Technology Overview: Promotion Planning & Optimization

Trade promotion management (TPM) and trade promotion optimization (TPO) are the processes and technologies that consumer goods manufacturers leverage to plan, manage and execute the activities that require collaborative promotional activity from their retail partners. The management of trade promotions, that is marketing activities in cooperation with retailers, to achieve a corporate marketing and sales strategy. Trade promotions enable increases in brand capital, name recognition, market share and sales volume, as well as an improvement in the placement of new products on the market. We, SourceITSolutions, help you to implement trade management solutions that drive revenue, profit and spending.

Trade Promotion Management (TPM) is often used to refer to multiple disciplines that span the planning, management and execution phases of collaborative Promotional activity that Consumer Goods (CG) companies perform with their retail partners.

A MacBook with lines of code on its screen on a busy desk
A MacBook with lines of code on its screen on a busy desk

Why use TPM?

Companies use this approach as a tactic to boost revenue, increase coverage and defend market share in the face of rising competition or new entrants. SAP TPM provides key capabilities to plan, create, optimize and execute complex trade promotions and all the relevant integral components shown around support with vital yet indispensable functions in order to create a sustainable process flow. Recently, TPM terminology has been added to Trade Promotion Optimization and Trade Promotion Execution.