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10.08.2018

PROMOTIONAL EXECUTION – WHAT IS IT WORTH?

Promotions play an integral part in driving category volumes and profitability for retailers. Here are the top key factors on promotion execution:

♦ Promotions can drive volume and steal market share and are vital in encouraging shopper behavior with respect to trial and switching between products.

♦ StayinFront Retail Data Insight field research has shown that in categories where shopper loyalty is high, the volume sold on promotion can be as high as 80%.*

♦ Nielsen reports that in Australia, 40% of total grocery sales were sold on promotion. New Zealand surpassed that with 57% of total grocery sales sold on promotion. This compares with other major markets such as the United States (37%) and across Europe, including the United Kingdom (33%).**

♦ Electronic Point of Sale (EPoS) data measures the number of stores achieving the expected promotional lift in sales on Day 1; figures will be closer to 30%-45%, especially on promotions occupying secondary sites. This shows a significant opportunity for improvement in grocery.

♦ CPG manufacturers can minimize the lost sales from poor promotional compliance by leveraging tools and technology to ensure perfect execution from the first to the last day of the promotion and across all participating stores.

♦ Three common compliance culprits are: late starters, early finishers and incomplete executors.

To find out more download the Optimizing Promotional Execution in Grocery Retail white paper. This white paper examines 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.

EPoS data provides a treasure trove of information for improving in-store execution ─ all the way down to an individual SKU selling in a specific store on a specific day.

StayinFront RDI’s Sales View® and Field View® software, integrated into the StayinFront’s TouchCG® platform, provides a fast track to this actionable insight, with a series of automated alerts sent to the inbox of the right stakeholder, and standardized graphs and charts and compliance tracking reports which transform the performance of the customer management teams.

Sources:

*StayinFront Retail Data Insight 2017

**Nielsen Homescan 2014

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