What Is a Planogram? Types, Benefits & Examples (2026)

A planogram maps exactly where products go on retail shelves. Discover the key types, main benefits, and how to create one that increases sales.

Planograms are visual maps that show store owners where to place products on shelves, guiding shoppers how to move through a physical space and helping them find the products they need.

The goal of a planogram is to maximize sales by encouraging cross-selling and reducing friction. A 2025 One Door/GlobalData study found 33% of shoppers say hard-to-find products are their top merchandising frustration. When customers can’t find an item quickly, they often leave the store empty-handed.

In this guide, you’ll learn how to design a planogram, choose a layout strategy, and manage shelf inventory.

What is a planogram?

A planogram is a map used to plan a retail store layout. It uses sales data and consumer psychology to guide product locations and manage floor space.

Also called POGs or shelf space plans, planograms are part of a visual merchandising strategy. They also help with inventory management. Planogram automation even reduces restocking time by up to 30%, which can save on time and labor costs.

Here’s an example of a planogram for a retailer selling baby products:

An example of a planogram for diapers. Source: Research Gate.

Planograms can also help you design how customers enter and navigate your space to make a purchase. Customer footpaths, product displays and storage, and point-of-sale setup can all be incorporated.

Planogram compliance

Planogram compliance is when store shelves match the design. This ensures products are in the correct place.

When retailers maintain good planogram compliance, it means:

• Customers can find products more easily
• The visual merchandising looks more professional and intentional
• Restocking and store resets are more streamlined
• Sales will increase as products are positioned in their optimal selling locations

Retail managers can audit planograms weekly. They take photos to document compliance and adjust shelves when they drift from the design. They also compare planograms with realograms. 

A realogram is a map of the shelf as it exists in the store. While a planogram shows the design, a realogram shows the reality of your retail sales floor. It provides a snapshot of the shelf as it exists in real life. 

Comparing planograms with realograms shows gaps between the plan and the shelf. Managers review these differences to adjust displays based on stock and customer behavior.

Types of planograms

There are two main categories of planograms: placement strategy types, which focus on how products are arranged, and format types, which describe how the planogram is created. 

Product placement strategy types use the following methods:

• Horizontal product placement. Puts similar products next to each other on the same shelf. Customers compare different brands side by side and check various options before buying.
• Vertical product placement. Shows the same type of product in up and down columns. Customers find products regardless of their height. Small brands remain visible, as do products on bottom shelves.
• Block product placement. Groups related items in squares or rectangles on shelves. These blocks highlight sale items, seasonal products, or items people buy together.
• Commercial-status placement. Organizes products based on agreements with stores. Brands that pay for premium spots appear at eye level or at the end of aisles.
• Market-share placement. Gives shelf space based on sales performance. Top-selling brands receive more room and prime locations. Smaller brands get space that matches their sales numbers.
• Margin-based placement. Puts high-profit items in visible spots. Products that make more money for the store sit at eye level in busy areas, while lower-profit basics go in harder-to-reach spots to encourage buying of more profitable items.

Format types determine the technical presentation of the layout:

• Shelf planogram: Details the arrangement of items on individual shelves. They show how many products fit to keep the display looking full.
• Floor-plan planogram: Shows the layout of the entire store from a bird’s-eye view. It helps store owners decide where aisles and displays go to guide customer traffic.
• Schematic planogram: Uses 2D technical drawings to show the exact position of every product. It ensures everything fits the shelf measurements and follows a technical layout.
• 3D and AR planogram: Uses digital models to see the store in three dimensions. Teams spot layout issues or visualize the customer view before moving a physical shelf.
• Text-based planogram: Uses lists and tables instead of pictures to explain where items go. It works for basic restocking tasks when a visual map is unnecessary.

Key elements of a planogram

Every effective planogram must address these five essential elements:

• Product placement. Position items based on profit goals and behavior. Place high-performing products at eye level and group brands vertically to make shopping decisions easier.
• Display types. Select how the merchandise appears to customers. Standard shelves hold the main product assortment, and end caps showcase promotions to increase visibility.
• Measurements. Calculate dimensions to execute the plan. Shelf measurements ensure products fit without overhang, while facing counts and SKU tracking help staff know when to restock.
• Visual merchandising. Use color arrangements to guide shoppers’ eyes through the display. Retail signage and lighting enhance the presentation, and product groupings encourage customers to buy complementary items.
• Consumer psychology. Apply behavioral principles such as impulse placement and cross-selling to guide the customer experience.

