10-30% of revenue is spent on trade promotions, second largest item on the P&L
Source: AMR & TPMA
Rob Bois, July 9, 2010
Earlier in the year, I got up on my soap box about the need to innovate in a down economy, which can seem a bit counter intuitive. But I saw far too many CPG firms simply buying down price as the primary means to driving demand in a constricted consumer economy. Store brands were gaining share left and right, seemingly commoditizing categories almost across the board. But in reality, the common practice of buying down price was merely a Band-Aid on the problem, but not a solution unto itself. Read More >