This new capability is revolutionary in that the important store specific attributes are factored into the shelf reset kits and then delivered on a schedule to the stores based on when the reset teams will be at the store. Special vendor fixtures, variable store fixture lengths and shelf channel heights, even special label formats within the same planogram are easily set, in sequence, with the same labor saving results realized through our patented shelf strip system. The result is a more complete and even more accurate planogram reset program that takes into account the various vendor fixtures and route schedules that are typical in vendor supported categories within a retail store. This new innovation is capable through our proprietary and flexible software and processes while further highlights the functionality of our patented shelf strip system. This new service extension is yet an even more valuable addition to IPMS’ new and improved “reset in a box” program and our other full complement of services to retailers.

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This new innovation focuses on the store view and how to most efficiently execute a planogram reset and was developed based on our industry leading experience with best developed practices of our customers. It allows the store to fully enjoy and realize the labor savings, shelf integrity and revenue improvements regardless of what fixture types, merchandising styles or presentation strategies are in place at the shelf edge.

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In this case, because of the relationship we have developed, we were able to talk about issues that are impacting other areas of the store and share ideas that they didn’t think would ever work or were previously too complicated to pull together. Not quite brainstorming since these are not new ideas, they are existing ideas that we are able to find a way to make possible together. An example is an enhancement to our patented shelf strips to integrate product promotions, suggestive cross selling, logos, brand messaging and color coding by category. The result will be an even more powerful store shelf management tool that will still help this retailer realize the same labor savings and shelf integrity benefits of our patented shelf strip system, but will also further increase the value of the shelf strip solution through even higher revenues. Not to mention how much cleaner the shelf presentation will look and how much easier it will be for customers to see everything without all the POP that it would take to accomplish the same results.

In other words, as a service provider, we are able to overcome the internal limitations and bottlenecks a retailer has and are able to pull all the different components together and deliver it back to the retailer in one piece. Internally for a retailer it is a big deal to get all the information needed to combine Pricing, Vendor Promotions, Customer Loyalty campaigns, price promotions and suggestive cross-selling together and deliver to the store, however, our proprietary software can integrate each of these “ingredients” into our patented shelf strips and “reset in a box” program for a truly comprehensive solution.

The result is one piece that gets to the store, is easy to understand for the store personnel and is easily executed consistently across all the stores. And by the way, it is going to cost less because we can build in the efficiencies in one solution.

It’s fun to be involved in initiatives like this, because as we grow the relationship together, the retailer sees more and more ideas that didn’t exist until you removed the barriers. Now this particular customer is excited about yet another idea that, in their words, will take their entire business to the next level and will have a tremendous impact on sales.

We believe this should serve as a model for all other retailers. We are happy to be working with our retailer partners who embrace what the definition of Retail 2.0 should be…that is improving HOW retail is done tomorrow through innovation in merchandising strategies at the shelf.

Contact: Bill Francis
Telephone: (703)421-5500
Email: Bfrancis@infoplanning.com

INFORMATION PLANNING AND MANAGEMENT SERVICE, INC AND GLADSON LLC ARE PLEASED TO ANNOUNCE THAT GLADSON HAS TAKEN A LICENSE UNDER IPMS’S U.S. PATENT NO. 7,287,001 B1 FOR SHELF STRIPS

June 19, 2008, Sterling, VA-Information Planning and Management Service, Inc. (IPMS) and Gladson LLC (“Gladson”) are pleased to announce that they have entered into a worldwide, non-exclusive patent license agreement with respect to U.S. Patent No. 7,287,001 B1 (the “‘001 Patent”), and all patents and applications, foreign and domestic, claiming priority in whole or in part from the application that issued as the ‘001 Patent. The Licensed Activities cover the composition of labels to be printed for use on display shelves (“Composed Files”), transmission of Composed Files, printing of labels for use on display shelves from Composed Files (“Printed Labels”) and/or use of Printed Labels, alone or in conjunction with a display shelf. The license is extended to cover the activities of Gladson’s business partners working with Gladson to provide the Licensed Activities on a particular project on a project-by–project basis subject to certain terms and conditions and protects use of the Printed Labels by the Customers for whom those projects are performed on a project-by–project basis subject to certain terms and conditions. The financial terms of the agreement are confidential.

