The term "shelf space" refers to the physical area on a store shelf that is available for displaying and selling products. It represents the limited amount of room retailers have to showcase their merchandise, which means not all items can be displayed at once. The phrase often used in business when discussing product placement, marketing strategies or sales tactics. Retailers compete for prime shelf space and pay extra fees to get the most visible spots, as it is believed that products placed closer to eye level have a higher chance of being purchased.