Promotions can be the most effective lever any company can use to drive customer engagement, purchase, and loyalty, especially one who used to shop at a competitor. Promotions are even more crucial in the retail space, where they can drive the majority of the revenue. Yet, retailers constantly struggle to understand which promotions are effective, instead defaulting to a rinse and repeat approach to “lock-in” similar sales from the prior year. This leads to a downward spiral where customers plan their behaviors around waiting for potentially ineffective promotions.
However, there is a way to break the cycle. In part five of our Consumer and retail webinar series, Shikha Jain, Senior Director out of our Boston office, will share our point of view to what a retail promotional excellence foundation means. The webinar will address topics like:
- How to score historical performance to inform future promotional planning to stop ineffective promotions and strengthen promising ones?
- How to leverage product and category roles to define promotions across channels and vehicles that maximize incrementality?
- What are the key promotional principles and guidelines when it comes to designing and execution different types of promotions?
Promotions, when used effectively, can drive traffic, improve price image, and align purchasing behavior with a retailer’s strategic objectives. When ineffective, promotions can negatively impact all three fronts. Having the right approach, process, and overall governance can lead to sustainable growth.