What is Trade Promotions?

Created August 5, 2004

Agenda So, what is TPM exactly? Trade Pro otion! Current Mar"et Place #eloitte$s %iew A&&endix A! TPM Process #etails

'ntroduction
This docu ent will (ocus on the &ro otion &lanning, execution and &ost analysis acti)ities &er(or ed *y an organi+ation, Mar"eting, *randing, and other acti)ities are not included, A(ter this &resentation, you should *e a*le to! #escri*e the TPM Process 'denti(y challenges associated with Trade Pro otions #e)elo& a high-le)el a&&roach to addressing TPM related issues

So, what is TPM exactly?

The TPM Process

Trade Pro otion Manage ent .TPM/ is de(ined as the &rocess o( &lanning, *udgeting, &resenting and executing incenti)e &rogra s which occur *etween the anu(acturer and the retailer to enhance sales o( s&eci(ic &roducts, To &ro)ide a *etter understanding, we ha)e outlined a ty&ical trade &ro otions cycle!

See See A&&endix A&&endix (or (or Process Process Ste& #etails

Pro otion Progra s

The (ollowing diagra that are run, &ro)ides listings o( any o( the ty&es o( incenti)es and &rogra s

0 Pro otion &rogra s )ary widely (ro account to account discounts on each &roduct sold &ay ents o( a (ixed su o( oney other s&ecial &rogra s 0 'ncenti)e &rogra s are *ased on cor&orate strategy and account o*1ecti)es

Costs
Manufacturers Offer Incentives to trading Partners 2((-in)oice allowances 3a)ora*le &ay ent ter s Mar"et de)elo& ent (unds Sell-through guarantees4(ailure (ees Co-o& ad)ertising 5rac"et allowances

Performance
In Return for Performance At Headquarters Plan Merchandising 5uy in ad)ance o( de and Set &rices Authori+e new ite s At Retail Merchandising

Benefits
To Generate Consumer Sales 'ncre ental Sales and Pro(its

78)eryday 9ow Prices: Shel)ing

S&ace S&ace Con(iguration Con(iguration 9ocation 9ocation

Ads Ads #is&lay #is&lay 6educed 6educed &rices &rices Cou&ons Cou&ons

Stoc" 6otation

Ty&es o( Trade Pro otions

Trade Pro otion Manage ent .TPM/ is the con(iguration and ty&es o( &ro otions, anage ent o( three

Corporate Promotions
Co &any-wide &ro otions o( a &roduct or a *rand in which accounts can &artici&ate, They are run (or a s&eci(ic ti e &eriod and contain the o*1ecti)e o( the &ro otion, suggested tactics, and other in(or ation,
For example, a *e)erage co &any decides to &ro ote a new &roduct with the reco ended tactics o( a te &orary &rice reduction .TP6/ and in-store dis&lays,

Discretionary Promotions
A(ter a discretionary &ro otion has *een created, it is sa)ed as a te &late, The &ro otion te &lates that can ser)e as the *asis o( an account promotion, 2ther "ey account anagers can use te &lates o( existing &ro otions when esta*lishing &ro otions at their accounts,

Account Promotions
5ased on a cor&orate &ro otion or a discretionary &ro otion, A plan is a grou& o( account &ro otions that de&icts the aggregate results o( account &ro otions, such as s&ending and )olu e,

;ho Manages TPM?

The <ational Sales #irector leads the sales (orce, and gi)es direction in ter s o( erchandising &riorities, &roduct assort ent, re)enue targets, &roducts (ocus .new and esta*lished/, *udget and thresholds (or "ey etrics such as &ro otion 62',

National Sales Director

The "ey account anager is res&onsi*le (or account and &ro otion &lanning, category anage ent, new &roduct introductions,

The Controller is res&onsi*le (or the accurate recording o( &ro otional results, custo er &ay ents, re*ates and the trac"ing o( (ree &roduct, Custo er P=9, Product P=9 Controller

