6 Merchandising Mistakes That Cost Retailers

6 Merchandising Mistakes That Cost Retailers

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Merchandising is a crucial cog in the wheel of the fashion sector. The impact of merchandising on consumers is well known. Studies that shown that over 50% of consumers are inclined to switch to a different brand if their current brand does not satisfy buyer merchandising needs. Retailers could or might not see this as a significant issue with their merchandising plans. According to San Diego State University research, when products were improperly arranged, the majority of shoppers steered away from making a purchase. They were forced not to purchase the products even if they were presented in an untidy manner or were scarce on the shelves.

Merchandising is an important task, and most of the time, it is overlooked by customers. It is evident because running a brand or store comes with its own set of responsibilities, and balancing them all in such a short interval of time daily can be a tedious task. This opens up room for mistakes and blunders that can adversely affect the sales of a product. The main priority of having a merchandising strategy is to keep your customers happy.

Let's discuss the basics of merchandising and how they should fit into the scenario of retailers.

What is Merchandising?


Merchandising is one of the most amazing ways to take into account the way consumers look at products and how they interact with them.

Many activities are involved with merchandising. They are organizing shelves, stocking shelves, promotional displays, and tracking the results of the merchandising techniques.

All the physical products are involved with merchandising. From cosmetics to fashion accessories and garments, everything falls under the category of merchandise. Although merchandising works for brands, it is also employed by retailers to attract more customers to their stores.

There are many strategies that you should keep in mind when you want to get merchandising in line. These basic merchandising strategies are:

1) Incorrect Placing of Things on Shelf

Whenever a consumer walks inside a store, they have high expectations from the retailers. Their main aim is to find all the products they are looking for without any hassles.

The simple and effective solution to tackle this problem lies in the specific and appropriate arrangement of the garments or any piece of clothing on the shelves. They should be arranged neatly to not look crowded. There should be a two-finger gap between all the products. This minimum spacing rule is not only very presentable but also customer friendly.

2) Positioning of Products in Allocated Spaces

Spacing or positioning is extremely important for certain garments or clothing pieces. The way they are positioned in a storefront can show a lot about their capacity or potential in the store. As a retailer, you must keep the planogram in mind. Often, retailers fail to oblige by the planogram once they have signed it off. It not only results in a decrease in sales but also takes the much-needed pleasant customer experience away. 

Every product comes with a specific set of instructions. If not implemented properly, it can cause a huge loss to retailers. The interpretation and execution of retail data are important as well. For instance, retailers can give extra spacing or positioning of the product. This takes the appropriate positioning of the right product away. This will eventually cause a decrease in sales.

3) Merchandising Technique Applied Does Not Suit Your Product

This is a common mistake that is made by most retailers. Whenever you look at a product, you should think from the perspective of a consumer before you start arranging it on the shelves. Any unappealing display of your products can result in a loss of customers.

Before you place any garment vertically or horizontally, it is important that you take a moment to understand its potential and how it can be made appealing to the customers. For instance, different colored shirts would look amazing on horizontal shelves, whereas the same colored shirts would not look so great when they are placed next to each other. It will confuse the customers, and they will find it difficult to distinguish between the sizes. The best way to stack them would be on vertical shelves.

4) Out of Reach Best Selling Products

It is of prime importance that all retailers take the positioning of a best-selling product seriously. It is a game changer for every retailer and can result in the loss or gain of money instantly. If they are not positioned at an eye level with the customer, they can spend a great deal of time searching for these products. And when they fail to find it, they can walk out of the store instantly out of frustration. To avoid it, the best-selling products should always be placed in the middle or center.

5) Non-existent Hotspots

Hotspots are special displays of items at the entrance or center of the store to grab more attention from the customers. Since these products will have a special and enticing place in the store, customers are more likely to turn in and check this collection out on their own. For instance, if the summer or fall collection has just launched, you can easily display it in the middle of the store. You can also give it a special color scheme to make it more enticing to the customers.

6) Not Cutting Dog Lines

Dog lines can seriously cause a lot of wastage in space. Dog lines are the tail end of the product range while they are arranged in the storefront. It is important to look at the retailer data before you arrange your products. In this way, you'll know which products should be delisted or deranged. It will save you a lot of waste. You will not end up with a lot of unwanted stock.


Through this article, we explored the various facets of merchandising and how it helps gain more sales. Retailers should pay special attention to merchandising as it can decide the fate of the products. If merchandise is not implemented properly, it can cause a huge loss of money. In the long run, this can also result in debt. Henceforth, the common mistakes of merchandising should be avoided at all times for effective and hassle-free sales. A dedicated team at Fashinza will help and guide you every step of the way till the product reaches your doorstep.

With Fashinza, you can get the best fabrics for your garments before they go into manufacturing. As retailers, you also have the option to sell these fabrics of your choice. It will require strategic planning and merchandising as well.

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