Retail measurement mirza shakeel

Retail Measurement

Agenda

What is Retail Measurement ?

Major Retail Measurement Reports

Methodology ?

1

3

2

Agenda

2 31

What Is Retail Measurement1

S

I am

in

Sales is like a puzzle…

and Important Part of This Puzzle is…

Understanding Sales Trends

Otherwise

For….

Understanding Retail Measurement

is Very Important

Three Ways to Look at Market

Share Of Voice

Share Of Mind

AD RESEARCH

CONSUMER RESEARCHShare Of Market

RETAIL MEASUREMENT

Definition – Retail Measurement

Retail Measurement is a measurement of consumer product MARKETS and MARKET TRENDS

Company Shipments (Primary Sales)

Basic measure of company performance

THENWHY

RETAIL AUDIT???

Market Evolution – Growth or Decline

Competitor Activity - Distribution, Pricing , Promotions

Because it tells us about ………

Sales

Sales AnalysisStrengts & WeaknessRegional / Area InformationOutlet Type Info

Marketing

Users of Retail Measurement ....

Market Size Brand SharesPrice PositioningSpecial Data AnalysisTrade Profiling Sku information

Improved DecisionMaking

Major Retail Measurement also called Retail Audit Service Provider

Formerly

2 31

Major Retail Measurement

Reports2

Agenda

Standard Reporting Facts

Volumetric

Facts

Distribution Facts

PriceFacts

CalculatedFacts

Volume• Consumer

Off-take in units

Value• Consumer

Off-take in Rs

Items• Consumer

Off-take in packs

Purchases• Retailer’s

Purchases

Stock

Forward Stock

• Inventory at selling area

Stock Cover Days

• Stock depth

• Inventory at retail level

Consumer

Retailer

Volumetric Facts

Handling

• Numeric - Spread

• Weighted - Efficiency

Out Of Stock

• Numeric

• Weighted

Purchase Distribution

• Numeric

• Weighted

Distribution Facts

NumericDistributi

on

WeightedDistributi

on

NumericOOS

WeightedOOS

%age of

stores

where a

product is

sold in.

%age of

stores

where a

product is

sold how

much those

stores

contribute

in a

category

sales

%age of

stores where

a product is

not out of

stock

%age of

stores

where a

product is

out of stock

how much

those stores

contribute

in a

category

sales

Distribution Facts Definitions

Two products P1 and P2. There are four shops A, B, C, and D. Category UHT Milk Shop A Controls 70 % of category sales. Shop B Controls 20 % of category sales. Shop C Controls 10 % of category sales. Shop D Controls 0 % of category sales. (Non Handler)

Product P1 is sold in A and BProduct P2 is sold in B and C.

Numeric Distribution forTotal category = 75%Product P1 = 50%Product P2 = 50%

Weighted Distribution forProduct P1 = 90% (Shop A & B)Product P2 = 30% (Shop B & C)

Distribution Facts Weighted & Numeric Distribution

Price Facts

Per item Per Unit

Pricing Questions• Is my price in line with

competition• Is pricing impacting sales• Price effect on share

PriceFacts

Volume & Value Share

• Market standing

Share in Shop

Handling

• %age of stock handled by a retailer of a certain company

Avg. Monthly

Sales/shop• Drop size

Questions Answered• Shares movement vs.

competition• Brand movement vs.

competition• Frequency of supply for

brand

Calculated Reporting

Facts

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Methodology3

Agenda

Census

Universe

Sample

Audit

Report

Retail Audit Steps

Census

Universe

Sample

Audit

Report

Retail Audit Steps

Census

CensusComplete Enumeration

CENSUS INFORMATION FORMS BASIS FOR

FURTHER STEPS:

• Identification of outlets profiles

• Universe definition

• Panel design and fine-tuning to

reflect universe

• Panel recruitment (list of outlets)

Census

Universe

Sample

Audit

Report

Retail Audit Steps

OVERALL INFORMATION!

• OVERALL NUMBER OF OUTLETS

• SIZE OF CITIES• OUTLETTYPE

Universe

Census

Universe

Sample

Audit

Report

Retail Audit Steps

1. A2. b

• Drawn to represent universe• Fixed samples are called

panels• Sample is normally 2-4% of

universe• Samples designed at 4%

standard error

Sample

Standard ErrorDifference b/w actual & estimated values

Sample

Census

Universe

Sample

Audit

Report

Retail Audit Steps

Shop visit

Audit Form Sales EstimationData Gethering

System Entry

Presentation

SALES = OPENING STOCK + PURCHASES - CLOSING STOCK

500 = 300 600 400+ -

Same Date / Monthly Basis

Data GatheredStocks, Purchases, Retail Sales Prices

1)

2) 3) 4)

5)

Steps of Retail Measurement

Retail Measurement Reports Shared mainly in

PowerPoint/Excel Formats

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