Key Account Manager

The de and &lanner ca&tures custo er orders, and trac"s their &rogress The 5rand Manager is res&onsi*le (or &ro)iding strategic direction (or *rand growth and anaging the P=9, She de)elo&s the consu er &lan and &ro)ides guidelines on *rand &riorities and &rice &oints to the sales (orce, Brand Manager

Demand Planner

TPM Su

ary

Trade Pro otion Manage ent is the &rocess o( &lanning, *udgeting, &resenting and executing incentive programs that are esta*lished *etween a anu(acturer and a retailer to enhance the sales o( s&eci(ic &roducts, 0 Planning: 'n order to eet account o*1ecti)es, it is i &erati)e to ha)e a solid &ro otion &lan, This &lan should *e *ased on &ast history, custo er history, *rand4&roduct history, cor&orate o*1ecti)es, and good 1udg ent, Currently, many companies ha e e!tremely in"ormal or non#e!istent processes$ 0 E ecuting: A &ri ary stu *ling *loc" in the execution o( the account &lan is accurate and ti ely &ay ent to retailers (or &ro otion &er(or ance, %""ecti e processes and tools are imperati e to a oid costly deduction e!penses and o erspending due to poor accounting$ 0 !nal"#ing: Studies sho& that 'et&een ()#*)+ o" promotions are not pro"ita'le$ Many co &anies are not &er(or ing any &ost &ro otion analysis to deter ine which &ro otions are &ro(ita*le, ;ithout this analysis, the sa e un&ro(ita*le &ro otions are run o)er and o)er again,

The >oal! Signi(icant increases in e((ecti)eness cou&led with reductions in trade &ro otion s&ending,

Trade Pro otion Current Mar"et Place

The Trade Pro otion 8n)iron ent

Most CP> co &anies ha)e to &lan and anage Trade Pro otions in an en)iron ent where they ha)e little control, &oor )isi*ility, li ited data, and (ew analytical tools, resulting in trade s&ending ine((ecti)eness and ine((iciencies,
Po$erful% demanding customers )eal'conscious consumers
C0NS1M%RS

R%,A-.%RS

/ig& dissatisfaction $it& promotion efficienc" ,ot satisfied $it& s&are of trade spend E ecution at variance from plan (ocus on temporar" price reductions

Pressure to deliver volume-... targets

)eclining consumer pass' t&roug& Multiple% disparate data sources Simplistic% &ome' gro$n anal"tical tools
-N/RAS,R1C,1R%

SA.%S/0RC%

Misalignment of performance o*+ectives

Pro*le s 8x&erienced in TPM

Many co &anies ex&erience that an increasing s&end in trade &ro otion is not reaching intended targets,

Manu(acturers rating TPM ine((iciency a )ery i &ortant issue 6etailers rating TPM ine((iciency an i &ortant issue EAD D o( s&end *eing &assed to consu ers .&er (r/ D o( anu(acturers e((ecti)e at e)aluating incre ental sales during TPM D o( anu(acturers e((ecti)e at e)aluating incre ental &ro(it during TPM
d n d D o( anu(acturers where 62' is the 2n *iggest TPM related &ro*le

C5D

52D

EAD 40D

40D

? Sa &le si+e o( CP>

anu(acturers and retailers @ A00B

Pro*le s 8x&erienced in TPM .continued/

CPG Mar0eting Spend vs1 Pass T&roug&
? D o( Total Mar"eting S&endB 2&ere T&e Trade )ollars End 3p

Ad)ertising 456 Consu er Pro otions 786 Account- 796 S&eci(ic Mar"eting 876 Trade Pro otions

6etailer 5otto 456 9ine 496 6etailer 8x&ense Consu er Pass 8:6 Through

7Consu er >oods: said o( the challenge o( TPM is Controlling the Multi-5illion #ollar Fe orrhage, 't$s accounta*le (or an annual GHC 5illion loss to the consu er goods industryI AC <ielsen once re&orted, ?TPMB is CP>$s JH &ro*le KG4L0 5illion is s&ent annually on it and A44 o( (air-&oor )alueI anu(acturers (eel they are recei)ing

