Trade Promotion Management for the Consumer Goods and Services Industry

The trade promotion management (TPM) challenge is by no means insignificant. Consumer packaged goods companies spend substantial amounts of time and money—14 percent of revenue, according to an AMR Research study—on promotions with retailers designed to boost revenue or increase/protect market share (or both).

It’s clear that a new approach to TPM is needed—one that can help consumer packaged goods companies break the cycle of spending substantial sums of money on promotions and getting little to show for it in return.

Such an approach must address some of the main obstacles to more effective TPM—which include well-entrenched business practices and behaviors, data and technology limitations and generally ineffective processes no longer relevant to today’s complex and largely global consumer goods supply chain. Indeed, only 29 percent of companies in the Consumer Goods Technology and AMR research study said their current capabilities in trade promotion are good, with a mere three percent saying their system is "best-in-class."

Read more about the Accenture Trade Promotion Management Solution and how we can help consumer goods and services companies achieve high performance. Download—High Performance Sales: Trade Promotions Management. [PDF, 119KB]

Accenture has drawn on direct client experience as well as original research on the characteristics of high-performance businesses in the consumer goods industry, functional and technical knowledge, along with expertise in SAP^® solutions or software to create a unique approach that blends strategic thinking with advanced analytics and modeling to help identify and measure the most effective trade promotions.

The Accenture Trade Promotion Management Solution helps companies manage every step in the process, enabling them to more precisely identify, plan, execute and fully evaluate their trade promotions. This end-to-end approach helps companies to define strategies, optimize promotion spending, improve process coordination and establish effective organization skills—all supported by the right tools and systems.

The Accenture Trade Promotion Management Solution uses the SAP® Account and Trade Promotion Management for Consumer Products software available through the latest edition of the SAP Customer Relationship Management (SAP CRM) application. Accenture was chosen by SAP to help in the development and testing of the new product due to historical synergies within our client base and extensive past joint work on initiatives supporting SAP CRM.