The document discusses achieving promotional objectives with analytics. It outlines challenges retailers face with disjointed promotional planning and siloed departments. An optimized solution is needed to streamline planning, guide optimal marketing vehicle mixes, and continuously analyze effectiveness to increase ROI. The right technology selection can help overcome challenges by facilitating collaboration, decision support, and continuous improvement through measurement and analytics.

1. #CCS15
Achieving
Your
Promo5onal
Objec5ves
with
Science,
Forecas5ng,
and
Analy5cs

2. Welcome
Webinar
ACendees

3. #CCS15
Follow
this
Webinar
on
TwiCer!
#CCS15
@ConnectConsumer
@RTouchPoints
@REVIONICS

4. #CCS15
About
Retail
TouchPoints
ü Launched in 2007
ü Over 30,000 subscribers
ü To provide executives with
relevant, insightful content across
a variety of digital medium

5. #CCS15
Panelists
Debbie Hauss
Editor-In-Chief
Retail TouchPoints
Aditya Rastogi
Senior Manager Of Global Services
Revionics
Diana Mitten
Product Director
Revionics

6. #CCS15
Organiza5onal
Silos
Are
Coming
Down

7. #CCS15
The
Need
For
Enterprise-­‐Wide
Visibility
61% of retailers are banking on both enterprise-­‐wide customer
and inventory visibility to improve overall business processes.
And while 59% believe they should have a single customer
interacDon plaEorm that crosses channels, as many as 27% had
no plans to implement this soluDon within the next year.
-­‐Retail Systems Research, August 2014

8. #CCS15
Improving
Analy5cs
To
Improve
Decision-­‐Making
“What's different now is that retailers are tooling up
to have visibility of prices their compeDtors are
charging, and with beNer analyDcs they're geOng
smarter about which prices to match, go below or
stay above.”
-­‐Greg Girard, IDC Retail Insights

9. #CCS15
Analy5cs
At
Work
What
types
of
analy5cs
do
you
currently
use?

10. #CCS15
Importance
Of
Promo5onal
Effec5veness
The majority (74%) of online retailers sDll
promote irrelevant items to shoppers via email.
-­‐2014 Report: Customer RelaBonships: The DaBng Game

11. Confidential ©2015 Revionics, Inc.
Achieving Your Promotional
Objectives with Science,
Forecasting, and Analytics
Diana Mitten, Product Director
Aditya Rastogi, Senior Manager Global Science Services

12. Confidential ©2015 Revionics, Inc.
Organiza5on
Silos
Coming
Down
Increasing
Marke5ng
Spend
Promo
ROI
Increasing
Technology
Investment
New Trends are Emerging
$

13. Confidential ©2015 Revionics, Inc. 13
Challenges Facing Retailers
Disjointed
Promo5onal
Planning
Unproduc5ve
use
of
Resources
Mix
of
Vehicles,
Products
&
Offer
Investment
Visibility

14. Confidential ©2015 Revionics, Inc.
Organiza5on
Silos
Coming
Down
Increasing
Marke5ng
Spend
Promo
ROI
Increasing
Technology
Investment
Op5mized
Solu5on
Drives
Streamlined
Promo5onal
Planning
Using
Technology
to
Guide
Op5mal
Mix
of
Marke5ng
Vehicles
Analyzing
Promo5onal
Effec5veness
&
Con5nuously
Increasing
ROI
Selec5ng
the
Right
Technology
to
Meet
All
Your
Needs
$
1
2
3
4
Overcoming Those Challenges

15. Confidential ©2015 Revionics, Inc. 15
Challenge - Collaboration
Easier Said Than Done
Marke5ng
Merchants
Execu5ves
Crea5ve
Financial
Supply
Chain
• Multiple departments involved
• Individual strategies
• Disjointed workflows
• Repetitive data entry
• Unshared decision points

16. Confidential ©2015 Revionics, Inc. 16
Promotional Processes are Complex

17. Confidential ©2015 Revionics, Inc.
Process
17
People
System
Technology
Shape the Future State Process
Op5mal
Promo5on
Planning
&
Execu5on

18. Confidential ©2015 Revionics, Inc.
8-­‐13
Weeks
Before
Promo
Go
Live
Decision
Making
in
Each
Silo
• Unshared
decision
Data
• MulFple
Revisions
and
Rework
• EmoFons
and
Opinions
Data
Entry
in
Different
Systems
6-­‐8
Weeks
Before
Promo
Go
Live
CollaboraFve
PlaOorm
• Decision
support
tools
• InformaFon
sharing
• Approval
Workflows
• Science
meets
Art:
supported
by
facts
Data
IntegraFon
across
systems
18
Process Transformation Drives Results

19. Confidential ©2015 Revionics, Inc.
Op5mized
Solu5on
Drives
Streamlined
Promo5onal
Planning
Using
Technology
to
Guide
Op5mal
Mix
of
Marke5ng
Vehicles
Analyzing
Promo5onal
Effec5veness
&
Con5nuously
Increasing
ROI
Selec5ng
the
Right
Technology
to
Meet
All
Your
Needs
1
2
3
4
Key Factors to Success