The Changing Mar"et

6etail co &etition is intensi(ying, consolidation is accelerating, leaders are e erging and the &ressure on su&&liers is increasing,

T&e near future $ill see t&e emergence of ;'8 dominant glo*al retailers $it& room for nic&e pla"ers1

T&e primar" issue% &o$ever% is t&at $e are some $a" off from seeing glo*al retailers manage t&e *usiness in a trul" glo*al fas&ion1

r esire fo d " * )riven l Mass a c i t i r C re et S&a 0 r a M and

#yna ics o( the Trade 6elationshi&

Although retail co &etition is intensi(ying and consolidation is accelerating, the (unda entals o( the trade relationshi& re ain the sa e,

2&at displa" location 2&at is m" 2as compliance produces t&e /o$ often s&ould I ROI< ac&ieved< strongest results< promote Product 23 Manufacture Retail r Bu"er S&ould or &o$ do I e tend a promotion 2&at is t&e )id m" trade across regions of 2&at $as t&e )id m" Product 2 residual monies get m" c&ain< impact of promotion drive impact on m" passed along to Product 2 on ot&er mar0et ot&er *rands< t&e consumer< Category 4< *as0et sales<

The trade relationshi& is *eco ing in(or ation and insight hungry

#yna ics o( the Consu er 6elationshi&

Si ilarly, the (unda entals o( the consu er relationshi& with *oth the and the retailer ha)e re ained the sa e as in the &ast,
2&" do I $ant a relations&ip $it& a retailer or manufacturer< 2&at is t&e *est mi of consumer and trade spending< 2&at is m" ROI<

anu(acturer

Consumer
2&o are m" &ig&est value s&oppers< /o$ can t&e manufacturers= Retail consumer insig&ts *e used Bu"er to improve categor" management< /o$ do $e position /o$ do $e increase our Private >a*el products< s&opper lo"alt" and s&opper rings<

Manufacturer

2&at insig&ts can $e gain from retailer customer lo"alt" programs<

2&o are m" &ig&est value consumers<

A challenge (or the consu er relationshi& is *etter integration o( and insight into the e)er increasing a ount o( consu er data a)aila*le

The 5usiness Pro*le

Trade Pro otion Manage ent is co &lex and reMuires anage ent o(!
0 Analytical odeling to deter ine what to s&end each ti e 0 3unding )ehicles and trac"ing ulti&le N*uc"ets$ o( oney (or each custo er 0 Pay ent o&tions to axi i+e )alue to their custo ers - deals 0 Co &lex Pricing echanis s, which will lead to #eductions i( they are wrong 0 6e&orting solutions to analy+e &er(or ance results and share with custo ers 0 An analytical re)iew &rocess to con(ir that &lanned results were achie)ed

Pro*le s and ine((iciencies in)aria*ly result (ro issue

anaging this co &lex

0 #eductions .which are custo ers short &ay ents (or (ailing to eet &ro otion o*ligations/ a)erage L-OD o( net sales (or the ty&ical CP> anu(acturer 0 3ield sales re&resentati)es ty&ically s&end o)er E0D o( their ti e anaging deductions and other ad inistrati)e issuesKwhich is ore ti e than they s&end selling to custo ers 0 Analytical re)iew is di((icult and reMuires a large )olu e o( data (or accuracy

#eloitte$s %iew

Trade and Consu er Manage ent 2)er)iew

2( these "ey acti)ities, #eloitte *elie)es there are (our u *rella challenges in Trade = Consu er Manage ent that are o( highest &riority to CP> anu(acturers,
Fow can we (ocus ar"eting in)est ents on our highest )alue consu ers? Fow should we le)erage in(or ation (ro retailer loyalty &rogra s to 1ointly ar"et to the consu er? ;hich ty&e and le)el o( account are the ost &ro(ita*le and how should we &rioriti+e custo er in)est ents? Fow do we incor&orate lessons learned (ro &ast acti)ities into (uture &lanning?

