longer on the planogram/modular. There is a procedure for proper handling of deletes. Follow the authorized procedure in each particular store. AKA Discontinued or Disco'd items.

Department Manager

This person in the department is responsible for ordering, conducting markdowns, and overall management of the department.

Departments

Specialized stores within the store such as Electronics, Pharmacy, Hardware, Cosmetics, Garden, Pet, Sewing, House wares, Apparel, Shoes, etc.

Directs

This refers to 1) the area in receiving where merchandise that is shipped from the vendor is processed; or 2) merchandise ordered by assembly or location Purchase Order that is shipped directly from the vendor to the store.

Discontinued Items

See Deletes

Display

Arrangement of merchandise, usually accompanied by printed signs

Disposable Label

An EAS label that is attached to or inserted inside of merchandise or packaging and is not intended to be removed at the point of purchase

Distressed Goods

Items that have been damaged or soiled

Distribution Center

Where a store chain keeps product until an individual store places an order or the Perpetual Inventory System automatically replenishes. Mass Merchants usually have DC's regionally for faster shipments to each store in their region.

Distribution Void

See Void.

Dividers

Placement of an item that is approximately 3" high. These are used along with fencing (see fencing) to separate small items. (For example: toothbrushes, spices and deodorants)

Do IT's

Plastic tabs that are used to repair damaged holes on hanging product packaging.

Drop List

A list of deleted or discontinued items

Drop Shipment

An order of merchandise delivered to the store by the manufacturer and billed to the retailer through a wholesaler or the headquarters of a chain. Drop shipments are not always ordered by the stores. Some are "pushed" or forced thru the manufacturer.

DSD (Direct store delivery)

Merchandise that is stocked by a store but is not ordered through the store. A vendor rep places the order and the merchandise is then shipped direct from the manufacturer to the store, bypassing a wholesaler. Also called "Store Door Delivery". DSD items are usually not inventoried by the store.

Dummy Facings

When the actual product is not in stock, another product with the same dimensions is temporarily faced backwards to ensure correct space is left on shelf

Dump Bins

A type of box or bin used for holding product.
v 1) May refer to storage area in backroom for store See also Backroom
OR 2) May refer to Display units for the sales floor. The product is "dumped" into the display bin (or dump table) rather than being stacked in an orderly fashion.

EAN

European Article Number's are the European equivalent of the UPC. The code differs from its American counterpart by including a 2-digit system number that represents the country in which the product is manufactured. It's unique identification numbers are regulated by the International Article Numbering Association. These 13 digit codes identify country, manufacturer, item number and check digit. I have never had to work with EAN's but want you to be aware of them. If you were to encounter one, it would probably be found on candy or holiday cookies.

EAS Label

A special tag attached and/or adhered to products, usually higher ticket items, which will set off an alarm when passed through an EAS detection equipment.

EDI

Electronic data interchange, ordering process

EDLP

Every Day Low Prices

EIN

Eckerd Identification Number

Electronic Tag Keys

A specially designed key that is used to move electronic tags during resets. This key is obtained from the manager.

Electronic Tags

A digital display unit attached through electrical connections to the price molding of the shelf, which displays the price of an item.

Elevation

The distance between one shelf and another, measured in two ways: 1) Top-To-Top: Elevations are measured from the top of the base to the top of the first shelf, top of the second shelf, etc. 2) Air Space: Elevations are measured from the top of the base to the bottom of the first shelf, top of the first shelf to the bottom of the second shelf, etc. May also be called Top-to-Bottom.

End cap (E/C)

Shelf/fixture/display on the end of an aisle or gondola. This can be shelved or pegged merchandise. In most departments, this is for display purposes for promotional merchandise.

End Display

See End Cap

ESV

Extra Special Value (Target Item)

Exception

A situation or circumstance that does not conform to the standards relative to a store, section configuration or other components

Exclusive

Undivided loyalty to one client, also known as dedicated service

Expiration date

A date printed or stamped on product when product is to be pulled from sales floor.

Extender Shelf

A small shelf added to the molding in the deli case used for small promotional items.

F.I.F.O.

"First-In-First-Out" means the rotation system in which the oldest stock is put on sale first.

Face out

Action taken to ensure product items are facing out towards the customer.

