Trade Promotion or Trade Spend Management is a test that most Consumer Packaged Goods companies face around the world.
But it’s also established in many wholesale and distribution verticals too.
Companies spend tens of millions of dollars and countless hours on promotions designed to boost revenue or increase and protect their market share.
Trade Promotion Management or Trade Spend Management is being able to see the effectiveness of your trade spend, track which promotions are producing the most ROI and counteract competitor activity.
When it comes to Trade Promotion Management (TPM), there are typically a number of stakeholders involved from finance to marketing and the executive team.
When data is scattered across multiple systems or is not up to date, it can be difficult for them to find the right information at the right time.
With detail on the number of promotions running, how they are performing, and promotion details all located in different areas, it can become difficult to react to the changing nature of business.
By connecting your TPM system to your ERP, and getting rid of spreadsheets, it becomes much easier to monitor your Trade Promotion activities.
Using TPM software to establish accuracy with your pricing will help reduce the risk of giving away too much of your margin.
The ability to automate pricing helps to streamline the communication between different departments because specific discounts and promotions have been set up in advance.
Automation reduces human errors by providing a digital paper trail for your Trade Promotion activities in one place. It also provides accountability for everyone’s actions for every deal.
Losing sales from sales reps not knowing or not having access to the right promotions is a business breaker!
Having more insight into what discounts, rebates, and promotions are available means your sales team can offer the most competitive deal while they are with the customer.
It also means that your sales team can focus on selling more and providing excellent customer service because they are not wasting time searching for applicable promotions.
Trade Promotion Management is about getting your trade promotion activity in line to ensure that activities are as successful as they can be.
It is also about shedding disconnected processes and bringing them into a single hub with more visibility for promotion performance.