Hong Kong Retailer optimises adjacencies to maximise cross-shopping

The challenge

As part of a rapid store roll out, the client – a leading Hong Kong health and beauty retailer – sought our help to optimise floorplan flows and adjacencies in a customer-centric and strategically-aligned way while they were resetting macro and micro space across the store network.

The solution

Undertaking detailed, big data analysis of all available category adjacency combinations and permutations (hundreds of thousands of potential options), we developed adjacency recommendations that considered customer cross-shopping behaviours and the client’s strategic growth priorities.
These recommendations provided an intuitive, easily-shoppable layout flow to minimise customer walk-time to build their basket.


The results

Stores where category adjacencies were optimised during the macro space reset delivered c.2% stronger sales and margin growth than stores where the existing flow was retained.
The stores also benefitted from an increase in floor layout consistency across stores and simplified customer shopping missions.

outcome

Stores where adjacencies were optimised delivered c.2% stronger sales and margin growth
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