Facings

The number of locations the EXACT SAME (same in brand, size, number, etc) product has on a shelf/fixture/display of a section facing a customer. This is not an inventory count of the product stocked behind the front forward facing of product. Only the one item facing the customer is counted as a facing. Product stacked on top of each other on a shelf is just a singular (1) facing. The same product located next to, below or separated on a shelf are multiple facings of the product. Pegs containing the same product that are next to, below or even separated from each other BUT in the same section are multiple facings of the product.

Fast-Back Hook

A two prong hook that attaches into the pegboard

Fastag or Fact Tag

Chains' name for a plastic holder of product information and sometimes the reorder label that is affixed to the shelf in front of the product.

FDM

Food Drug Mass

Feature Ad

Primary sale ads that are regularly distributed by the chain. May be available in store only or received by mail. These are typically weekly flyer ads like grocery stores but may also be monthly.

Fencing

A metal or plastic fixture piece, used along with dividers to separate small items. Fencing keeps the merchandise from falling off a shelf or display. Fencing is used almost always when slant shelves are being used.

Fixture

Shelf/case/display that holds product

Fixture Accessory

Shelves, Peg Hooks, etc.

Fixture Fill

Amount of product it takes to completely stock a shelf/fixture/display

Flex

A space that is not modularized or planned. This can be anything from an entire section to a row of pegs. Not all departments have flex space. This is where leftover promotions, clearance items, etc. can be placed. Often times, new products are placed in flex areas until they can be cut into the actual modular.

Flip Flop

To exchange the placements of two pieces (or sections) of merchandise.

Floor Display

A free standing self-contained merchandising display unit of product that sits on the sales floor. The merchandise may or may not be currently carried by the store on a routine basis. AKA Floor Stand

Free Standing Store

A retail outlet that stands by itself and is not attached to a mall or shopping center

Frequency

Rate of occurrence (call)

Front End

The area where registers, service desk, and checkout tables are. Often refers to the wall of merchandise opposite of the registers.

Front Runner

Plastic strips that attach to the pegs to hold the labels

Fronting

The daily merchandising action of pulling product to the front of the peg, shelf or display.

FSI

Free Standing Insert (usually in the Sunday paper--ad usually containing a coupon)

Garvey Gun

A hand held ticket gun used to price merchandise

General Merchandise

The products that are sold in a mass merchandiser, supermarket or drug store, which are not grocery, meat, produce or deli items. These GM products would include Health and Beauty care (HBC), Hardware, software, etc. Also referred to as "non-foods" or "Variety".

Gondola

An island shelving unit open on two sides. It is a secured upright fixture to which shelving is added. These unit sections are placed side by side and are what form the aisles in the store. A High profile is a gondola built to around 72" high. A low Profile is a gondola that is built to be 48" high.

HABA

Health And Beauty Aids

Handheld

Portable computers designed to collect in-store data

Hang Tag

Manufacturer's label describing the merchandise. Also a hanging price tag used on garments and other merchandise

Hardlines

Lines of product, commonly considered tools, automotive, house wares, etc. All departments that are not soft lines or home fashions

HBA

Health and Beauty Aids

HBC

Health and Beauty Care

Header Card

Signage that is used at the very top of a display or fixture.

Hicone

The packaging that holds together multiple units of the same product, such as the plastic rings that hold a six-pack of soda together. These types of products have only one UPC number, representing both the single unit (one can of pop) and the multi-unit (six pack of soda).

Horizontal Block

A group of one brand or flavor placed on a shelf in a horizontal position. For example if you were doing a cat food reset, you would probably put all of the Fancy Feast across one set of shelves from the right to left, instead of putting them on several different shelf heights.

Impulse Buying

Purchases made by the consumer not planned by the consumer when entering the store. The location or display of the item that creates the "suggestion" or "impulse" triggers the purchase. Candy is put by the front registers because it is an "impulse" buy.

In and Out Promotions

A short-term promo to induce sales of other products: a once around feature item, not to be restocked as regular shelf merchandise.

Identification Sticker

A sticker adhered to product packaging which communicates that the item is protected against theft or shoplifting

Independent Drug

A store that is not part of a major chain.

Indexes

Some stores use this term for a list of stores pertaining to a specific planogram version.

In Distribution

Product authorized to be regularly sold and has been approved for space on the shelf by the chain or storeowner. Items are in the Plan-O -Gram.

Initial Set

Setting a new product(s) on shelf/fixture/display

In-Line

Product placements within an aisle run.

