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SAP software helps retailers maximize sales by planning promotional offers and advertising to match consumer preferences. As consumers grow more sophisticated and channels and vendor contracts proliferate, automated planning of promotions and advertising campaigns becomes essential to competitive edge. SAP solutions integrate merchandising and marketing users on a common platform for managing pricing and content holistically. Benefits include a reduction of the manual workload, tighter channel and vendor management, and increased collaboration. Promotion and advertising planning raises customer loyalty and satisfaction levels, ultimately boosting sales and profitability.

Collaboration

SAP Promotion Management for Retail provides a single platform that allows business users to collaborate quickly and effectively throughout the entire promotion planning and execution lifecycle. 

This collaboration approach:

  • Reduces Errors - Will the price advertised to the shopper be rung at the POS?  Is advertising space being  maximized? Advertising the same product in multiple locations may lead to missed opportunities to maximize the promotion space and increase overall execution costs
  • Minimizes Planning Time - No more manual proofs or excel spreadsheets to be emailed and reviewed - print previews are reviewed in real time with automatic generation of requests to print new photos or request new ad copy.  Lower advertising related expenses  the time and materials associated with exchanging proofs, holding meetings, having conference calls and the      costs related to ad agency fees are dramatically reduced
  • Accelerates  Innovation - Demand driven forecast and optimization capabilities allow for the creation of new promotional  offers and deals with the security of a financial forecast that is in line with overall merchandising strategies.  By combining promotion planning with price and markdown optimization, an overall financial category view can be generated which can highlight promotional opportunities in geography or category based on varied demand patterns

Marketing & Merchandising groups can work together with a single vision and understanding of the shopper to ensure a satisfying shopping experience  no conflicting or overlapping offers  that is financially profitable for the merchandiser and increases shopper loyalty for marketing.

Vendors & Retailers can collaborate and execute on trade funds more quickly, driven by a common understanding of the shopper. Promotion Management for Retail allows vendors to propose trade funds or offers to the consumer that may be automatically forecasted and executed through the retailers planning & execution systems.

Mobility

SAP Promotion Management for Retail enables planning and execution of promotions across channels, including mobile.  Retailers may define unique and targeted promotions that are specific to the consumers and demand stream generated by mobile device users. 

SAP Promotion Management for Retail provides a single backbone for all promotion planning throughout the retail enterprise, allowing the promotion planner to determine the customer segment, available channels, and variations in price or advertising content. With the push of a button a single promotional offer can be modified quickly to be displayed on a mobile device, offered at a deeper price discount to a specific consumer segment, and enlarged as an in-store poster for a specific geography.

Multi-Channel

SAP Promotion Management for Retail provides a complete multi-channel planning and execution capability for promotions.  Users can plan a single promotion and make it available across channels or create unique promotions based on specific channel demand or dynamics.  Flexible and configurable channel and customer segment hierarchies allow for easy variations of promotions  like price, picture and activation dates. 

Complete forecasting and optimization capabilities based on channels.  Ability to aggregate or segregate demand streams across channels to provide a unified view of the shopper.

Demand Driven & Financially Optimal

Underlying the SAP Promotion Management for Retail application is the Customer Activity Repository leveraging the Demand Data Foundation and Unified Demand Forecast, which provide predictive demand driven forecasts and customer centric simulations for all promotion planning  across channels and customer segments.  Retailers can quickly compare different promotion opportunities to ensure that the promotion will deliver against their financial objectives while also being attractive to shoppers and generating loyalty.

As promotions are planned and grouped with other campaigns or events, the forecasting engine dynamically responds and updates the overall view for the category or promotion event.

Demand forecasts from Promotion Management for Retail can be automatically interfaced to SAP ECC and F&R for the purpose of procurement, allocations, and replenishment directly to the stores.  As promotions are changed and forecasts updated, this information will flow automatically through to connected business processes.

Segmentation & Loyalty

SAP Promotion Management for Retail supports the majority of offer types executed across retail segments  grocery, hard lines and fashion. This includes targeted promotions based on customer segments or loyalty offers associated with rewards or points programs.

SAP Promotion Management for Retail can connect to a variety of loyalty systems, including SAP’s marketing solutions such as SAP CRM, hybris and SAP’s Audience Discovery and Targeting.  With SAP’s solutions, retailers can manage existing loyalty rules, build dynamic customer segments, and manage overall marketing and promotion budgets. 

What's new in Promotion Management for Retail?

The latest release of Promotion Management for Retail has some exciting new features that help merchandising, marketing and advertising departments better collaborate and manage the complexity of planning profitable promotions across multiple channels. It takes the guess work out of promotion planning by providing science based forecasting and simulation and is tightly integrated with SAP's supply chain processes to enable an unprecedented level of automation within the entire end to end promotional processes. 

Here are some highlights of the Promotion Management for Retail 8.1 release offered on the HANA based Customer Activity Repository:

  • Promotion Management for Retail now leverages the Unified Demand Forecast (UDF) which is the new generation of forecasting for SAP Retail planning applications. UDF combines strengths of the forecast capabilities from SAP Promotion Management for Retail and SAP Forecasting and Replenishment at the speed of SAP HANA
  • Enhancements to the Offer Type &  Incentive Offer Construction supports basket level offers and the ability to uniquely promote an article for each selling unit of measure
  • Enhancements to the Offer Versioning
  • Improvements to the templates used in the Offer Preview
  • Creation of a new Event Preview view for the Merchant/Buyer
  • Integrated a Printer’s MAP for Versioning at the Printer

Getting Started with SAP Promotion Management for Retail

Qualification - Curriculum

Release specific information for SAP Promotion Management for Retail

Documentation

Online Knowledge Products

  • Solution Explorer > End-to-End Solutions > Promotions
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