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Information Planning & Management Service, Inc. (IPMS), (www.infoplanning.com) located in the Dulles Technology Center in Sterling, VA, is a premier retail services company specialized in developing and delivering solutions to retailers, Consumer Product Manufacturers, Print providers and Service Providers. Founded in 1995, IPMS expertise includes management services, patented store merchandising processes, systems, business analysis and business process development for engineering new businesses or reengineering current processes, modeling, outsource services, design/build automated solutions, software & hardware development, integration and quality assurance.

IPMS services have consistently demonstrated significant labor savings and revenue improvements in retail applications. IPMS is a leading authority on shelf strips through our proprietary software systems and extensive experience in retail, and IPMS holds patent #7,287,001 for shelf strip composition, production and use.

The IPMS facility in Sterling, Va. is a dedicated, full service shelf strip production facility with capacity to support millions of feet of shelf strip per week. In addition to shelf strips, IPMS provides price label, PDF printing and fulfillment services in the provision of store specific set or reset kits to any number of locations.

Gladson Interactive (www.gladson.com), is a leading provider of category management services to consumer goods manufacturers, retailers, wholesalers and brokers. The company’s core focus is on collecting primary product information and package images of consumer products for a wide range of uses, including shelf space management, category management, advertising and e-applications such as online information and shopping. The company also provides data analysis, consulting, and in-store merchandising solutions that support successful planogram implementation.

Through Gladson’s proprietary software, the planogram, or shelf set, is translated to retail shelf strips with product images. Temporary shelf strips are deployed for new store openings and category re-sets, resulting in significantly reduced labor costs and faster re-sets.
Permanent versions of the shelf strips, using the same data and images, enable improved planogram compliance and measurable reductions in out of stocks.

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The 2 major studies, (ISI Sharegroup, Supermarket News, Store Inefficiencies Cost Industry 1% of Sales, Sharegroup Says, Apr 25, 2008 6:00 AM, By Michael Garry) and ( Robert Angel’s Linking Execution With Strategy in Support Functions) clearly point out the distinct importance that execution has. Mr. Angel’s study applies to execution of strategy across all industries, and the ISI study is specific to the revenue opportunity that is left on the table for retailers due to store inefficiencies. It’s clear that even the best strategies require even better execution in order to get the desired results.

For retailers, execution is the biggest hurdle no matter how complex the initiative. Be it Customer Service, Inventory Management, Merchandising resets, new store setup, maintenance, or you name it, we believe tools in the store that minimize the burden of execution while improving the accuracy and execution are highly valuable. This is precisely why we find it so hard to believe that the services IPMS offers (i.e. integrated shelf strips and shelf labels – “Tools”), the provision of tools that virtually guarantee flawless execution in a retail store are still viewed as an expense! Viewed as a cost? Especially when all the research points to these types of tools as providing a sizable value?

Take a recent example of a conversation with a retailer regarding the use of these tools in stores. This particular retailer fits into the category of retailers (see previous blog – “Shelf Strips – Industry Assessment Today”) that have tried the use of these tools with mixed results and have reduced their use for a number of reasons. Mainly that the current service provider could not adapt to the changing needs of the business and, at least in the case of this retailer, these tools are viewed as an expense. So the performance of the tools are measured only by getting the lowest cost alone, not whether they provide the best quality and value that fits the current needs of the company. When presented with additional uses and ideas that would greatly improve the use and value to their stores, the response from executive management was that they were considering stopping the use of shelf strips in stores all together because it was less expensive to have the stores print all the labels. The impact to the store labor, the associates’ decreased ability to accurately set and maintain the shelves, the erosion of shelf integrity, all while the total cost to the company exponentially increases. However, in this case the main consideration was the per unit cost of a single item.