Inline Fixture

The physical permanent fixture, used with pegs or shelves to display product.

Inventory

A physical count of the product in the store.

IRC

Instant Redeemable Coupon put on products in the store to help them sell.

Island Display

A semi permanent floor display open on all four sides.

Item Number

A number used to identify a product assigned by a particular store chain. See also Order/Stock number.

Inventory

The number of actual items stocked on the shelf or display at the time of your visit. This is not the same as capacity. See "capacity" for definition.

IVR

Inter-active voice response, data collection via phone

Jewel Case

Plastic outer casing/cover for a CD or DVD.

J-Hook

A hook (usually mounted on the top shelf) that extends out from the shelf to hang merchandise on.

Jobber

Wholesaler who sells to independent markets and delivers product to the individual store location

Jump Shelf

An additional shelf that will be offset from the other run of shelves.

Just-In-Time (JIT)

A replenishment system that reduces the amount of space a retailer needs for back stock. The product is reordered every time the cashier rings up a sale

Kick plate

Metal plate running along the bottom of the gondola or pegwall from the floor to the base (bottom) shelf. AKA base plate

Kiosk

1) A small leased area, booth or cart inside a mall or store. (2) An interactive display or terminal giving access to an Intranet or to the Internet from inside a store for ordering or checking on merchandise

Label

Contains price information for the consumer. Labels are placed in the shelf channels to the left of the product or on the front runners for peg hooks

Lead In

The first product a consumer sees from the main aisle. Planograms have lead in indicators to show which end of the planogram starts near the main aisle.

Lean-back

A cardboard display unit where products are placed in the unit but are not shipped in that way. The units are constructed by the manufacturer or by the store personnel and then stocked from products on the shelf. Unit usually Leans Back.

Left Justified Label

Labels that are placed below the first facing and to the left of the respective product. Lining up labels to the left of the product in the channel.

Linear Footage

The TOTAL number of feet devoted to a category using all the shelves in that category. If you are asked to measure the Linear Footage, this is accomplished by adding the footage of every single shelf in that category together to come up with a grand total.

Line listing

See shelf report

Lip-Locked

Refers to product that is stocked on the shelf but cannot be easily removed because it "catches" on the shelf above it.

Live Label

An EAS label in an active state which will set off the store alarm system if the merchandise is taken past an authorized check point

LOA

Letter of Authorization. This letter usually describes a job that a client wants to be done in a store or store chain.

Load and Label

The action taken to load product onto a shelf or peg and to place the corresponding store tag or label for that product. Loss Leader Merchandise sold at or below cost intended to bring customers into the store

LRT

See RMU

Maintenance

General upkeep of keeping product set to current schematic/plan-o-gram and fixtures/displays/shelf clean

Manufacturer

Producer of products and merchandise that people buy

Mapping

The process of determining locations and adjacencies of departments and merchandise inside a store

Mark Down

Product price reduction from its original retail price and authorized by the store

Mark ups (M/U)

The percentage over cost that the store marks up an item. Also called gross.

Mass Merchant

Wal-Mart, Best Buy, Target, K-Mart, etc.

Max Shelf Quantity

The reasonable holding capacity on the modular, front checkouts, sidekicks or any other areas in the store where merchandise is located.

Merchandiser

A person who services retail stores who is knowledgeable with their clients brands, product and store objectives

Merchandising

All activities related to products with the primary goal of increasing the products' sale. This includes placing product in an approved and eye appealing configuration, placing signage, facing, fronting, pricing, etc, etc.

Midway

See Action Alley

Mirrored Image

Most POG's read from left to right; unless it specifies "Mirror Image" then it is read backwards, from Right to Left. A mirrored image set is required if the set is dependent on the #1 item position being lines up with the main aisle or front end of the store.

Mix and Match

Offering the consumer a choice of several different or similar items at a total price (i.e. 'Your Choice #12 for $1.00').

Modular Integrity

See Proof

Modular or MOD

Different stores use this term in different ways. It may refer to 1) The physical permanent or freestanding fixture, used with pegs or shelves to display product Or 2) The planogram (or layout) of one section of the shelving unit.

Moldings

The outer most edge of the shelf where the shelf tags/labels are to be placed.

MSI

See Order/Stock number.

Multi-Pack

Two or more units attached to each other with the intent to sell as one item.

