June 21, 2023

Warning Signs

Strong thunderstorms have shelf clouds. These clouds warn you that a spicy storm is approaching.

There are shelf clouds associated with your business as well. Shelf clouds tell you when danger is on the horizon. You are quite familiar with many of the concepts.
  1. Reduction in new item introductions.
  2. Poor performance of new item introductions.
  3. Reduction in the number of winning items.
  4. Sales volume of winning items is in decline.
  5. Discontinued winning items.
  6. Prices increase, leading to the decay of rebuy rates / new buyer counts.
  7. Marketing investment is reduced for no good reason.
All of these are shelf clouds. They are clear indicators that trouble is on the horizon.

A simple dashboard that points these concepts out to all employees goes a long way toward mitigating shelf clouds in your business.

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