What is Trade Marketing?

Bricks and Clicks

What is Trade Marketing?

Trade marketing and advanced analytics is like playing Moneyball (what Jonah Hill did in Moneyball). It’s using data to make better decisions. It’s a bit different than looking at things like Packaging, it’s a study of the purchase environment, where people make purchases.

What do those different marketing and trade activities do to impact the trade environment itself?

Is this going to drive sales where we need it to drive sales?

DTC and Brick and Mortar marketing is similar, especially on the analysis side, it’s the lens of increase sales, and knowing where you accel. Online or offline.

The data and analysis helps companies make better decisions like which promotion to run, for example a 10 for 10 or a 4 for 5.

Real world example.

Clif bar might be running a promotion for a 10 for 10, when you can get 10 bars for $10. This type of promotion is bought by the manufacturer from the grocery store.

Did you know?

Buying promotions can be a few different things. Buying the promotional inventory from the retailer, and the amount that’s discounted. There are other layers to add on as well, such as buying the ad and getting it printed in the flyer.

Endcaps, displays, and signage in the store all cost money, it’s not the stores choosing to discount old inventory.

Your brand may have to pay the retailer before the store even before you’ve sold any inventory. It’s expensive but can be very lucrative.

That’s what Trade Marketing is, making sure your retail investments are profitable.

Magic or Math?

It’s not magic, it’s math to predict the future sales, using the vast sets of data available in the CPG industry.