New PromoTool: ML/AI, Cannibalization, Predictions
July 15, 2022
State-of-the-art promo execution means a direct impact on ROI growth both short-term and long-term. А great promo strategy and implementation can become a real game-changer for any FMCG category.
Using cutting-edge technology, powered by ML and predictive analytics, for promo activities enables the full promo potential that impacts sales growth, cost reduction, and the acceleration of processes. The latest release of PromoTool allows you to manage promotions in a real-time mode, intelligently automates and speeds up business processes, and brings transparency to decision-making.
Updated PromoTool got improved in 6 critical dimensions mentioned below.
1. Automated calculation of baseline based on ML/AI
Automated and accurate calculation of baselines contributes to quick and efficient promotional activities planning and analysis of sales uplifts. Powered by ML and AI, this feature improves the accuracy of predictions based on multiple factors collected from various sources, such as cannibalization, out-of-stock, etc.
Advantages of automated calculation of baseline in the latest version of PromoTool:
- Selection of the best model for prediction
- Taking into account specifics of the industry, business processes, the effect of cannibalization
- Applying complex algorithms to improve forecast accuracy
2. Predictions of promotion uplift
Predictions provide you with steps for executing your strategy in the most productive way. The prediction takes the influence of the following factors:
- Promotion dates and duration of promotions
- Promo Mechanics
- Discount volume (TPR)
- Price
- Additional promo support
- Number of products in the promo
- Number of promotions by product group per quarter
- Customer, channel type
3. Reduced Time with Mass Promo Editing
We implemented a new mechanism that allows users to edit up to 20 promotions at once. For that, the promotions should be created as a single national promo (functionality “Promo focuses”).
Thanks to the ability to make changes to several promotions, field staff can save a considerable amount of time.
4. Relevant Promo with Product Life Duration
The latest update of PromoTool has the functionality to enter the date of completion of production or shipment of a product in the product settings. Due to automatic control of these dates, the PromoTool system will not allow the user to schedule a promotion for products (SKU) that will not be available for shipment during the planned period of the promotion.
5. Transparent Financial Reports with Flexible Budget Settings
We developed the logic of calculating the monthly budgets allocated for promotions if the promo period falls on several calendar months. Budget performance indicators are shown in the month of actual promotions and allow sales staff to create more transparent financial reports.
6. New UI & UX
We started to work on PromoTool interface update. With a new UI, users can enjoy new fonts and themes that will allow users to optimize system uptime. An accurate and intuitive design will reduce the time used for performing actions within the app.
The Latest PromoTool Update: Accurate Promos Done Fast
Accurate work with promotions is an essential part of adjusting your budget right to attract more consumers to the product and, as a result, achieve high ROI. The more efficiently sales personnel work with promo campaigns in the store, the more success the business gets from it. The latest update of PromoTool, powered by AI/ML and predictive analytics, is designed for quick and accurate promo processes that directly influence the growth of sales and revenues.