Benefits of a planogram

Using planograms to plan your store layout helps you increase sales, place products strategically, and maximize retail space. Here’s how:

Maximize sales

Compare historical sales data and customer traffic analysis to planogram layouts to identify the highest-converting areas of the store and which products are positioned there. This analysis reveals which displays drive the most engagement and which sections may require adjustment. Review these layouts over six months to one year to understand how placement affects purchase behavior of different products. 

If certain types of merchandise move slowly, consider moving them to more visible locations. You can also maximize basket sizes by establishing impulse zones near the checkout and using product adjacencies based on data.

PRO TIP: Want to see which items are flying off shelves or collecting dust? View the Percent of inventory sold report in your Shopify admin to see your entire product catalog’s starting quantity, ending quantity, percentage sold, and more.

Makes product placement strategic 

Planograms help you place products to encourage cross-merchandising. Many grocery stores put staples like milk and bread in back corners to guide customers past more items, which helps increase impulse purchases.

Use your planogram to map foot-traffic routes. If customers visit your shop for specific items, place them in areas that require shoppers to pass other inventory. Grouping complementary products, such as peanut butter and jelly, also encourages upselling.

Plan seasonal displays on your planogram to prepare for inventory shifts. Mapping these areas in advance ensures high-traffic zones are ready for holiday promotions without disrupting your store’s core layout.

Maximize space

Though retail space costs vary based on location, size, and lease structure, they are elevated. Cushman & Wakefield found that national asking rents for vacant U.S. retail space averaged $25 per square foot in Q3 of 2025, up 1.7% year over year. 

To run a lean business, maximize your floor and shelf space with planograms that give every display a purpose.

A clear, well-organized store design helps customers find products and explore your aisles. It also helps staff track stock levels and prevents overordering. Planograms also act as shelf-space agreements for vendors and wholesalers. Use them to define how much space partners manage, which reduces your daily management time by clarifying who is responsible for specific shelves.

Design principles for effective planograms

The best planograms make products easier to notice, easier to shop, and easier for staff to maintain.

Here are the top retail design principles for planograms:

Abundance

Research on assortment size shows that the number of options affects consumer choice and retail sales. Abundance creates a sense of choice, but it differs from crowding. 

To create a sense of abundance:

• Give priority items enough facings to look full
• Use stock levels to signal availability and choice
• Avoid overfilling shelves to the point of clutter

Visibility

Product placement affects what shoppers notice and buy. Visual attention and choice are influenced by visual saliency and the number of facings, according to academic research on shelf placement.

To improve visibility:

• Put high-margin or bestselling products in strong visual zones
• Increase facings for products you want shoppers to notice first
• Reduce blocked sightlines so shoppers can scan the assortment fast

Consistency

Consistency reduces the effort shoppers spend searching for items because products appear where they expect them.

To maintain consistency:

• Keep categories, brands, and sizes in a repeatable order
• Maintain the same product merchandising logic across stores

Compatibility

Group products based on how shoppers buy. This means placing complementary items together to support basket building. 

Research in the Journal of Retailing found that organizing shelves by complements creates more positive perceptions than grouping by substitutes. These layouts prompt more purchases and greater spending.

To ensure compatibility:

• Place complementary products near each other to encourage cross-selling
• Build adjacencies around real shopping missions and use cases
• Group items in a way that feels intuitive to the shopper

Efficiency

Planograms must work for store staff as well as shoppers. Research on shelf space allocation shows that space assignment and replenishment frequency are interdependent.

To increase efficiency:

• Allocate space based on sales potential
• Design layouts that are easy for staff to replenish
• Reduce wasted space and layouts that create extra labor

How to create a planogram

If you decide to make a planogram to organize your store layout and product displays, there are a few options for creating one:

Hire a planogrammer

A planogrammer, or planogram specialist, is someone fully dedicated to creating and managing retail planograms based on customer behavior and sales goals. 

If your business isn’t big enough to hire a specialized planogrammer, you can allocate the responsibility to a visual merchandiser. Unlike planogrammers, however, visual merchandisers tend to focus on creating aesthetically pleasing product displays to incite purchases.