!ccount Planning

)irect to Consumer Mar0eting

Fow should we colla*orate with the retailer to i &ro)e de and (orecasts? ;hat su&&ly chain &roducti)ity gains can *e achie)ed *y lin"ing su&&ly (orecasting with C6M in(or ation?

,rade 5 Consumer Solutions

Colla*oration ? E c&anges

!ccount Management

;hat ty&es o( &ro otional e)ents and tactics are ost e((ecti)e? Fow can we get )isi*ility to the Muality o( in-store execution?

TPM 5ene(its
TPM, i( i &le ented correctly and e((iciently, has a nu *er o( *ene(its that can *e (elt across an entire organi+ation,
(ull" understanding t&e costs of promotions to (acilitate running s arter &ro otions in the (uture .what wor"s and what doesn$t/ *y (ocusing &ro otion dollars on what will increase &ro(its, rather than 1ust increasing gross re)enues, !*ilit" to forecast $it& greater accurac" o)er a longer ti e hori+on to a lower le)el o( detail than a anual a&&roach would yield, 3orecasting a((ects! Pro otions <ew Product #e)elo& ent Seasonal .P as 4 8aster 4 Pu*lic Folidays/ Contri*ute to an accelerated% more precise *udget creation process !*ilit" to compare promotion effectiveness during planned and unplanned scenarios .e,g, weather, holiday season, stoc" ar"et (luctuations, etc,/ !ssist in long range *usiness and capital planning @uic0% accurate% and appropriate application of mar0et canni*ali#ationQ and the associated &hasing-in and &hasing-out

Mar"et canni*ali+ation is the i &act a new &roduct has on the sales &er(or ance o( a co &anyRs existing, related &roducts, 8PAMP98! Coca ColaTM &uts out a new &roduct called Co"e2TM , Mar"et canni*ali+ation is where custo ers *uy Co"e2 instead o( regular Co"e,

Sey Manage ent #ri)ers

Thus (ar, we ha)e o*ser)ed se)eral the es that dri)e *oth the trade consu er relationshi& related acti)ities within the industry, 6isi'ility
Trade &er(or ance Custo er seg entation = &ro(ita*ility Consu er trends and &re(erences

anage ent and

-ntegration
Multi-channel touch&oints 3ront o((ice to *ac" o((ice

Colla'oration
Colla*orati)e Planning 3orecasting and

6e&lenish ent Trade &lanning and su&&ly chain integration 7lo'al Account Management Coordinated anage ent and &lanning with an increasingly glo*al trade Consumer -ntimacy Consu er engage ent Cross *rand 7li(estyle: solution

Fow #o ;e Ma"e 't Fa&&en?

To i &ro)e current trade s&ending ine((ecti)eness and ine((iciencies, CP> anu(acturers need to ado&t a co &rehensi)e odel that incor&orates trade &rogra si &li(ication, custo er and internal colla*oration, and the use o( technology as a "ey ena*ler,

Single )ata Repositor" Controls and Safeguards Modeling Capa*ilities

,PM
(le i*le and Seamless 2or0flo$ Customi#a*le Reporting

Ty&ical TPM Technical Strategies

To address these C6M ail ents, ost CP> co &anies are aligning their *usiness solutions around three (unda ental technology strategies,
Strong Integration
ERP'*ased Solution Ae1g1% S!PB C&aracteristics Aggressi)ely in)ests in CP> o((ering to co &lete &ro&osition, !dvantages

Breadt& of Offering
Enterprise (ront'office Suite Ae1g1% Sie*elB

)ept& of (unctionalit"
Point Solution for Trade Promotions Ae1g1% C!S% MEI% CistaB

Pro)ide (or co &lete C6M )ision, #ee&est su&&ort CP>, yet su&&orts an e)olutionary &ath to So e co &anies using as a shortrollout, ter , 7throw-away: solution,

