Ensuring a Seamless TPM Journey: Empowering Trade Promotion Success

Trade promotions, accounting for over $500 billion in global expenditure, rank second only to COGS for CPG businesses, constituting approximately 20% of revenue. Effective trade promotions management (TPM) is crucial for overall business strategy. However, organizations face challenges in streamlining TPM operations and achieving higher ROI. Well-managed promotions have a positive impact on revenue, yet complex processes, fragmented data sources, and ambiguous responsibilities persist. Standardized solutions are lacking. In response, leading CPG/FMCG organizations are reassessing their TPM approach, seeking innovative solutions to improve metrics beyond effectiveness.

Why Choose Retail Insights for Trade Promotion Management?

At Retail Insights, our TPM services provide cutting-edge practices, solutions, and frameworks to revolutionize processes. Our approach leverages digital enablement, industry integration, analytics, and automation, delivering enhanced agility and accelerated operations. While the concept of running successful trade promotion operations may seem straightforward, implementing it successfully is anything but simple. Retail Insights has played a pivotal role in assisting CPG clients in identifying and achieving the objectives of an ideal TPM operating model. Our focus encompasses:

Cultivating an end-to-end view of trade promotions.

Accurately and timely measuring the performance of promotions.

Accelerating trade promotions through expert consultancy.

Furthermore, we offer a comprehensive range of services to our TPM clients, including Business Process Consulting/Advisory Services, Managed Trade Promotions Services, Technology Consulting and Implementation Services, and Analytics Advisory and Data Consulting.

Our Trade Promotions Management practice provides numerous benefits for our clients, including:

Improved operational efficiency.

Increased promotional effectiveness.

Enhanced customer experience.

Key Accomplishments:

Retail Insights has achieved remarkable milestones in trade promotions management. Our global delivery model focuses on optimizing processes, enhancing promotion effectiveness, and delivering an outstanding customer experience. With the trust of the top global retailers and the leading global CPG organizations, our industry collaborations have allowed us to accumulate invaluable best practices. Our benchmarking repository showcases industry-leading metrics, guiding us in providing the most effective strategies. We leverage proven in-house programs like Be-The-Navigator (BTN), Zero Distance, and design thinking, fostering transformation, ensuring consistent service delivery, and driving continuous improvement. These accomplishments demonstrate our commitment to excellence and position us as a trusted partner for exceptional trade promotions management.

We accredited implementation partner of Kantar Xtel

Success Story:

Retail Insights undertook a comprehensive end-to-end transformation of TPM operations for one of India’s largest consumer packaged goods companies. By leveraging analytics and implementing rich UI forms and interfaces, we significantly elevated TPM effectiveness and user experience. The result was a remarkable 50% increase in handled volumes without requiring an expansion of the team size.

Best Trade Management Software (Kantar) | Retail Insights

Increase revenues and margins through integrated sales planning and best trade management Software with an omnichannel solution; Retail Insights.

The Trade Promotion Management solution gives CPG manufacturers a single industry-dedicated environment that blends advanced capabilities with industry best practices and proprietary retail insights to enable an end-to-end plan and promotion management process.

Consumer goods manufacturers face pressing trade investment requests from their retail partners to drive an increase in both revenues and margins.

They must balance these requests with their own requirements to deliver growth and higher return on investments.

The Retail Insights – Omnichannel Solution allows all stakeholders to identify, optimize, plan and manage the right sales levers – assortment, pricing, promotions, and trade terms. 

Through a collaborative business process to deliver best results with retail partners.

More Return with Less Investment

Trade Promotions and API Led Integrations

? Profitable Revenue Growth – Implement the best assortment and promotional levers to deliver strong sales growth rates and win with retailers and shoppers.

CRM, Retail Automation etc

? Streamlined Sales Planning – Automate an end-to-end trade promotion with nest in class transactional and analytical capabilities and collaborative top-down/bottom-up planning process.

best trade management Software
Price Optimization, Promotion, e-commerce etc

? Market-Led Decisions with Retail Partners – Achieve higher results with shopper- drive recommendations, by leveraging the virtual environment to test promotions and new products.

best trade management Software

? Higher Operational Performance – Improve performance at the shelf with a more accurate sales forecast and closed planning execution process.

Whether you need to quickly add product features to drive business agility, drive digital transformation with a new application, or embrace new DevOps practices, #retailinsights is the right partner to help you achieve your goal.

Retail Insights is a global IT Services & Digital Solutions company with offices across the USA, India, UK, and UAE, supporting the IT operations and growth of enterprise-level companies in a wide array of industries. Contact us today for the best trade management Software.

Visit Us: www.theretailinsights.com ||Contact us : +91-9945872535 || sales@theretailinsights.com

Trade Promotion Strategy and Key Performance Indicators. Instore Branding

Trade Promotion Strategy

A key component of the promotion strategy is the role of trade promotions by brand.

Drive incremental sales

Increase market share and brand loyalty

Buy-down everyday retail price


Bottom up vs. Top down Budgeting

Top down Budgeting:

Spending budgets by account can be allocated by sales management to
each sales representative or account as described in the above process step.

The advantages of
this method are:
Ensures budgets are allocated based on overall corporate Promotional Strategy for the
Ensures that account level budgets will meet overall spending budget.

Bottom up Budgeting:

Each sales representative can determine the promotion dollars needed to
meet their sales targets during the Create Promotion Plan process step. In this case, a bottom
up approach is used where each individual account budget is rolled up to an overall spending
level. The overall spending is compared to the total available dollars prior to approval. In this
scenario, the Allocate Budget to Accounts process step is not performed. The advantages of this
method are:
? Budgets can be generated based on needs at the account.
? Account opportunities rather than just historical sales can be included in the budgeting

Promotion Plan by Account/Product: The promotion plan for the account will list all of the
events that are planned during the planning period. Information about each event will include:
? Event start and end dates as well as order and shipment dates for the promotion
? Products included in the event
? Expected base and incremental sales for each product (lift)
? Event tactics (end-aisle display, temporary price reduction, ad feature, etc.)
? Event costs (per case shipped to retailer, per case sold by retailer (scanned), lump sums)
? Payment methods (off-invoice, bill back, separate check)
? Expected profitability for the event (incremental Return on Investment (OI))

Key Process Measurements

Trade Promotion Spending as a Percent of Sales: A common goal of initiating effective
Trade promotiontrade promotion practices and analysis is to be able to more efficiently spend trade promotion
dollars – getting more revenue gains for fewer dollars. Measuring trade fund spending as a
percent of sales will help to determine if we are meeting that goal.
Return on Investment for Promotion Dollars: Currently many manufacturers look at
revenue and case volumes rather than ROI. Implementation of effective trade promotion
processes will enable us to capture ROI and to see it increasing.
Accuracy of promotion plan – revenue and spending projections: Compare actuals to
plan and document where differences occur. Over time we should see greater accuracy of the
plans – eventually leading to better production scheduling and reductions in the number of outof-
Number of outstanding deductions: The overall deduction balance should decrease over
Time to resolve deductions: The amount of time needed to resolve and clear a deduction
should decrease.
• Additional distribution for a product
Adding more facings for an established brand: Gaining facings for a new product
Consistency of product demand: While promotions are being run, we will often see huge
increases in shipments of the promoted products followed by little or no demand for the
product. This indicates that retailers are forward buying the product at the lower promotion
price and storing it for future sales. The overall promotion strategy and plan should look to
reduce the amount of forward buying and diverting by retailers and even out the demand.

Contact us :sales@theretailinsights.com||skype: retailinsights||+91 7795001231