How to Use the Metric
If your goal is to reduce your per-unit advertising cost by reducing page count in your catalog, start by identifying those categories that score less than .9 in the sales-to-space ratio. Reducing space in stronger categories likely would have an adverse effect on sales. But by focusing on weaker performing categories in terms of their sales-to-space ratio, you can both trim product and reduce page count while not adversely affecting sales for your catalog as a whole.
- Companies:
- J. Schmid & Assoc.
A columnist for Retail Online Integration, George founded HAGUEdirect, a marketing agency. Previously he was a member of the Shawnee Mission, Kan.-based consulting and creative agency J. Schmid & Assoc. He has more than 10 years of experience in circulation, advertising, consulting and financial strategy in the catalog/retail industry. George's expertise includes circulation strategy, mailing execution, response analysis and financial planning. Before joining J. Schmid, George worked as catalog marketing director at Dynamic Resource Group, where he was responsible for marketing and merchandising for the Annie's Attic Needlecraft catalog, the Clotilde Sewing Notions catalog, the House of White Birches Quilter's catalog and three book clubs. George also worked on corporate acquisitions.