Single data re&ository (or 5road and dee& (unctionality, Can dri)e near ter results in aster data and *usiness 3ewer &oints o( integration and narrowly (ocused areas, transactions 0 clean #esigned with CP> sales &erson in synchroni+ation then 86P *ased integration solutions, ind, 9e)erages &rior in)est ent Su&&orts ulti&le odes4 channels, 9ower so(tware license in)est ent, and s"ills, CP> (unctionality needs to May not *e 7*est in class: in any *e co &leted, area, 6e ote, untethered usage 9icense in)est ent can *e is new and relati)ely su*stantial, untested in CP>, 6eMuires ulti&le solutions to co &lete C6M &icture, di((icult to u&grade )ersions, Multi&le data re&ositories ust *e synchroni+ed, 9ong-ter )endor )ia*ility has to *e e)aluated, So e &roducts ha)e standard 86P integration tools, others reMuire su*stantial e((ort,

C&allenges

Impact on Bac0'office

'ntegration with *ac"-o((ice Standard connecti)ity is a)aila*le should *e easier gi)en one *ut integration will ha)e to *e )endor &ro)iding the suite achie)ed with at least two so(tware o( technology, &roducts,

T=A

A&&endix A! TPM Process #etails

The TPM Process

Trade Pro otion Manage ent .TPM/ is de(ined as the &rocess o( &lanning, *udgeting, &resenting and executing incenti)e &rogra s which occur *etween the anu(acturer and the retailer to enhance sales o( s&eci(ic &roducts, To &ro)ide a *etter understanding, we ha)e outlined a ty&ical trade &ro otions cycle!

See See A&&endix A&&endix (or (or Process Process Ste& #etails

Monitor Revise Plan !llocate Budget !ccounts Create Plan Sell'in Plan E ecute Plan Evaluate Effectiveness

Allocate 5udget

The Trade Pro otions &rocess *egins with a deter ination o( the (unds that will *e de)oted to )arious accounts, This ste& draws on se)eral "ey in&uts!
0 0 0 historical sales data sales Muotas *y account4*rand the &ro otion strategy (or the &roduct4*rand

A clear understanding o( the ty&es o( &ro otional dollars and acti)ities a)aila*le, as well as how the &ro otional dollars should *e s&ent (ro a strategic &ers&ecti)e, is needed to e((ecti)ely allocate &ro otion dollars, This ste& &roduces detailed s&ending *udgets (or each account *y &roduct or &roduct grou&ing,
0 3or exa &le, an account anager (or the PUV >rocery ight ha)e a Muota o( G250,000 (or liMuid soa&s, To reach that Muota, the sales re&resentati)e ight *e gi)en GA2,500 o( &ro otional s&ending allocated (or liMuid soa&s,

Monitor Revise Plan !llocate Budget !ccounts Create Plan Sell'in Plan E ecute Plan Evaluate Effectiveness

Creating a Pro otion Plan

This ste& (ocuses on creating a (or al trade &ro otions &lan, *ecause a (or al &lan hel&s the co &any loo" *eyond the short ter to consider trade &ro otions in a holistic, strategic light, 't is the largest co &onent o( the Trade Pro otions Manage ent &rocess and the true cornerstone to success(ul trade &ro otion acti)ities, The challenge is to understand the thought &rocesses that the *est re&s are using to create &ro(ita*le &ro otion &lans and to translate that into reusa*le &rocess ste&s, Creating a (or al &ro otion &lan hel&s anu(acturers to ta"e this longer ter )iew - ty&ically &ro otions ha)e *een seen *y anu(acturers as short ter initiati)es to eet sales &ro1ections (or a gi)en &eriod, 'nstead, trade &ro otions need to *e considered ore holistically to eet long ter account o*1ecti)es, #e)elo&ing the trade &ro otion &lan *y account reMuires a strong understanding o( &ast sales and &ro otions and o(ten si &ly a 7gut (eel: (or (uture e)ents, >i)en the *readth o( "nowledge reMuired to de)elo& the &lan, this &rocess ste& should not *e solely co &leted *y either ar"eting or sales,

Monitor Revise Plan !llocate Budget !ccounts Create Plan Sell'in Plan E ecute Plan Evaluate Effectiveness

