Insights and Collaboration

A CPG manufacturer avoided being delisted at the test stores of a key retailer partner, a distribution retention worth over $10 million annually.

ISSUE

A manufacturer was removed from select test stores at a national retailer and was facing the risk of being completely delisted. The client was seeking ways to demonstrate its value to the retailer within the category.

The client needed to understand why its sales appeared to be weakening at the test stores compared to the control stores and demonstrate its value to the retailer in a data-driven, collaborative format. Getting this data would require close collaboration with the retailer and visibility into their hierarchies and test and control stores.

INSIGHTS

Using IRI’s shopper insights and retailer collaboration tools, the client was able to:

  • Quickly create custom test and control stores groups using store-level data
  • Develop reports to measure changes in class sales in the pre- and post-test periods versus year-ago periods
  • Integrate dashboards to monitor trends and highlight emerging ones

The client was able to quickly identify sales velocity differences between the test stores and control stores. Adjusting for base performance, the client demonstrated that sales were weaker in the test stores than in the control stores that had the client’s product. Through continued monitoring, the category team was able to continuously report results and quickly summarize the overall impact of the test.

IMPACT

With IRI’s insights and retailer collaboration tool, the client was able to quickly monitor, assess and report the impact of the test on the retailer’s sales. Armed with insights that demonstrated that the absence of the client’s brand resulted in weaker sales for the retailer, the client was able to maintain its full distribution, which was worth over $10 million annually.

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