20. Confidential ©2015 Revionics, Inc.
• Circular?
• End Cap?
• Email?
• Store Displays?
• Broadcasts?
• Social?
Challenge – Optimizing the
Marketing Mix

21. Confidential ©2015 Revionics, Inc.
• Advancements in
technology
• Capabilities way
beyond spreadsheets
21
Step Away From the Spreadsheet

22. Confidential ©2015 Revionics, Inc. 22
Vehicle/Tactic Lift Projections
17.2%
26.2%
15.9%
18.6%
21.0%
29.7%
17.7%
17.4%
14.1%
• Lift Insights
– Compare
options in a new
light
• Reduce email
circulation
– Twice a week to
targeted
promotions
Insights Into the Right Mix

23. Confidential ©2015 Revionics, Inc.
Right Products for Right Promotions
Promo/
TPR
Promo/
Ad
Profit
EDLP
Elas5ci5es
Reg
ElasFcity
Promo
ElasFcity
• Variations in product behavior
– Regular vs. Promo Elasticity
• Select effective promotional
strategy
– More bang for the buck
• Breakdown of items by
promotion types
Incremental
PromoFonal
Response

24. Confidential ©2015 Revionics, Inc.
Op5mized
Solu5on
Drives
Streamlined
Promo5onal
Planning
Using
Technology
to
Guide
Op5mal
Mix
of
Marke5ng
Vehicles
Analyzing
Promo5onal
Effec5veness
&
Con5nuously
Increasing
ROI
Selec5ng
the
Right
Technology
to
Meet
All
Your
Needs
1
2
3
4
Key Factors to Success

25. Confidential ©2015 Revionics, Inc.
• Am I promoting the right products?
• Am I using the right vehicles?
• Am I selecting the right offer?
• Am I negotiating optimal vendor deals?
• Am I promoting to the right audience?
25
Am I Building the Right Promotions?

26. Confidential ©2015 Revionics, Inc.
In-­‐flight
promo5on
Forecast
to
actual
Affinity
&
cannibaliza5on
Pre
&
post
Analysis
26
• Adjust to the
Market Changes
• Understand Cross-
Item Impacts
• Forecast
Accuracy
• Analyze
Promotional Lifts
Analytics for Measuring Effectiveness

27. Confidential ©2015 Revionics, Inc. 27
Forecast
vs.
Actuals
Accuracy
Metrics
• Forecast Analysis
– Understand
Cause for change
• Continuous Learning
– Rectify execution
issues
Analysis Provides Actionable Insights

28. Confidential ©2015 Revionics, Inc.
Op5mized
Solu5on
Drives
Streamlined
Promo5onal
Planning
Using
Technology
to
Guide
Op5mal
Mix
of
Marke5ng
Vehicles
Analyzing
Promo5onal
Effec5veness
&
Con5nuously
Increasing
ROI
Selec5ng
the
Right
Technology
to
Meet
All
Your
Needs
1
2
3
4
Key Factors to Success

29. Confidential ©2015 Revionics, Inc.
• Finding the right solution
– Support end-to-end planning?
– Provide transparency?
– Easy to use?
29
Will the Right Optimization Solution
Please Step Forward?

30. Confidential ©2015 Revionics, Inc. 30
What to Look For
• What to look for
– Workflow
– Flexibility
– Strategy
– Vehicle mix
– Vendor deals
– Offers

31. Confidential ©2015 Revionics, Inc. 31
Identifying Promotional Objectives
Market
Share
Profit
Traffic
Halo/Affinity

32. Confidential ©2015 Revionics, Inc.
Making Informed Decisions
Choosing Direction
• Simulation of alternatives
• Determine the direction for
optimization
• Resulted increase in
• Revenue and Profit
32

33. Confidential ©2015 Revionics, Inc. 33
Where to Start

34. Confidential ©2015 Revionics, Inc. 34
What’s the Problem & What’s the Goal
• Inefficient
PromoFon
Planning
• Manual
PracFces
• Rerunning
LY
PromoFons
• ExisFng
Value
Measurement
• Increasing:
• Market
Share
• Profit
• Traffic
• Halo/Affinity

35. Confidential ©2015 Revionics, Inc.
• 6% margin$ increase
• 3% in Revenue & Units
(Market Share)
• Factors for Success
– Collaborations across
teams
– Setting direction and
driving towards objectives
35
Benefits of an Optimized Solution
3.7%
3.1%
6.0%
Unit
Lic
Revenue
Lic
Profit
Lic

36. #CCS15
Q
&A
//
Panelists
Debbie Hauss
Editor-In-Chief
Retail TouchPoints
Aditya Rastogi
Senior Manager Of Global Services
Revionics
Diana Mitten
Product Director
Revionics

37. #CCS15
Next
Session
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