Creating a Pro otion Plan - continued

Ty&ically ar"eting will &ro)ide initial strategic direction, sales re&resentati)es will use that direction as well as their extensi)e account "nowledge to de)elo& the detailed &lan *y account, and &ro otion s&ecialists as well as sales anage ent will re)iew and a&&ro)e the &lan, The creation o( a &lan draws on a wide range o( in&uts, including historical data a*out sales, &ro otions and *udgetsW *est &ractices in use at other co &aniesW the co &anyRs ar"eting &lanW and an understanding o( the custo erRs strategies, goals, o*1ecti)es, and needs in ter s o( &roducts and ser)ices, The e((ort should in)ol)e *oth the ar"eting and sales organi+ations, with ar"eting &ro)iding the initial strategic direction, and sales &ro(essionals &ro)iding s&eci(ic account "nowledge, The &ro otion &lan docu ents what the anu(acturer will do (or the retailer in exchange (or what the retailer will do (or the anu(acturer, ;hen co &lete, the &ro otion &lan will list the details o( e)ents that are to ta"e &lace with each account, such as!
0 0 0 0 0 0 8)ent start and end dates, as well as order and shi& ent dates (or the &ro otion Products included in the e)ent 8x&ected *ase and incre ental sales (or each &roduct .li(t/ 8)ent tactics .end-aisle dis&lay, te &orary &rice reduction, ad (eature, etc,/ 8)ent costs .&er case shi&&ed to retailer, &er case sold *y retailer, lu & su s/ 8x&ected &ro(ita*ility (or the e)ent

Monitor Revise Plan !llocate Budget !ccounts Create Plan Sell'in Plan E ecute Plan Evaluate Effectiveness

Sell-in Pro otional Plan

'n this ste&, the anu(acturer &uts its &ortion o( the &ro otion &lan into action, and onitors the retailerRs acti)ities, "ee&ing trac" o( shi& ents, co &liance and consu &tion, As the &ro otion &roceeds, the &rocess is anaged to ensure!
0 0 0 A completed e ent8proo" o" per"ormance: #id the retailer &er(or as &lanned? #id ad)ertise ents actually run? ;ere dis&lays set u&? 8tc, Customer payment # *ased on the s&ending agreed to in the &ro otion &lan Closed deduction - any deductions and ad1ust ents are reconciled against the &ro otion &lan and &roo( o( &er(or ance

Monitor Revise Plan !llocate Budget !ccounts Create Plan Sell'in Plan E ecute Plan Evaluate Effectiveness

Monitor Plan

;hen a &ro otion is running, sales and ar"eting tea s &ay close attention to its i &act on sales and ar"et share so that they can a"e ti ely ad1ust ent decisions using a TPM solution, A anu(acturer ust also onitor &ro otions (or success, To do this, it reMuires shi& ent data (ro its own 86P syste or, (or e)en ore sensiti)e onitoring, syndicated data (ro the &oint-o(-sale syste s o( retailers or (ro an agency li"e AC <ielsen, ;here a &ro otional e)ent li"e a 7*ac"-to-school: s&ecial is tied to in-store acti)ity, a anu(acturer$s sales (orce ight also collect co &liance data in the (ield, As the &ro otion &lan is *eing executed, nu *er o( areas, including!
0 0 0 0 0

anagers trac" actual &er(or ance in a

shi& ents re)enues s&ending &ro(ita*ility retailer co &liance with &ro otion &ara eters

This actual data is diligently co &ared with &lanned &er(or ance, The goal is to aintain a clear &icture o( how well the &ro otion is doing, and to re)ise the &lan to eet any new custo er or *usiness de ands, 3or exa &le, the anu(acturer ay want to ex&edite additional shi& ents to su&&ort strong early &ro otion results, or co it additional (unds i( early results are wea",

Monitor Revise Plan !llocate Budget !ccounts Create Plan Sell'in Plan E ecute Plan Evaluate Effectiveness

8xecute Plan

0 0 0 0 (inali+ing ads where a&&ro&riate &er(or ing retail acti)ities as needed gi)ing a&&ro&riate &ay ents and discounts onitoring retail acti)ities to ensure that their custo ers are acting as agreed,

#uring this ste&, the anu(acturer needs to actually execute their side o( the &lan *ased on &re)ious co it ents, This will entail!

