Tuesday, September 07, 2010
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Optimising your promotions at POS
A method of understanding the level of demand for different promotional mechanics, the degree of switching that would occur and the impact on share of market.
Differences between alternative shopper types (e.g. brand users, named retailer shoppers etc.) can be measured.
The “task” of choosing a product reflects what shoppers actually do - the respondent evaluates several elements (price, brand, pack size, format, promotion etc) “conjointly”.
Their attention is drawn equally to all attributes, so the promotion is neither emphasized nor overestimated.
Outputs
Overall impact of promotions versus other levers.
Share of choice
for different promotions and by different competitor scenarios.
Volume & value shares versus competitor brands/SKUs
to show the impact on competitive set.
Source of volume –
where gains/losses would come from in a switching scenario.
Interactive Simulator spreadsheet model
to test alternative scenarios.
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