Sales growth through secondary placement

01.

Background

A manufacturer in the muesli/cereal segment wants to investigate the influence of various promotional mechanisms on secondary placements in order to activate shoppers and increase brand sales (including call-to-action headers, coupons and multi-buy mechanisms).


The manufacturer is interested how the investigated mechanisms perform when compared to national displays without promotions and different display configurations.

02.

Questions (extract)

  • What effect do the different promotional mechanisms have on the sale of the placed products?
  • How do the test groups perform when compared to each other and to the control group?
  • What effect do the measures have on competitor items?
03.

Approach

  • Real-life store tests (including analysis of scanner data) on 7 test groups and 1 control group in 5 REWE stores
  • A different promotional mechanism was implemented in each test group and compared to the control group and the preliminary phase of the test
04.

Results (extract)

 

  • All mechanisms tested resulted in sales and turnover growth compared to the national standard display
  • Multi-buy and coupon promotions performed best in comparison
  • Various strong, significant substitution effects were observed in relation to competitor products

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