CRA Merchandising & Category Management Flashcards

What is the primary goal of category management in retail?

Answer: Managing product categories as strategic business units to maximize consumer value and retailer profitability

Category management treats each product category as a distinct business unit, aligning assortment, pricing, and placement to meet shopper needs and financial goals.

What does a planogram define in retail merchandising?

Answer: The specific placement and quantity of products on shelves

A planogram is a visual diagram specifying exactly how and where products should be placed on shelves to optimize sales and space efficiency.

In category management, what is a 'category captain'?

Answer: A key supplier chosen to advise the retailer on managing a category

A category captain is a leading supplier given a collaborative role in advising the retailer on assortment, pricing, and shelving decisions for a category.

Which role does an 'end-cap' play in retail merchandising?

Answer: It provides high-visibility shelf space at the end of an aisle, typically used for promotions

End-caps are the display areas at aisle ends that receive high shopper traffic, making them prime locations for promotional and high-margin products.

What does 'facings' refer to in shelf management?

Answer: The number of product units visible to the shopper from the front of the shelf

Facings count how many units of a product are visible at shelf front, directly influencing visibility, availability, and sales velocity.

A retail analyst is tasked with reducing SKU proliferation. What is the main benefit of this effort?

Answer: Simplifying assortment to improve inventory efficiency and shopper clarity

Reducing SKU count focuses inventory investment on top-performing products, lowering complexity, improving turnover, and making shopping easier for consumers.