While these two roles have different motivations, they ultimately serve the same goal: to make sales.

Consult with planogram experts

Work with third-party experts to execute your planogram. To pick the right partner, prioritize firms with deep experience in your specific retail category and a transparent data methodology. 

Look for a track record of measurable sales growth. If an expert can’t explain the “why” behind a shelf placement, they likely aren’t the right fit for your strategy. Envirosell is one brand that specializes in using behavioral research to assist in visual merchandising.

Use planogram software

There are many planogram software and app options on the market. DotActiv, for example, offers free planogram software for retailers just getting started. (The Free plan is limited to 40 products.)

You can also invest in paid planogram software with more features, such as 3D visualization, automated space optimization, and integration with real-time sales data. Some options include: 

• SmartDraw
• Shelf Logic

When selecting a platform, consider your total SKU volume and whether you need a simple visual layout or advanced analytics to drive your strategy.

DIY your planogram

Take a DIY approach to visual merchandising with planogram templates. Some retailers go the old-school route with paper and pencil and draw out the store space to scale. 

Or, use a pre-existing template or create one in a tool that’s more suited for visuals, such as Photoshop. SmartDraw has several examples you can use as a starting point for your own planogram.

How do you use a planogram?

Planograms are essential for big-box retailers and grocery stores that carry many products from a multitude of suppliers and have a lot of space to fill. 

Think about it this way: Before ordering perishables, grocery stores must know whether the retail products will fit on their shelves. This is where details like product packaging dimensions, shelving layouts and dimensions, and product turnover come into play.

The level of information a planogram includes will vary depending on the retailer. For smaller retail locations with fewer products and displays, such as a showroom, the planogram may not be as comprehensive. Even if you’re not using a “proper” planogram with a high level of detail, the core concept can help plan your store layout and product displays.

To make the most of your planogram, share it with relevant team members. Communicating these layouts to store managers and floor associates ensures that everyone is aligned on the visual strategy and that the physical store matches the intended design.

How to read a planogram

Your team must be able to read the details in order to comply with your new design. Here’s what should be included in your planogram:

Dimensions and displays

Your planogram should include dimensions for your aisles, shelves, and product displays. Be sure to point out what type of product display should be used for each section, such as coolers, pegboards, slat walls, point-of-purchase displays, gondolas, or bins.

Products and packaging

Next, your team should be able to easily deduce what SKUs belong on which shelves. Include details regarding brands, product sizes, packaging specifications, and shelving techniques. For example, if you’d like for one side of the product to be facing outward, make a note.

Planogram methodology

Along with your store layout and product display information, consider including the data that led to your new planogram design.

Sharing this information and analysis with your employees can help them better serve your customers and understand their behavior and motivations. Moreover, they can keep an eye out for ways to further improve your retail store layout.

It’s time to plan your planogram

Planograms are essential to your retail operation. If building a planogram for your store sounds like a massive undertaking, you’re not wrong—but don’t let that intimidate you. 

Although they require a lot of upfront work, a well-designed planogram can revolutionize how you gather data, manage your inventory, convert your store visitors, and grow your retail business.

Planogram FAQ

What is a planogram used for?

A planogram plans how a retail store and its products should be laid out to provide the most cohesive shopping experience possible.

How do you make a retail planogram?

If you’re on a budget, you can always DIY your own planogram with paper and pencil or poster board and sticky notes. However, once you have it in the budget, it’s a great idea to invest in planogram software or hire a planogrammer to give you an expert opinion on how to improve the overall customer experience in your store.

Is planogramming a skill?

Yes, planogramming is a skill. It involves creating a visual representation of product placement in a store, considering factors such as product demand, retail shelf space, visual appeal, and customer flow. It requires an understanding of retail principles and an eye for design and layout.

What does a planogram include?

A planogram is a schematic drawing that shows your store’s shelves and products. The layout includes the location of each product on the shelf, how many products should be displayed, and any signage or other visual elements the store should have.

What is the difference between planogram and merchandising?

A planogram is a diagram that maps out product placement on shelves to maximize sales. Merchandising is the strategy for promoting and selling products through methods such as visual displays, pricing, and promotions. Planograms are a tool used within the merchandising discipline.