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Promotion Analytics: Why 50% of Companies Are Falling Behind and How to Catch Up
Many companies struggle to keep up with effective promotion strategies. Discover why 50% of companies are falling behind in promotion analytics and learn actionable steps to get ahead. This video explores common pitfalls in Promotion Effectiveness & Optimization, highlighting key findings from our Revenue Growth Analytics Maturity Scorecard.
Smart Pricing and Revenue Growth Management for Auto Service, Repair and Tire Retailers
Join us for an insightful session as we explore smart pricing and analytics strategies tailored for tire & repair shops. Learn how to optimize pricing and discounting to drive car count, sales, and enhance profitability. This webinar is especially geared toward multi-location, regional, or super-regional/national retailers, as well as private equity operators in the space, looking to drive profitable growth.
A Data-Informed Approach to Promotion and Marketing Spend Optimization in Thrift Retailing
A leading West Coast thrift retailer with $350M in revenue needed to optimize its promotional and marketing spending to support growth. Revology Analytics implemented comprehensive analytical models and a custom dashboard to guide strategic couponing and promotional bundling. This approach identified $80M in growth opportunities and reallocated marketing budgets for enhanced effectiveness, positioning the retailer for sustained growth.
Building a Dynamic Pricing Capability (In Under 90 Days)
Many mid-market retailers and wholesalers' pricing, finance, and merchandising executives have inherited outdated pricing solutions. These legacy pricing processes don't quickly scale and heavily rely on expensive human, mundane tasks. There are no intelligent dynamic pricing capabilities that automatically set prices based on sales patterns, corporate objectives, and changing marketplace behavior. It often results in missed profit opportunities and liquidity problems.
Fortunately, you can build simple yet effective dynamic pricing solutions in 3-to 4 months that achieve up to 80% of its incremental Gross Profit $ potential. You can design and implement using practical methods and accessible technologies that empower your teams to take complete control without expensive 3rd party support.
Read more below about how you can achieve this and unlock an extra 1-3% in GP% in year 1.
Beyond Pricing: Comprehensive Revenue Growth Analytics & Management
Revenue Growth Management (RGM) is often mistakenly equated solely with pricing strategies. However, true RGM encompasses a broader scope, leveraging comprehensive commercial analytics to drive business growth across multiple dimensions.
Beyond pricing optimization, RGM integrates advanced metrics and analytics efforts such as Customer Acquisition Cost, Lifetime Value, Churn Rate, Marketing ROI, and Net Revenue Retention to provide a holistic view of revenue and profit opportunities.
By analyzing these diverse data points, companies can unlock insights that lead to improved customer segmentation, targeted marketing campaigns, optimized product and customer mix, and enhanced operational efficiencies.
Companies that expand their RGM focus beyond pricing are better positioned to identify untapped revenue streams, boost profitability, and achieve sustainable growth in an increasingly competitive and insights-driven marketplace.
RA Quick Insights: Smarter Discounting for B2B
Discover how strategic discounting transforms customer engagement and drives profitability in this week's Revology Analytics Insights video. Learn to tailor discounts effectively, ensuring sales growth and customer loyalty without compromising your bottom line.
RA Quick Insights: The State of Promotion Analytics
Discover the latest insights in our newest video: The State of Promotion Analytics & Optimization. A must-watch for this week!
Give the Gift of Revenue Growth Analytics Skills
Kickstart the New Year with a game-changing gift for your team!
Discover our specialized corporate training programs in Advanced Revenue Growth Analytics, designed to fill the practical skill gaps in Revenue Growth Analytics (RGA) that many companies face.
It's the perfect opportunity to empower your commercial and analytics/data science teams with hands-on, real-world skills that immediately impact your bottom line.
Taking Charge of Your Revenue Growth Analytics
Revology Analytics had the opportunity to join 25 leading Revenue Growth Management executives in CPG and Manufacturing in St. Louis earlier this week. We discussed the state of Revenue Growth Analytics in the CPG industry and the significant opportunity to in-source and own many of the advanced analytics capabilities foundational to a successful RGM and Pricing strategy.
