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New Item Slotting Fee
Definition
A fee that a retailer charges a manufacturer to place a new product on shelf. Slotting fees help retailers offset costs associated with bringing in a new SKU, including labor, inventory risk, and limited shelf space. They are most common during new item introductions or category resets.
How It's Calculated
Fixed fee per SKU or per store; varies by retailer, category, and distribution scale.
Example
A beverage manufacturer pays a $25,000 new item slotting fee to secure shelf placement for its new sparkling tea line during a category reset at a national grocery chain.
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