Multiple Pricing

Pricing a single item in units of more than one (i.e. 3 for 25 cents).

Mystery Shop

Store visit requiring merchandiser anonymity in order to evaluate customer service or gather product information in an unbiased manner; form of market research

Neck Hanger

Tag or POS placed on around the "neck" of the product or peg

New Item

Any item not on the previous planogram/modular that is being introduced to store.

Night Crew

A group of store personnel that work in the store during the late P.M. hours, usually restocking the shelves.

NOF

A bar code or item number that is not in the system. This can be an old item that has dropped out due to a lengthy period of inactivity (normally 120 days) or it may mean the product/item numbers in not authorized in that particular store. Oftentimes, new items will not scan on the file, but the UPC clerk or other authorized store personnel can fix it in the system.

Non Replenishable

Product that cannot be reordered from warehouse.

NOP

Not On Planogram

Off Label

Pricing: Special consumer saving marked on the label.

On Hand Quantity/Count

The quantity of the item that perpetual inventory shows in the system, including on the sales floor, in the backroom and any hidden areas.

OOD

Out of date

OOS

See Out of stock

Order/Stock Number

Usually an additional number issued to each item in a store by a particular chain. This number is used for reordering from the warehouse. These numbers change from chain to chain. Also may be referred to as a MSI or item number. Some stores just use the UPC number as their order/stock number.

OTC

Over the counter, health and beauty care and drug items that do not require a medical prescription for purchase

Out-of-Stock (OOS)

If the product is normally sold in the store (i.e., in distribution or authorized) and there is a shelf tag indicating it is supposed to be there but no product is found on the shelf, it is out-of-stock.

Outrigger

A rack system that fits over a standard gondola in the sales area.

Outsourcing

When a company uses employees / independents from another company other than their own.

Over/Under

Two separate types of merchandise placed in one section, divided by shelves. (Example: dry dog food on the bottom shelves and canned dog food on the top shelves.)

Overlays

A plastic overlay for peg hooks that hold the shelf tag/label.

Overhead

The shelf above a section holding overstocks or discontinued items also called Cap Shelf

Overstock

Product remaining after shelf/fixture is stocked to capacity May also be called Backstock.

Pack Out

Bringing merchandise from the backroom or customer inaccessible location and placing product on a shelf/display/fixture to capacity

Pack Size/Label Change

A change in package size or label change. New package size or new-labeled product should be placed behind old.

Pallet

A wooden platform used to ship or stack merchandise on.
See also Stack Base

Pallet Jack

A hydraulic device used to move loaded pallets from one location to another.

Pallet Rack

Large industrial sized racks found in backroom/warehouses that are used to stack loaded pallets on.

PDQ

"Pretty Darn Quick" display to set up. Typically cardboard displays that comes preloaded with product and are used as clip strips or used in sidekicks. These displays are gravity feed so a new product drops down as customers remove each unit of product.

Peg Hooks

These metal hooks that are used to merchandise small hanging product. Normally used in the candy, general merchandise and health and beauty care.

Pegboard

The backboard of a wall or gondola section that has a series of holes (usually 1" apart) into which peg hooks are inserted.

Pegged Merchandise

Product that is merchandised on peg hooks (such as cosmetics) Perpetual Inventory System This system is linked to the POS replenishment system and is used to track movement of the inventory from the warehouse to the store and out the front door as an item purchased.

When properly adjusted (by maintaining accurate "on hand" counts), the Perpetual Inventory System will automatically replenish the basic modular merchandise on a day=to-day basis.

Physical Inventory

Physically counting the individual items in stock at a particular date and time

Planogram

A diagram or "blueprint" showing the exact location of each product on a shelf/fixture/display. It may also show shelf elevations measurements and other pertinent information. Planograms are broken down into sections and categories within a department. Planograms are sometimes referred to as Plan-A-Gram, Plannogram, POG, or Schematic.

PO

Purchase order used to ship product to a store

POD

Proof of Delivery

POG

See Planogram

Pole Topper

An upright fixture used in a merchandise display to hold POS signing materials.

POP (Point of Purchase)

A display unit (usually cardboard) or advertising materials (such as channel strips, shelf talkers, wobblers, premium pads, etc) placed in the aisle of a store. Anything used to help sell an item.

POS (Point of sale) System

A computerized system used to track sales through cash registers in the stores.

