The shelves in the optimized planogram in Quant are gradually filled with products while respecting the set parameters. These are the sales data, the replenishment criteria, the priority levels and the number of units to width.

Characteristics of the optimized planogram:

• Contains the most saleable products.
• The optimization is performed based on the selected value in the Sales Type Used for Product Priority in the Replenishment settings.

Sales Type Used for Product Priority

Placement rules

• Quant only places products on the planogram that have successfully passed the replenishment criteria and have not been removed from the planogram due to low sales.
• Quant must place products in order of their set priority levels.

Within a priority level there are 2 options for Quant to proceed:

1. If the values in the Priority row are filled in, then Quant proceeds in the order indicated by those values. The product with the lower number set in the Priority row has the higher priority. 
2. If the priorities of all the blocks are the same, Quant performs optimization based on the value selected in the Sales Type Used for Product Priority in the Replenishment Setup. For example, if the selected value is GP1, then the product with the higher profit takes priority over the product with the lower profit.

At the same time, you do not always have to proceed from the product that has the highest profit of all. The key is whether it has the highest profit per 1 cm of shelf space. This avoids placing a very small product that takes up almost no shelf space at the expense of a product that is, for example, 3 times wider but has slightly more profit.

Round 1

Blocks with a fixed priority level are evaluated first. They are placed first in the quantity that is set as Minimum in the Block tab. This progresses from the product with the highest profit to the products with the lowest profit, unless the block priority is adjusted.

Then the blocks with the required priority level are placed. Quant places the minimum number of BUs as with fixed blocks.  

However, each block has 2 minimums:

• Minimum calculated by Quant from the set replenishment criteria in the Min column.
• Minimum set in the Block tab.

Quant places the number of BUs corresponding to the greater of the two possible minimums. Even for required blocks, the progression is from the highest to the lowest profit products unless the block priority is adjusted.

Blocks with an optional priority level follow. These blocks shall also be placed in the minimum possible quantity as well as the required blocks.

Round 2

If all the blocks from the template are placed and there is space left on the shelf, the second round follows. Again, starting from the blocks with a fixed priority level, followed by the blocks with the required and then the optional priority level. In the second round, one extra BU width is added to each block. First, 1 BU is added to the highest profit or highest priority fixed block, then to the second highest profit or second highest priority product. Once the fixed blocks are exhausted, 1 BU is added to the highest profit or highest priority required block, and so on. This continues until there is no space left on the shelf.

If there is still space left on the shelf after the second round, a third round of evaluation is initiated.

Result of the process