General information
Our hubs are organized into five hub sizes: XS, S, M, L, and XL. These sizes determine the number of racks and the total space available in each hub. Importantly, hub sizes are cumulative, meaning:
Hub size | Racks included | Key feature |
XS | XS | Smallest, foundation for all hubs |
S | XS + S | Adds racks specific to S hubs. |
M | XS + S + M | Adds racks specific to M hubs. |
L | XS + S + M + L | Adds racks specific to L hubs. |
XL | XS + S + M + L + XL | Full range of racks and products. |
This cumulative structure ensures that XS hubs serve as the foundation for product availability across all hubs.
The image below highlights how an XL hub floorplan contains all hub sizes within it. The highlighted areas in red represent the sections for XS, S, M, and L, demonstrating how larger hubs encompass the equipment and layout of smaller hubs, building upon them to accommodate additional racks and specialized storage. This same logic applies to L, M, and S hubs, as each includes all smaller hub sizes plus their specific racks.
Rack allocation across hub sizes
The diagram below illustrates how equipment (racks, fridges, freezers) is distributed across hub sizes. Each hub builds upon the smaller ones, adding more equipment to support larger operations.
XS: the base equipment (69 units) ensures universal product availability.
S to XL: additional racks and specialized storage are added as hub sizes grow, increasing capacity for variety and bulkier items.
ℹ️ Want to learn more about your hub?
Click here for more info. This mapping file allows you to see the hub size assigned to all your racks. Simply select your hub size, and the file will update automatically to show relevant details regarding the hub size of each piece of equipment.
Why XS racks are critical
Smaller hub sizes, especially XS, play a unique and essential role in our distribution strategy. Here’s why:
Products in XS reach all hubs
Items placed in XS racks are available in all hubs (XS, S, M, L, XL), ensuring maximum product reach.
Example:
A product in an XS rack can be picked for any hub.
A product in an XL rack is only available to XL hubs.
Bigger assortment = Higher sales and gross profit
The more products we place in XS racks, the more variety customers see in all hubs.
A larger assortment makes it easier for customers to add more items to their orders, increasing the gross profit.
On the other hand, XL racks store bulkier or less common products, which serve fewer customers and generate lower sales per rack.
Efficient use of space
XS racks are for high-demand, universally needed products and fill up quickly.
XS racks are the fullest on average, as they hold products for all hubs. As you move through S, M, and L to XL, racks become less full, serving fewer hubs at each step.
The role of shelf changes in assortment expansion
Shelf changes are vital for optimizing product placement, even if they may seem counterintuitive at first. For example:
Moving items to smaller hubs: transferring products from an S rack to an already full XS rack may appear inefficient. However, this move increases the number of hubs that stock those products, making them available to more customers and maximizing reach.
Freeing up space in larger hubs: consolidating products into smaller hubs, even fuller ones, creates valuable room in larger hubs for new or bulkier items, streamlining operations and enhancing efficiency.
By strategically placing products in smaller hub sizes, we expand our assortment’s variety and availability, directly improving customer satisfaction and driving sales growth.
Why facings matter
Proper product facings are essential for effective shelf management and directly impact both space optimization and sales performance.
Space optimization: following facings ensures shelves are used efficiently, preventing overcrowding and keeping products accessible. When facings are not followed (e.g., giving too much space to one product), it reduces space for other items, overcrowding the shelf.
Supporting best-selling products: following assigned facings ensures best-selling products have enough space to stay in stock and are easy for pickers to find. This reduces restocking delays, speeds up operations, and keeps shelves organized. Ignoring facings can lead to overcrowding and inefficiency, impacting overall hub performance.
By adhering to facings, we balance shelf space across products, avoiding overstocking some items at the expense of others, which helps maintain an organized, high-performing assortment for all hubs.
Key takeaways for managing hub sizes and racks
Smaller hub sizes have greater impact: focus on optimizing XS racks since they directly affect product availability across all hubs.
Facings matter: following product facings keeps shelves organized and maximizes space. This ensures products are visible, available, and easy to manage, improving hub efficiency.
Understand rack utilization: expect XS racks to be fuller as they contain products accessible in all hubs. Larger hubs like XL have more space but are less critical for universal availability.
By maintaining organized and efficient racks, particularly in smaller hub sizes, you play a key role in expanding our product assortment and delivering a better customer experience. Together, we’ll ensure every hub operates at its best!
FAQ
What happens if I don't follow facings?
Ignoring facings can cause overcrowding on shelves, making it harder for pickers to find products and reducing space for other items. This leads to inefficiencies and limits the variety of products available.
Why are XS racks always so full?
XS racks hold products available in all hubs (XS, S, M, L, XL), so they carry the most variety. Larger hubs like XL have additional racks for specialized or bulky items, which are less full.
Why do we move products to smaller hubs if the shelves are already full?
Moving products to smaller hubs (like XS) increases their availability across more hubs, making them accessible to more customers. While it might seem counterintuitive, it ensures better product reach and maximizes sales.
What is "base equipment"?
Base equipment refers to the essential racks, fridges, and freezers that form the foundation of every hub, starting with XS.
How does an XL hub include smaller hub sizes?
An XL hub contains all the racks and equipment from XS, S, M, and L hubs, plus additional racks specific to XL. Each larger hub builds on the smaller ones.
What if a product doesn’t fit the assigned facings?
Flag the issue using the “Facings Feedback” option in Hub Alert so adjustments can be made. Following facings ensures smooth operations.
Why do some shelves have more products than others?
Smaller hubs like XS prioritize high-demand products that are available in all hubs, making their racks fuller. Larger hubs (like XL) have additional space for specialized items, which are less frequently used.
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