Driving Promotional Execution in Grocery Retail
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.
Clearly promotions are vitally important for both retailers and suppliers. Despite some retailers’ focus on Every Day Low Pricing (EDLP) and the growing emergence of discount retailers, promotions play an integral part in driving category volumes and profitability for retailers. For brand owners, the role of promotions is just as crucial. Promotions can drive volume, steal market share and are key in encouraging shopper behavior to achieve consumer trial and brand switching.
Andy Foweather, Managing Director at StayinFront Retail Data Insight (RDI), discusses the most common culprits of non-compliance and the power of retailer Electronic Point of Sale data to drive promotional ROI by improving the planning, execution and effectiveness of current and future promotions.