Point of Sale Marketing

Point of Sale Marketing Tips for Manufacturers

The product you make is rock solid but retailers don't seem to be giving your products much respect. If you're in that situation, it's time to expand your point of sale marketing materials and get them out to market ASAP.

Point of sale marketing is a no-brainer for most retailers.

Frontloading the store with convenient, fast moving impulse items is a surefire way to increase demand for specific products. But for manufacturers, getting your products into a point of sale display can be a challenge.

The difficulty is that everyone wants their products located near the checkout area even though retailers have a limited amount of space to work with. Also, not all products are appropriate for a point of sale display. As a manufacturer, you have to actively pursue ways to convince retailers that your line of products is a perfect fit for their point of sale marketing strategy.

Every retailer is unique and you won't be able to satisfy them all. But with a little ingenuity and persistence you can dramatically increase your point of sale placements. Here are a few point of sale marketing tips to get you started.

• Displays. Retailers are constantly looking for attractive ways to display point of sale merchandise. By providing them with highly visible displays that have been specifically designed for point of sale placements, you will make the retailer's job easier and dramatically increase the likelihood that your merchandise will be part of their point of sale strategy.
• Cash incentives. Many retailers expect cash incentives from manufacturers in exchange for point of sale product placement. Whether or not you agree with the idea of paying for product placements is irrelevant. If you want your products positioned near the checkout station, cash incentives may be something you'll have to deal with – understanding that a point of sale agreement with a chain doesn't necessarily translate into point of sale placement in every store.
• Floor displays. Floor displays located at the front of the store (a.k.a. "dumps") enjoy high rates of success. But there are two things you need to know about them: First, retailers usually reserve floor displays for highly recognizable brands and fast-moving products. If your merchandise doesn't fit the bill, it can be difficult to land a floor display. Second, floor displays can be expensive to produce. Although they are made out of cardboard, it isn't cost-effective to make them unless you are sure you can get a good return on your investment.
• Prepacks. Prepacks are the displays that appear along the checkout aisle. They're appropriately sized for aisle placement (small and concise), but also have a fun character and packaging that appeals to customers.

Share this article

Additional Resources for Entrepreneurs

Lists of Venture Capital and Private Equity Firms

Franchise Opportunities

Contributors

Business Glossary