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June 13, 2023

Reduce Shrinkage & Grow Sales with These 3 Tips

Grocers can decrease loss with just a few changes. Use these 3 tips to reduce shrinkage in your store and increase your bottom line.

Shrinkage can significantly impact revenue for grocery stores. And while theft contributes to shrinkage, spoilage is often the leading cause, with 30% of all items in grocery stores ending up in the trash. Completely eliminating shrinkage is unlikely, but grocers can get a head start on decreasing loss with just a few changes. Use these 3 tips to reduce shrinkage in your store and increase your bottom line.

1. Monitor Freezer & Refrigerator Temperatures

Frozen and refrigerated products spoil faster if not stored at the correct temperatures. Along with regular monitoring and recording of freezer and refrigerator temperatures, stores must also ensure product displays are receiving proper airflow.

With pusher trays like SpaceGrid® II, cold air can be directed to flow through stocked products to keep them cool and fresh. The unique tray design in this pusher display system includes a baffle to prevent hot spots and maintain a cool, consistent temperature. The improved display of frozen and refrigerated products also drives faster buying decisions and reduces time with the freezer door open. Closing the freezer door faster helps with both temperature regulation and spoilage prevention.

2. Improve Product Rotation & Presentation

In-store shoppers may reach to the back of stocked products to purchase ones with presumed longer shelf life. This is bad for grocers as it leads to older products creeping closer to their expiration date, which leads to shrinkage. This type of disruption can also require staff intervention to re-condition displays (and in this tough labor market, this may be challenging).

Pusher trays can keep products front-faced and organized while encouraging the First-in, First-out (FIFO) Method. This means shoppers can quickly select the product right up front and prevent the expiration day creep.

3. Rethink Overripe Produce

Overripe produce doesn’t need to be discarded. Rethink the ways your store uses ripe or overripe items. Consider discounting ripe bananas for use in recipes like banana bread, slice produce for fresh salad stations, or use it as an ingredient in your in-store baked goods.

Ensure more items end up in carts (and less end up in the trash). Pusher trays from Retail Space Solutions can ensure proper air flow, FIFO stock rotation and better display to promote sales. Learn more, browse available pusher tray products (like the NEW SpaceGrid® II Narrow Pusher Tray or SpaceGrid® II On-Bar System) or request a free quote here.