Monitor Revise Plan !llocate Budget !ccounts Create Plan Sell'in Plan E ecute Plan Evaluate Effectiveness

8)aluate e((ecti)eness

This ste& in)ol)es the re)iew and analysis o( the &ro otion, and &roduces the critical historical in(or ation that is used in the &lanning acti)ities at the *eginning o( the TPM &rocess - identi(ying what wor"s and what doesnRt and &ro)iding (eed*ac" that can dri)e i &ro)e ents in trade &ro otions o)erall, The analysis and e)aluation should *e &er(or ed *y &ro otion or custo erar"eting s&ecialists in the sales organi+ation, in con1unction with sales re&resentati)es, to ensure that &er(or ance is clearly and accurately understood, The analysis should include *oth Muantitati)e and Mualitati)e data a*out (actors that a((ected the &lan, and *e incor&orated into a (or al scorecard that can *e used to consistently co &are the &er(or ance o( )arious &ro otions, Post analysis is a critical co &onent o( trade &ro otion &lanning &rocess to ensure that the ost e((ecti)e &ro otions are utili+ed,
0 The easiest way to increase the &ro(ita*ility o( trade &ro otions s&ending is to shi(t (unds (ro what doesn$t wor" to what does wor",

#on$t #elete 0 8dita*le %ersion,

CP7 -ndustry Distri'ution Net&or9

High
s er c n ue
es or t lS

Colla*oration Comple it"

Suppliers

Low Low

Ca ll

Ce nt er

e rc Fo ail s le m /e Sa eb W e ad r T

Distributors & Brokers

Ca ll

Ce nt er

W eb /e m ai

In

c en u l f

er

s le Sa

rc Fo

ns io t o om r P

Retailers / Wholesalers

er t en C ll Ca eb W

Ca ll Ce nt er

e as ers h rc enc u P flu In s

Consumers

fl In

i ta e R

W eb

g lo ta a C

Colla*oration Calue

High

#on$t #elete 0 8dita*le %ersion,

:))+ .eading# %dge Best Practices Required to do Business
2or0ing Capital Reduction SG3 Rationali#ation

Brand Strateg" CPC e'Procurement Outsourcing eCRM

!doption Rate

!dvertising Effectiveness Sales (orce Redesign

,rade Promotions Management

S!P Beverage Solutions

CMI Amulti'partnerB Multi'tier CP(R C&annel Strateg"

Mergers ? !cFuisitions

Calue Based Management Multi'tier )esign colla*oration

)+

%mergent
Strategic !dvantage Custom D/ome'Gro$nE !pplications

Mature
Cost Improvement- - Competitive Parit" DPac0agedE !pplications

#on$t #elete 0 8dita*le %ersion,

(inancial To succeed (inancially, how should we a&&ear to our sta"eholders .6egulators, Custo ers, etc,/?

Internal Process To satis(y our sta"eholders and custo ers, what *usiness &rocesses ust we excel at?

Customer Fow do existing and &otential custo ers )iew us? Fow do we continue to &ro)ide )alue?

>earning ? Gro$t& To achie)e our )ision, how will we sustain our a*ility to change and i &ro)e?

#on$t #elete 0 8dita*le %ersion,

Sales @uota *" !ccount Overall Spending Budgets /istorical Sales )ata /istorical Consumption )ata Past Promotions Results Mar0eting Plan Promotional Strateg" !ccount Plan /istorical !ccount !ctivit" Customer Promotion Calendar

Corporate Commitment

Trade Mar0eting Organi#ation

Internal-E ternal Colla*oration

Monitor Revise Plan !llocate Budget !ccounts Create Plan Sell'in Plan E ecute Plan Evaluate Effectiveness

(inal Promotion Plan

Promotion Results

Promotion Management S"stem

ERP Integration

Internet2ireless ena*led
See See A&&endix A&&endix (or (or Process Process Ste& #etails

The #eloitte color &alette