POS (Point of sale) Materials

Same as POP materials but placed at the cash register area.

Power Wing

See Side kick

Preferred Product

Shelves that are located between hip level and eye level

Pre Ticketing

Product arriving at store level with tickets on

Pre-Priced

A package label with an existing pre-printed price.

Price Look-up

Also called a PLU is a number assigned by the retailer as an item's product code. Used typically for the non-UPC-coded products such as produce, fresh bakery goods, and large, hard to scan goods such as charcoal. A PLU is keyed into the register when the product is purchased to identify the product and price. Retailers refer to a PLU using various names, such as item code, look-up, etc.

Price Point

Usually label size, that displays the price of an item. Each shelf location and peg must display the price of the product at that location. In displays or fixtures, items that are grouped by price in one location can be marked with one price point.

Price Tags

Depending on your store could mean two different things. 1) The actual price tag that is on the product. Or 2) The Shelf Label.

Private Label

Items that are manufactured and sold for a specific chain.

Product Stopper

A small hard plastic or rubber that fits on a peg. It is put on the back of the peg behind hanging product and then is used to position (pull) product to the front of the peg. Gives pegs that "full" appearance that merchandisers want!

Profile

See Gondola

Project

A type of service that varies in description and is usually a onetime call.

Promotion

Special allowances of discounts offered on products by suppliers

Pull

Remove product. May go to returns or be destroyed at store level. Follow your specific instructions.

Pull and Plug

The action taken to pull existing discontinued product and replace with new product.

Pull Facing

A sample of items to be used into a section. Two pieces of each item should be used. May also be called a One Around.

Punch-out

See Cut-case.

Racetrack

See Action Alley

Rat Pack

The hiding of excess stock that is placed elsewhere in the section (usually behind other adjacent product).

Recall

Product being recalled and returned to distribution center or manufacturer at their request

Receiving

Located in the Backroom area where product is processed as it is shipped in. The Receiver (a job title) generally works early A.M. shifts.

Receiving Desk

The desk where the Receiver works.

Remodel

A complete makeover of the existing store.

Repack

Overstock that is repacked in boxes (usually banana boxes or similar sized boxes).

Reserve Stock

Merchandise that is stored in an area inaccessible by customers.

Reset

The updating and changing of shelf/fixture/product display to conform to authorized or preferred configuration

Retag

Changing shelf order tags on shelf/fixture/display to conform to new system

Retrofit

To furnish or affix parts or equipment made available after the time of original manufacture, or to modify an existing floor plan or fixtures to new specifications

Return Authorization

The directive that permits a retailer to return unsold or undamaged merchandise to the manufacturer. This return usually must be accompanied by a RA# number to process a return.

Return Center

A place that a chain sends back returns to get reimbursed for product.

Returns

Product that is returned to vendor or warehouse for reimbursement. The product may be damaged, is no longer carried by the store or is excess stock.

Return to Vendor (RTV)

The process used to return product.

Ribboned

See Vertical Block.

Riser

The top shelf over a shelving unit to house overstocks.Merchandise on the riser must relate to what's below it.

RMU

Hand held scanner linked to a computer network used in Kmart stores--also known as an LRT. The unit will scan the tag or bar code on a product and then you can order, audit, survey, inventory, etc. When connected to a portable printer called a Label Maker you can scan a bar code and print shelf label.

Rolling Rack

A Semi permanent display fixture on wheels that can be easily moved to different areas of the store

Rolling Steps

Steps with wheels.

Rotation

Putting new product behind any existing product. Dated items: oldest product is placed in front of newer product so the oldest will sell through.

Rounder

Round apparel rack fixture

Row Run

See Tag Run.

Sales Promotion

Any special activity designed to bring attention to and increase the sales of a product. Contests, giveaways, celebrity endorsements are examples of a sales promotion.

Salvage Goods

Merchandise that has been damaged in transit or storage

Scan Hook

A peg hook that has a label holder at the end where the label is to be placed and is easily scanned by computer equipment. Planograms must allow extra space (usually an extra hole between rows) to accommodate the extra space taken by the label holder.

Scanners

Check stand technology designed to "read" product

Schematic

See Planogram

Schematic integrity

See Proof

Seasonal

The area of the store used for Halloween, Easter, Christmas, etc.

Seasonal Item

An item with an annual seasonal sales peak (i.e. suntan lotion, Christmas decorations, etc).

