Struggling with underperforming trade promotions? Maybe it’s time to change the tactics!

In the ever-growing Consumer packaged goods (CPG) market, trade promotions are the best opportunity for manufacturers and retailers to influence customers’ purchasing decisions. However, developing a successful trade promotion plan can often become a complex task in today’s fast-paced market.

A Quick Overview of Trade Promotions

Traditionally, trade promotions refer to the discounts manufacturers are giving to increase consumer demand for the manufacturer’s goods and convince retailers to sell and showcase more of the said goods. Trade promotions include all discount types, as well as rebates and bonuses directed towards increasing sales.

Since trade promotions typically take a huge chunk out of the budget, proper management of the entire trade promotion process is needed to avoid overspending with little to no returns on investment.

Common Trade Promotion Challenges in the CPG Industry

Here are some common trade promotion challenges faced by CPG brands:

• Budget management and allocation challenges: proper trade marketing budget allocation to maximize ROI is a continuous challenge as companies fail miserably by analyzing spending and finding areas where they can save.
• Difficulty in reaching the right audience: Trying to reach the right audience is one tricky business. Targeting the right retailers and the right consumers is the determining factor for the success of the same promotion.
• Complexities in data management: The massive volume of data created by trade promotions poses a considerable administrative and analytical issue. Companies must properly gather, retain, and use this data to strengthen future trade promotion campaigns.
• Accurate forecasting and integrated business planning: Companies must correctly capture, retain, and apply data to future trade promotions to strengthen and improve trading promotion campaigns.
• Effective trade promotion execution: This is an important step that is filled with problems, such as having a clear plan and guaranteeing the availability of all necessary resources.

Keeping these challenges in mind, CPG companies are moving towards Specialized AI-based Trade promotion management software to get the most out of trade promotion spending.

How does trade promotion software help CPG Companies?

Trade promotion management (TPM) software can be used to improve trade spend management in numerous ways.

• It combines all promotion-related data into a single platform for ease of access. It can track a wide range of working and non-working trade spend data, such as bill backs, scan downs, lump amounts, trading terms, and EDLP.
• With predictive models and machine learning algorithms, the accuracy is increased for trade promotions forecast.
• TPM software can be used to create trade spend reports and assist in locating cases of unnecessary spending as well as unused money that might be recycled to create volume.
  
  
• Post-promotion analysis is an essential step for effective trade promotion management. TPM software can help compare your projected results with actual results, helping you understand the outcomes better.

Introducing Salesflo PromoPro – The Ultimate Trade Promotion Management Software

Salesflo PromoPro is revolutionary AI-powered Trade promotion management software that provides all-in-one trade spend management. It ensures that CPG businesses maximize their ROI, generate a reliable spending forecast, and make informed, data-backed decisions.

Salesflo PromoPro AI-powered features simplify trade spend management by addressing the key challenges faced by CPG companies.

• Real-Time Insights: With its real-time dashboard, Salesflo PromoPro effectively provides similar detection for targeted campaigns. The Calendar View feature enhances the uninterrupted viewing of promotion timelines seamlessly, keeping you updated without any discrepancies.
  
  
• Budget Tracking: Gone are the days of painstakingly managing your budget on paper.. You can effectively manage your budget and promotional investment using Salesflo PromoPro’s real-time budget tracking, and you can reallocate resources as necessary.
  
  
• AI-driven Forecasting: Salesflo PromoPro gives data-driven ROI insights after analyzing your previous promotions, including their success rate and enhancements. It analyzes the market and provides you with the best opportunities to increase your ROI on trade spending.
  
  
• Performance Analytics: Salesflo PromoPro’s advanced analytics tool measures the success of trade spending and promotions using key performance indicators (KPIs). Companies can calculate ROI, identify unproductive campaigns, and fine-tune their marketing strategy for future promotions.

Controlling trade promotion spending is very important in improving profitability and business growth. Using the right tactics and Salesflo PromoPro, you’re ready to take on the demands of trade promotion management, maximize ROI, and achieve a competitive edge in the increasingly competitive consumer packaged goods industry.