In many ways, the state of Revenue Growth Management and its associated analytics capabilities have not changed meaningfully in the last ten years for Consumer Goods companies. There's still a heavy reliance on data and information providers like Nielsen and IRI to carry out foundational Pricing & Promotional Analytics efforts, including Price Elasticity and Marketing Mix Modeling, or a heavy reliance on 3rd party software for price analytics, scenario analyses, and optimization efforts.
However, the world is changing....fast.
Driving Manufacturer Gross Profit through Promotion Effectiveness & Optimization - Case Study
In this case study, we explore how a $1.5B privately-held Consumer Packaged Goods manufacturer successfully navigated the challenges of a competitive market. Facing declining market share and profitability, the company struggled with ineffective promotional strategies, leading to eroded gross margins in the face of increased promotional spending. The company collaborated with Revology Analytics to develop the Promotion Effectiveness and Optimization platform using the client's existing tech stack. This included the development of a Pricing & Promotions data warehouse in Azure and Diagnostic and Predictive Analytics capabilities for Pricing & Promotions using Tableau and R. The case study offers valuable insights into overcoming obstacles in planning and profitability, showcasing the significant improvements in retail buyer engagement, gross profit, promotional ROI, and market share.
Promotion Analytics: Why 50% of companies are falling behind and how to catch up.
Two decades later, Promotion Effectiveness & Optimization is still a substantial business problem for companies; at least 50% struggle in this arena.
When we asked ~ 150 commercial leaders about their organization's Promotion Effectiveness & Optimization capabilities, the Consumer Goods industry emerged with a high score of 3.3 (a little better than Average). This is unsurprising since this is one industry where Promotional spending is routinely 15-30% of Gross Revenues and where the Trade Promotion Management, Effectiveness & Optimization (TPX) software industry grew the fastest.
Unveiling Your Revenue Growth Analytics Maturity: Unlock Your Full Profit Potential
Discover the power of Revenue Growth Analytics with our newly launched Maturity Scorecard, designed to assess your organization's capabilities in Margin Analytics & Optimization, Sales & Customer Growth Analytics, and Promotion Effectiveness & Optimization.
Take the 3-minute assessment and gain access to tailored recommendations for improvement, as well as an extensive library of free Revenue Growth Analytics resources, including Tableau dashboards and price elasticity models in R and Python. Don't miss out on this opportunity to elevate your Revenue Analytics capabilities and drive significant business impact.
Business Deep Dive Framework for Consumer Goods companies
Analytical fire drills and knee-jerk pricing actions are becoming increasingly common in the consumer goods industry. With intense competition and ever-changing customer needs, companies must be agile enough to rapidly adjust their strategies to remain competitive and deliver relative value to their consumers.
By creating a dynamic integrated performance deep dive, CPGs can identify specific areas of improvement to maximize efficiency while delivering high-quality products at competitive prices — all of which will help them stay ahead of the competition in today's market.
In the below quick guide, we'll explore the steps needed to build a reproducible and highly actionable (and impactful) performance deep dive that can help CPGs address Revenue performance shortfalls.
RA Quick Insights: Top Pricing Quick Wins for Distributors
Below are my top Revenue Growth Analytics quick wins that Distributors should implement (or right-size) to boost gross profits $ by 5-20% and increase liquidity.
RA Quick Insights: The Misconception About Building Foundational Promotion Effectiveness & Optimization Solutions (in under 90 days)
If you are a ~$1B Manufacturer or Distributor that spends ~ 15% of its Gross Revenues on Promotions & Rebates, every 50bps improvement in your Promo ROIs will drive +$0.75MM to your EBITDA. Let me describe the steps to take to enable these capabilities for your organization.
Driving Manufacturer Gross Profit through bespoke Promotion Effectiveness and Optimization Capabilities
Did you know that most promotional investments by Manufacturers are a negative ROI investment, and each 1% improvement in Promo ROI can be a massive benefit to your Operating Profit?
Many mid-market manufacturing CFOs, CMOs, Pricing, and Sales executives are struggling with Promotional spending outpacing Profit growth, leading to unnecessary profit erosion.
Fortunately, most companies have the proper data assets to build sophisticated and actionable Promotion Effectiveness & Optimization solutions in-house, using methods and technologies they are already familiar with.
If you've always wanted to know how to build robust Pricing & Promotion Analytics capabilities organically and quickly (in ~ 4 months), please read this detailed Case Study that walks you through the critical steps with concrete examples.