Analytics: Price and Promotion
A leading retailer and CPG manufacturer were developing a promotional plan for their king-size products in the chocolate category. Instead of replicating the prior year’s schedule, they wanted to know if they could reallocate resources to improve top-line sales.
Circana ran price and promotion models for the entire chocolate category and loaded them into its retailer/manufacturer collaborative gateway to identify possible promotional reallocations. The retailer and manufacturer were then able to put the most effective SKUs into the promotional plan and optimize the discount depth to make better use of their promotional dollars.
We identified a $3 million growth opportunity for the entire chocolate category, a win-win scenario for both the retailer and manufacturer. The retailer now incorporates this modeling process and scenario planning into its collaboration with its supplier partners across multiple categories.