Section

The individual fixture units that combine to create an aisle.

These are usually about 3 or 4 foot wide. Tip: With this information you can easily calculate the length of a category. If you are asked to audit the length of the detergent category and the sections are 3 foot wide and there are 4 sections, the length of the section is 12 feet.

Service Recovery

Dealing effectively with customer complaints, problems and dissatisfaction.

Set Crew

A team of chain and/or vendor supplied people assigned to a specific store outlet for the purpose of store remodels.

Shelf Brackets

Metal arms that are inserted into the upright bars on the back of a shelving unit. Shelves are then placed on top of supporting metal brackets.

Shelf Channel

The indented front of the shelf where labels or plastic label strip holders are placed

Shelf Extenders

A tray or display fixture designed to be affixed to the shelf to attract customers' attention and create additional product space. Used a lot in drug and grocery stores.

Shelf Fixture

A fixture used to display product on a shelving unit.

Shelf Flag

See shelf talker

Shelf Label or Tag

A label/sticker placed on the molding of the shelf identifying product and price. May also contain UPC, barcode and store item number. Also sometimes called a Price Tag or Shelf Tag.

Shelf Organizer

Lightweight trays used to hold products on the shelf.

Shelf Report

A list attached to the POG with full descriptions of the product with a corresponding number of the order they should go on the shelf. It may also include a new and discontinued item listing. AKA Line Listing.

Shelf Strips

An advertising message for shelf stock, affixed to the shelf molding. Also known as "Channel Strips".

Shelf Talker

A small sign that sticks or attaches to the molding of the shelf to draw customers' attention to product and stimulate sales at the point of purchase. Usually gives details of product or promotional information. Shelf talkers as a rule must never cover a product or conceal a price.

Shelving Unit

The physical permanent fixture, used with pegs or shelves to display product. A general term describing Gondolas, Side Counters, In-Line fixtures, and Modular's.

Shipper

Pack A pre-packaged display carton, which can be opened up, assembled and placed directly on the sales floor or counter. Also called "Prepack" or "Self-Shipper". Bigger than a PDQ.

Showcase

A glass or see through display unit containing merchandise that is not usually easily accessible to customers. Used to prevent product damage or theft.

Shrink

The dollar difference in what a store counts at inventory and what it has on paper. Any theft, packages thrown away, unrecorded markdowns are considered shrink.

Side Counter

The physical permanent fixture, used with pegs or shelves to display product.

Side Stack

Displays placed along side of a grocery aisle.

Sidekick

A small product display that hangs on the side of an endcap shelf. AKA Power Wing

SIF (Sign In For)

Terminology used when on a remodel or an attend and assist assignment representing a client. Usually you are asked to sign in on a list of attending vendors.

Signage

Signs that are used on fixtures and can be removed or replaced. These signs highlight an item by attracting the customer's attention to its low price, new item, product information, etc.

Size Class

A store is classified by size (square footage) which determines the product mix and section size. Each department also has a class size that is determined by sales volume.

SKU (Stock keeping unit)

A number code assigned to an individual item. Items may be like products but only differ in size such as 4 oz, 8 oz, etc or different types like tablets, caplets, etc or different amounts like 12s, 24s, 36s, etc. Some stores refer to the UPC number as the SKU. Others refer to the stores' particular order/ stock number as the SKU. Check with your particular store or supervisor to clarify. See also Order/Stock number and UPC number.

Sky Hook Peg

Fastback metal peg with label holder attached. Front-runner is not used

Slat Wall

Wall fixture used to display merchandise on hooks or pegs.Because the fixture has "slats" instead of "peg holes", special hooks and fixture adapters are needed to set the wall.

Skyline

The tallest height that a product can be placed.

Slip Sleeve

A paper sleeve casing/cover for video or audio product.

Snap Railing

A rail with pegs attached that slide.

Softlines

Lines of product, commonly considered apparel, cosmetics, jewelry, etc.

SOQ

Suggested order quantity

SPD

Semi Permanent Display

Spinner Rack

A fixture that rotates around for the customer to view product

Spine

Display items like books in a library.

Split or wrap around sections

Simply means that the section is split into two sections, one on the side of the gondola/aisle and the other on the other side of the gondola/aisle. Thus wrapping around to another side of the gondola/aisle.

Spoils

Product that has gone bad.

