Trade Marketing: Year in and year out, some things stay the same in the strategic planning of many companies. Among them are the increase in sales, the improvement in the relationship with customers and the strengthening of the brand in the market.
To assist in these objectives, it is possible to count on several tools, methodologies and processes, including trade marketing.
Have you heard of this concept? Want to find out how to use it to leverage sales in your store? So, read on and find out more about it right now!
What Is Trade Marketing?
Trade marketing consists of a stream focused on increasing demand with business partners (such as distributors) — instead of directing efforts exclusively to consumers (although not ignoring the importance of relationships with the public).
This means that, in addition to strengthening the distribution chain, trade marketing is also dedicated to achieving efficient brand management, so the organization has constant demand in the market.
In this way, the idea behind the strategy is — after the customer relationship is established — to ensure that the products reach the buyers.
Thus, it is possible to improve the public’s shopping experience, ensuring they always have access to the products they want at the most appropriate time.
How Does This Work In Practice?
It is necessary to establish good partnerships and work with other companies, however, strengthening certain brands (to the detriment of others). The idea is to ensure that it has good company exposure to gain customer preference.
To do so, the brand must offer benefits that translate into a guarantee for the entrepreneur that the best alternative is to continue promoting brand X instead of Y.
In summary, trade marketing aims to influence companies and create product demand in distribution channels and among consumers.
After All, What Are The Best Practices To Get Good Results?
For trade marketing to offer the benefits it proposes, investing in some good practices is necessary. Let’s get to know them with the tips below.
Develop A Strategic Plan
Before making any decision — which applies to all aspects of a company — it is necessary to invest in planning. It is through it that actions are guided to achieve the objectives.
In this sense, the first step is to assess how the positioning can be improved in the sales channels and the most appropriate activities based on the goals (which may involve strengthening the brand and increasing the average ticket).
Invest In Data Analysis
Instead of evaluating the data available only at points of sale, analyzing other indicators linked to other processes is recommended. Between them:
- the degree of stock movement ;
- the rupture rate;
- price positioning in the market (whether it is above or below competitors in the region);
- the degree of effectiveness of actions and promotions.
Based on the information collected, it is time to study the process flows, correct existing failures and anticipate possible problems that may occur over time.
Understand Customers Better
Knowing the customer and their consumption habits is always a tip that appears when it comes to getting good results in sales. Here, within the context of trade marketing, this type of action helps to understand the primary motivators for purchasing decisions (such as why to take brand X instead of brand Y).
All this leads to important insights for creating promotions and campaigns that provide good results for the business.
Follow The Results Of Promotions
Launching new campaigns is only possible if the results they provide for the company are monitored. It is through the creation of metrics and performance indicators that it is possible to identify the effectiveness of promotions and which flaws in the processes prevent the results from being even better.
Be Sure To Monitor Your Competitors
Competitor monitoring also plays a vital role in the outcome of your campaigns. In addition to keeping up with what is happening in the market, this allows bench marking to be carried out — which, in short, consists of identifying good practices that lead to more satisfactory results and implementing these ideas in the company.
Invest In Training Promoters
Sales promoters can play a more strategic role, going beyond replacing shelves. By being trained, they can act as sales consultants and contribute to further promoting the products and the brand.
This type of work can (and should) be carried out with business partners — especially if they promote the products in your establishment.
Invest In Consumer Interaction
A very effective strategy consists of creating campaigns that allow customer interaction. This involves:
- the use of totems;
- distribution of free samples;
- conducting tastings;
- creating multimedia presentations.
This type of action helps to attract a larger audience interested in the products, their characteristics and the benefits they offer.