It is at this point when the “wedge” is usually discussed. Leveraging costs for increasing returns. It is hard to believe that even in today’s retail landscape that this concept is not given the spotlight it should have. Put simply, the tools we offer to link execution at the store to the strategic initiatives of the company continually reduce labor costs and increase revenue, the pure definition of the “wedge”. Understanding that the store labor budget and the shelf strip budget are typically different budgets, they both are compared to the same revenue line. Our belief is that the overall performance of the organization is paramount and how to account for these tools becomes much simpler to resolve than the hurdles each store is facing in order to get proper execution of strategic initiatives.

IPMS has been continually helping retailers expand the “wedge” and improving store execution for over 15 years by developing solutions that expand and evolve based on ever changing needs.

Let us develop solutions with you today. Contact IPMS

In general, most retailers have heard about or have previous experience using some form of shelf strips in some capacity, both with and without price labels. Usage varies between offset and digital printing methods. We also noted that shelf strip use varies based on the evolution of a retailer, as the retailer grows through phases and sizes across all segments. This is the area that seems to have caused the highest failure rate – retailers “outgrew” the solution by their previous provider.

Based on the discussions we have regularly with retailers, there appear to be a consistent set of prior experiences that have soured the perception that a real, value driven, integrated shelf strip solution is available in the marketplace. The cause seems to consistently be the inability of the previous shelf strip service provider to understand and adapt to the ever changing needs of the retailer. Naturally, the shelf strip programs were ceased, causing increased pressure on the store personnel to execute without tools to improve accuracy and efficiency. It is absolutely critical that the shelf strip solution is integrated as part of a long term and evolving strategy.

Here is a summary of the most common reasons retailers ceased use of shelf strips:

1. Inaccuracy of shelf strips delivered to store. Strips delivered to store did not fit, product did not align, etc. Inconsistent results required over management by retailer. The retailer is forced to focus on less volatile or more common sections of stores. Corporate Office has to overcome inefficiencies and micro-manage data flow, audit accuracy and confirm results.
2. Variable fixture types and sizes could not be integrated into the solution. The service provider did not have the ability to adapt and produce strips that fit correctly into the shelf channel.
3. Current provider was unable or it was deemed not cost effective to support required lead times for price changes and/or agility. Service provider does not have a dedicated facility for shelf strip production that can also quickly produce reprints/ad hoc prints.
4. Service provider lacks understanding of store procedures, planogram system/processes and business rules of each retailer. Provider was unable to provide a customized solution based on total needs of retailer. Retailer forced to use strips for only certain areas , inconsistency across store creates difficult store processes.
5. Store management doesn’t trust or loses trust that strips will work due to inaccuracy/inconsistency. Creates negative perception of corporate strategies - “you don’t know me” and/or - “I know best how my store needs to be set”
6. Unable to support zone and/or store specific planogram/pricing requirements.

Increased complexity of merchandising systems outpaced providers ability to adapt.
We also find that in certain segments, the use of a shelf strip solution has been modified to a generic “Merchandising Strip” that does not contain a price label for some fairly consistent reasons:

1. Short lead time requirements to execute volume of price changes on shelf strips.
2. Inability of service provider to meet jurisdiction label format requirements
3. Service providers cannot identify, produce and kit targeted shelves or sections within a planogram
4. Compromise of keeping shelf integrity and price label accuracy at same time due to high volume of price changes
5. Belief (or being told by service provider) that it is too complex, therefore too expensive and IT can’t support the complexity
6. Service providers cannot provide an integrated price change/shelf strip solution.

IPMS has also documented consistent characteristics associated with a successful shelf strip service for a retailer. Retailers that use an effective shelf strip service continue to realize labor savings and revenue improvements :

1. Have same basic planogram system as all other retailers
2. Use planograms in store
3. Have IT department that is integrated with Merchandising
4. Have said that they will not open, remodel or reset a store without strips – they can’t afford it.
5. Have Store Operations and Corporate support and enforcement to achieve merchandising and operations objectives at the store level. All levels of organization and Field management advocate shelf strips for the most accurate execution of merchandising strategies
6. Have service provider that dedicates resources to develop specific retailer/category/store solution. The solution is customized to deliver highest degree of efficiency at both the corporate and store level. It is not viewed as a generic, commodity service.
7. Have a service provider with data processing expertise that uses planogram files and store/zone specific price files, audits data for accuracy, validates to business rules and produces store specific print files that are integrated with printer efficiency.
8. Have service provider with merchandising experience in order to help retailer continue to refine internal processes for planogram system and improved use of planograms both as analytical and implementation tool.
9. Have labor model to stores based on use of shelf strips for resets and regular maintenance. Store personnel achieve the same results regardless of who completes the reset – lower the fully loaded cost.
10. Service provider has dedicated facility to handle shelf strip and all reset components – providing best scenario for turn around and small run production.

