Using AI powered algorithms, Simplex Intelligence is able to help brands and retailers improve sales performance and marketing effectiveness by eliminating activities that do not drive sales lift. See how Simplex Intelligence's approach aids brands in consumable goods, food and beverage, alcoholic beverage, supplements and nutrition, beauty and cosmetics, cannabis and fast fashion perform at their best.

1. DRIVING OPTIMAL CPG
PROMOTION RETURNS

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MARKETING IS ABOUT UNDERSTANDING MARKETS
Effective marketing is about optimizing towards some targeted activity and achieving a predictable outcome.
Understanding and being able to capitalize on the structure and dynamics of the marketplace, not the individual SKU,
is what allows for high levels of promotional efficiency and sales conversion to occur.
Paid and organic promotion, whether on or offline, is a critical component of marketing and any brand’s success.
It is also one of the least efficient marketing disciplines.
Knowing which channels will yield the greatest sales impact at the lowest possible cost requires being able to
accurately map and adapt to and take advantage of changes in:
● The competitive noise within each marketing channel
● The product’s promotional efficiency within each channel
● The product’s key performance and value characteristics based on its profile vs. the network of other products
● The impact of market basket and price boundary constraints placed on the product

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USING ADVANCED ANALYTICS TO DRIVE RESULTS
1. Lowering friction in new product adoption
2. Maximizing category position and stability at the lowest possible cost
3. Maximizing the utility of the promotional spend across the highest value channels
A number of factors are taken into account including:
● Customer population consumption patterns (geo-spatial, geo-temporal)
● Market basket structure size and boundaries
● Marketplace network/product performance within the network
● Channel noise/friction
● Product characteristic fingerprint/profiles
● Pricing boundaries
● Packaging alternatives
● Availability

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PROMOTION IS JET FUEL
Effective Product Introduction
Effective product promotion is critical to the success of any
product launch. Knowing which channels and markets will deliver
the highest rate of return and generate the highest impact the
fastest is crucial to our performing competition.
Create Product Stability
Gaining or losing market share is a function of availability, visibility
and demand. Each of these categories can be amplified with very
specific promotional activities to ensure a product has the highest
position and stability (market share) at the lowest possible cost.
Eliminate Long Tail Membership
When products get stuck in the long-tail, they wither and die.
Changing promotional positioning can breathe new life into a
SKU’s performance.
Category
Leaders
Fast Followers
Middle Majority
Laggards/Long Tail
Lift
vs.
Drift

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KNOWING HOW TO INVEST IS EVERYTHING
Average effective CPC investment
Return on promotion investment
Break even on promotion investment
Promoted items in market basket driving conversion
Un-promoted items in market basket benefitting from conversion
Basket vs. component value
Categories yielding no promotional lift
Categories yielding sales lift

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IF YOU KNOW MORE, YOU WILL SELL MORE
ROAS
Improvement
50% 10%
Revenue Growth
5%
Faster Turns
6

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Phone
info@simplexintelligence.ai
Email
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