Spoils Allowance

An allowance made by the seller to the purchaser in anticipation of breakage loss or a reimbursement to the buyer by the supplier for breakage damage when the supplier accepts the responsibility.

Spoils Recovery

A place that a chain sends back spoils to get reimbursed by the manufacturer or vendor of that product.

Stack Base

A 4' x 4' wooden or rubber square used in Action Alley to display merchandise. Often a "1/2 stack" is used for smaller displays.

Stickering

The action taken to place stickers on product. These may include coupons, rebate offers, product updates or corrections of info on packaging

Stock Turnover

A measure for determining how quickly merchandise is being sold Super Store A category of retail stores. The typical store is large, offers variety of goods (all of a mass merchandiser) and has added food. Super stores may offer discount pricing.

Surge

Expanded or increased need for a reset due to a new item initiative

Surge Blitz

See Blitz

Surveys

Questionnaire that collects information requested by customer/client

Swell Allowance

A predetermined amount to be deducted from the face of an invoice to a wholesaler or a retailer, or a refund to be made at a later date, intended to cover estimated spoilage of age sensitive products.

Syndicated

Working with a variety of accounts/clients

T-Stands

Basic apparel fixtures with posts topped by cross bars

Table Tent

A cardboard or plastic sign folded like a tent that sits on a tabletop or counter to advertise in an item.

Tag Run

A print out of all labels needed for a specific category in the store. Also known as a "Row run".

Tag Up

Shelf tag or label in place shelf

Target Time

The company's anticipated time they expect it will take for the merchandiser to complete a project.

Tear off pads

Sheets of paper that can be removed one at a time by the consumer. They give information about the product that they are placed near.

Telxon

Hand held scanner linked to a computer network. The unit will scan the tag or bar code on a product and then you can order, audit, survey, inventory, etc. When connected to a portable printer you can scan a bar code and print shelf labels by pressing F6.

Testers

Samples of product not for sale but made available to the customer to "test" (look, touch, feel, try on, etc). Test Market A process whereby a manufacturer introduces and markets a product or program in a controlled geographical area. Results of the products are carefully monitored in order to revise and develop plans for expansion of the product into other markets.

Tie-In Sales

The cooperation at retail in promoting a product during a consumer advertising period conducted by the manufacturer, uniform promotion; follow-through at the point of sale.

TM (Territory Manager)

Another name for a merchandiser with a defined area that they work in.

Totes

Plastic boxes that are used for shipping items.

Traffic Flow

The pattern of planned traffic movement of consumers through a department or the store (usually designed to take consumers past the high profit items or depts.).

Tray Pack

An adaptable shipping case or carton, which can be used as a shelf stock selling unit by removing the top portion.

Tubs

See Totes.

Turns

The number of times a product completes the cycle of moving through a warehouse or retail store (i.e. The number of times a warehouse is completely rotated.)

UOM

Abbreviation for Unit of Measure

UPC (Universal Product Code)

A bar code (a scanable line graphic) and UPC number assigned to that product by the manufacturer. The UPC can be used to create a shelf label for ordering purposes See Bar Code and UPC number.

UPC number

A number code assigned to an individual item. It is located with the bar code on the product and on the shelf label. Some stores refer to the UPC number as the SKU or they use it as their order/stock number.

UPC office

The office or clerk responsible for scanning all items in the store.

UPM

Unit and Pricing Manager at K-mart.

Upright Bars

The upright bars that are on the back wall of a shelving unit.
Shelves are placed upon extending shelf brackets that are inserted into the upright bars

Vendor

Any firm such as a manufacturer or distributor from which a retailer obtains merchandise.

Vendors Log

Book and/or sheets used by retailers to identify vendors and visitors in their stores

Vertical Block

A group of one brand or flavor placed on two or more shelves directly above and below each other in the same locations on each shelf. Also referred to as Ribboned or just called a block.

Visual Merchandising

Arranging items for display. Also known as Visual Presentation

Void.

No tag and no product on shelf

Volume Producing Item

An item chosen by Department Managers or higher management that is featured to produce sales and raise the gross.

Wall area

The area around the perimeter of the store used to display merchandise on peg, shelf, fixtures, etc.

Warehouse

Where suppliers store product until a retailer places an order. Items are ordered from the hand held scanner and are shipped directly from the warehouse.

Well

Open stocking under the shelving area on the base of a deli case.