IPMS has been working with retailers to achieve these success characteristics over the past 12+ years through continually updating and integrating retailer specific business rules to our patented shelf strips and software systems. Our software and systems are designed specifically for shelf strip production and result in the highest quality, most effective and highest ROI shelf strip services available.

If you want to achieve the results described above, we would be happy to help. Contact IPMS

At IPMS, we believe the final frontier for retailers is excellence at the shelf edge. While the products that are displayed on the shelf have been beaten down to the absolute lowest cost and improvements in replenishment have reduced order quantities and volume discounts, it is the efficient execution at shelf edge, that holds the greatest impact to profitability for the retailers of the future. The new focus for a retailer is to acquire tools that virtually guarantee excellence in execution at the shelf with the minimum of labor and virtually no training or skill level requirements by an ever changing workforce. Confidence in consistent execution of plans across all stores in the chain has a value that far exceeds the profit potential of a product.

The tool to achieve the highest performance at the shelf edge is not a printed strip that has been developed as if it were a product, where cost is the sum of the raw materials used to produce it. Rather it is the value heavy extension of the strategic plans developed by Merchandising that need to be executed in the store. A tool that is a management report that provides Field Management and store personnel with all the information needed to be successful every time. A tool that is so precise and of highest quality that the store personnel do not need to verify it, receive specific training or possess a certain skill level in order to achieve success.

This tool is precisely what we offer through our patented software systems and shelf strip service. At IPMS, we develop the service solution to include your business rules, automatically validate and audit data, flexibility with managing price labels, price changes, color and data formatting right down to the store/shelf/position level. Our retail professionals are your advocates in developing and adapting the solution that will meet your current and future needs. Contact IPMS to get the most value for strategic initiatives by getting accurate, consistent execution in every store.

With the help of TRUE creative services, www.thisistruecs.com, we have developed our new site to be a more appealing and user friendly site that better highlights who we are and what we do. Our new design allows for easier access to information about IPMS’ extensive services and solutions portfolio.

EJ Dale, President of IPMS said, “Our website was long overdue for an overhaul. We are very pleased with the completed site and hope that our customers and potential customers will find it easier to learn more about the products and services we have to offer.”

It’s about the STORE

Information Planning & Management Service, Inc., located in Sterling, VA, is a retail consulting firm specializing in developing and implementing business solutions, including our patented shelf strips, to improve efficiency, reduce costs and increase sales and profits.

Focusing on the retail industry, IPMS has established itself as the premier provider of business and workflow improvement in the execution of retail merchandising programs. We provide consulting, planning, process development, software and management services.

If you would like more information on this topic, please contact Bill Francis at (703)421- 5500 or by email at contact@infoplanning.com

Our patent covers:

• Shelf strip(s) showing where products should be placed on a shelf by indicating the left and right areas of the product position or by using a price label (or other marker) to show the start of each area. It also covers the use of images on a shelf strip.
• Composition and Production of shelf strips using computerized files of planogram information or layout information which is printed or ready to print.
• Provision of shelf strips as a service to another company
• The use of shelf strips to save labor or preserve the desired layout of a shelf, product section, store, or chain of stores.

Our mission is to develop strong partnerships with retailers, print providers, service providers and manufacturers to implement the highest standards of processes and quality of shelf strips, resulting in maximum return to the retailer.

View the Shelf Strip Patent Online

Get a Copy of the Shelf Strips Patent (PDF)

If you are looking to become licensed to use, compose or produce shelf strips, we are currently in the process of developing a licensing program. Please contact us via phone at (703)421-5500 or email info@infoplanning.com for further information.