Understand the true impact of your promotions

How to measure the effectiveness of your trade promotions

Measuring promotion impact

In order to improve your trade promotions, you first need to understand the true impact of past actions. Yet when we interviewed FMCG companies, nearly nine out of ten said they struggle to understand which promotions were effective and profitable. 

The challenges are typically related to scattered data, lack of time, and the inability to separate overlapping actions from each other. Trying to analyze different types of actions with the same set of KPIs causes challenges as well. Sometimes it’s enough to focus only on your sales and profitability metrics, whereas sometimes you need to take a closer look at what happens to the shopping behavior after the promotion period. 

The tooling you need

A² Trade Promotion Insights pulls data together from different sources to combine it into an overall view on past promotions. Intelligent baseline modeling allows you to instantly see the incremental sales created by different types of promotions. Analyzing promotions first at an aggregated chain and brand level before drilling down to individual promotions ensures that all of the most important results can be easily reviewed.

Analyze the impact reliably

Use your time to analyze the findings, not to combine data from different sources or manually adjust the baseline sales for an individual promotion.

Promotion strategy
and annual plan

Activity planning

Retailer collaboration

Execution and review

Promotion strategy
and annual plan

Analyze the efficiency of the actions at the brand level
Drill down to the details

Execution and review

Compare results against the targets
Use KPIs that are relevant for the objective
Analyze what happens around the promotion

Something for all the stakeholders

We believe that you shouldn’t need to be a hardcore data analyst to understand the true impact of your promotions. Key account managers and brand managers should have the tools they need to easily draw conclusions on what works and what doesn’t. Data analysts can then focus on the more complicated cases and really drill down to the lowest level of detail in the most important areas.

Focus on the most effective ones

‍Having a holistic visibility to impact of your promotions allows you to:
Optimize your promotion strategy
Stop wasting money on promotions that just don’t work
Allocate money to the brands and chains that have provided the best promotion lifts

Discover other benefits of the A² Trade Promotion solution

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