Location, Location, Location

Those three words are often advice given to people looking to gain a competitive advantage. We hear the term in real estate a lot. It is also used for “small real estate” as well; namely location within a retail store. Many large retailers will charge a fee for a premium location like an end-cap or a side stack. These locations are known to help companies sell more of their goods, and the retailer makes more money from increased sales as well as the fee.

Well that’s how it usually works. Not necessarily though.

I recently saw/experienced an example of this while shopping in a grocery store during the CCP virus crisis. Many things are sold out for unknowable reasons such as toilet paper, canned goods, pasta and pasta sauce, to name a few. I was looking for pasta sauce and found almost none in the aisle. As the picture below shows.







However, one aisle over, on a side-stack at the end of the aisle, what do I find? A full display of pasta sauce from a “local” supplier. They had obviously paid for this “premium” location, which back-fired during the stressed-out times shoppers find themselves in today. People look for items “where they belong” and this was not where it belonged so nobody saw it; as evidenced by a nearly full display. (See the picture below)








Exceptions to every rule.


This entry was posted in Marketing, promotion, retail and tagged , , , , , , . Bookmark the permalink.

1 Response to Location, Location, Location

  1. Vera says:

    Maybe. Maybe they refilled their side-stack themselves. Maybe even for the hysteric shopper their products were still too over-priced. Can’t read the price tags too good but seems the cans under 6$ went and those over 8$ stayed. We observed the same here in Switzerland.

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