Optimizing Promotional Execution in Grocery Retail

Promotion execution for better sales, brand share and profitability

While trade promotion spend by CPG manufacturers continues to increase, retailer compliance is trending downward, especially when performance is measured at the store/day/SKU level. This really matters. Brands are paying retailers large sums in promotional gate fees simply to be allowed to run events, with higher fees payable for the better locations in store.

If a promotion misfires it can have an impact on sales, brand share and profitability. Some of the most common culprits of non-compliance are relatively straightforward. Starting and ending on time is critical. Showcasing the product in the right promotional feature location will dramatically increase rate of sale.

But few retailers perfectly implement the promotional activity program agreed with the supplier in all their stores, banners and locations. Of course, retailers are doing their best to execute excellently, but the morass of activity makes this tough. Working with StayinFront RDI’s powerful POS data analytics package, brand owners can drive promotional ROI by improving the planning, execution and effectiveness of current and future promotions.

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