What Is It?

Retail Compliance can mean one of two things. On one hand, there is Planogram Compliance, which is ensuring that your organization’s instruction on how shelving or displays are set up in-store is followed. On the other hand, though, Retail Compliance deals with labor and contract conditions.

Why Does It Matter?

Compliance is important in the retail universe since it has a direct effect on people—both consumers and employees. Retail Compliance’s planogram portion is important to ensure that consumers are seeing up-to-date displays that are appealing, which may positively affect their buying decision. Retail Compliance’s labor conditions portion is also important because keeping your employees happy and not over-worked affects their motivation and skills on the sales floor, which in turn creates more business for you. It also ensures that you operate within the lawn and avoid expensive fines.

What Are the Challenges?

Labor compliance is challenging in retail as retailers, brands and service companies often operate across numerous states and labor laws and requirements vary from states to state. Using an advanced retail execution and workforce management software can help to not over-scheduling employees and avoid un-expected costs. Lack of planogram compliance can also lead to lost sales— for each retailer, $1 million to $30 million worth of lost sales, according to RIS. Retail Execution Software can be used to conduct continuous audits and subsequently lift sales by 5 to 10 percent.

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