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CASE STUDY

Price and Trade Advantage™ case study sees £750K savings per week through promotional de-escalation

Snapshot

SOLUTION AREA

Analytics

SOLUTION

Precision

INDUSTRIES

Food and Beverage

CLIENT

Manufacturer

price and trade advantage case study global food and beverage manufacturer
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The Challenge

A leading, global food and beverage manufacturer has been losing value share in the UK for the past five years despite out-promoting the market in terms of percent volume sold on discount. In addition, one of the key retailers they collaborate with also promotes heavily, further eroding the category. Both the manufacturer and the retailer needed to identify ways to reduce the promotional intensity in the category.
Insight

Insight

Circana identified that 57% of the manufacturer’s promotions eroded the category. The Price and Trade Advantage™ analysis also identified that promotions on-shelf were not yielding any revenue and that promotions on-display were a lot more effective. Circana recommended a reduction in on-shelf promotions and an increase in on-display promotions, as well as consumer preferences toward BOGOF* and round £ (versus price cuts) promotion mechanics.

The Results

The manufacturer saved ~£750K in promotion spend per week by switching promotions from depth to location (displays), while concurrently boosting the category and profitability.

The Results
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+£750K

Weekly Savings

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Related Case Studies

Here are some manufacturer-based case studies that can help shape your future

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