DALLAS – June 12, 2018 – Symphony RetailAI, the leading global provider of Artificial Intelligence-enabled decision platforms, solutions and customer-centric insights that drive validated growth for retailers and CPG manufacturers, today announced that Consumer Packaged Goods (CPG) manufacturers can achieve higher levels of trade promotion success and increased revenue through better retailer collaboration by utilizing the recently launch SR PromotionAI solution.
Retailers depend on trade funds to increase sales, but average retail sales growth is currently only 1-3%. This is due to the ineffectiveness of promotional spend failing to convert to sales growth; it is estimated that 30-40% of promotions are ineffective. On average, CPGs spend 12-15% of gross revenue on trade promotions and expect to see a minimum of 5-6% sales growth, but this has traditionally not been the case.
The SR PromotionAI solution enables CPG manufacturers to collaborate with retailers to identify ineffective promotions, as well as accurately forecast and optimize promotions to generate optimal sales lift.
“Having transparency into trade dollars has long been an issue for CPGs,” said Pallab Chatterjee, Chairman and CEO, Symphony RetailAI. “Using SR PromotionAI, one of our retail customers has recently engaged more than 100 of its CPG partners through a next-generation trade promotion collaboration process, and the initial results they are seeing are phenomenal. In distinct pilot tests, they have identified up to 4x improvement in promotional outcome.”
The high percentage or promotion ineffectiveness, coupled with the ever-evolving complexity in the relationship between CPGs and their retail partners as both strive to please the increasingly demanding and discerning customer, highlights the need for CPGs and retailers to collaborate at all levels and make the best use of trade funds.
“Symphony RetailAI’s ability to support effective trade promotion collaboration comes from thousands of conversations with CPGs around the aggregate need to minimize the complexity of managing trades funds and the uneasy feeling of ‘shooting in the dark,’” said Sy Fahimi, SVP Product Strategy, Symphony RetailAI. “Through our deep and long-term relationships with CPG manufacturers and retailers, we have been able to understand the challenges from both perspectives to develop solutions that facilitate improved collaboration and ultimately increase the success rate of promotions.”
About Symphony RetailAI
Symphony RetailAI is the leading global provider of Artificial Intelligence-enabled decision platforms, solutions and customer-centric insights that drive validated growth for retailers and CPG manufacturers, from customer intelligence to personalized marketing, and merchandising and category management, to supply chain and retail operations. Symphony RetailAI is innovating rapidly to drive faster, more profitable decisions through AI, machine learning and voice technologies. We are trusted by over 1,200 organizations including 15 of the world’s 25 largest grocery retailers, thousands of retail brands, and hundreds of national and regional chains worldwide to help solve their toughest business problems, through AI-powered customer intelligence and retail solutions. Symphony RetailAI was formed in January 2018 incorporating Symphony GOLD and Symphony EYC into the company as the Retail Solutions Division and Customer Intelligence Division respectively. Symphony RetailAI is a SymphonyAI company. More at www.symphonyretailai.com. Follow us on Twitter: @symphonyretail.
SymphonyAI is a group of companies that provide the leading AI-centric solutions for transforming the business enterprise by driving revenue growth and operational excellence, for the retail, CPG, healthcare and industrial verticals, and for finance, IT and other key enterprise horizontal functions. Founded by Dr. Romesh Wadhwani, SymphonyAI is one of the fastest growing companies in the business-to-business AI solutions sector with revenue this year of $275 million and 1,500 employees. More at www.symphonyai.com.
Ketner Group Communications (for Symphony RetailAI)