Wing Display

A display that flanks or attaches to the side of an end cap. Also called a power wing or sidekick.

Wobbler

To help maybe a little more a wobbler is a plastic strip kind of shaped like a T. it has a sticky part on one end the bottom of the T to stick on the shelf or back of a cashwrap register area. And the top of the T bends over and is the signage. A point of purchase sign for example.

Zero out

Term for correcting the inventory that automatically generates an order. The store must zero out inventory in their telxon or computer system.

Zone

General upkeep of keeping product set to current schematic/plan-o-gram.

Zone pricing

A pricing structure made up of different levels. Price levels are based on price comparisons with major competitors, area, etc.

 

Mystery shopping commonly used terms

 

24-Hour Reporting:

Reports/results are delivered or accessible to a client within 24 hours of the store visit. Of course 48 hour and 72 hour reporting follow the same logic.

Audio Recorded Shops:

Shops in which sound is recorded. Could be for either customer service or integrity. Restricted by law in some states.

Competitive Shops:

Shops in which a clients' competitor is visited and information is noted on the same survey used by the client. Usually requested to compare customer service or pricing with a competitor.

Customer Service Evaluation:

The typical mystery shop in which individuals pose as customers and then, after leaving the facility, fill out a survey form regarding policy compliance, customer service, selling skills, facility appearance and/or product quality. Also called General Mystery Shopping.

Customer Service Training:

Usually requested/conducted as a follow up to mystery shopping. The results of the surveys are tabulated and based on the information acquired, training will focus on areas needing improvement.

Cybershops:

Mystery shopping conducted on the internet.

Discrimination Testing:

Mystery shops of establishments to collect information on treatment of customers with varying demographics. Sometimes requested by the client to ensure equal treatment, sometimes requested by the government. Depending on the setup of the program, these shops may be restricted by law.

Incentive Based Shopping Program:

A mystery shopping program whose results may spur a reward to the employees who were shopped.

Integrity Evaluations:

Shops in which employees evaluated covertly are in order to measure/determine their honesty. Usually requested due to a problem and typically focused on the cash transaction between the shopper and a specific employee. Restricted by law in some states. MSPA advises only those with private investigator licensing perform integrity testing.

Internet Performance Evaluation:

Utilizes the internet to evaluate performance of internet related transaction. Typically involves measuring email responsiveness to customer inquiry from web site.

Internet Reporting:

The capability of a Mystery Shopping company to send reports to the client over the Internet; or the capability of a client to access the reports via the Internet.

IVR (Interactive Voice Response) Reporting:

The capability of a Mystery Shopping company to receive reports from shoppers via automated telephone response system. In addition, IVR may be made available to capture comments directly from actual customers, which can be used in conjunction with mystery shopping as a means of measuring customer satisfaction.

Mystery Shopping:

The use of pre-recruited and qualified consumers (typically independent contractors) or professional staff trained to evaluate a business anonymously using a prescribed evaluation form. The evaluation may take place in person at the business establishment or through other public media such as telephone or internet. Mystery shopping is also referred to as Secret Shopping, Spotter Services, Shopper Programs, Undercover Performance Evaluations, Anonymous Consumers, Shopper Audits, Virtual Customers® and so on.

Operations Audits:

Overt/covert evaluation of adherence to operational guidelines. Usually survey based with yes/no questions and supplemental comments. Not based on opinion, rather based on actual policy compliance.

Price Audit:

Overt/covert recording of the prices of various products or services. Usually used to evaluate pricing compliance by retailer or manufacturer; or to respond to price changes among competitors.

Questionnaire and Program Design:

A service offered by Mystery Shopping or Marketing Research companies in which they assist the client with survey questions and program design. The vendor may make recommendations as to the focus of the shop, the content and wording of the questions, the number and frequency of the shops, reporting formats, incentive programs and the use of the information.

Specific Individual Evaluations:

Usually integrity related. A shop requested by a client because there is reason to believe that procedures are not being followed by a specific employee. (Could involve evaluating an employee's adherence to training, whereas employees who graduate from training are targeted for a mystery shop evaluation.)

Telephone Performance Evaluation:

Utilizes a survey to covertly evaluate the compliance with telephone procedures of an employee or call center.

Video Recorded Shops:

Shops in which video is recorded. Could be for either customer service or integrity. Restricted by law in some states.

 

 

 

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