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What’s trade marketing?

Trade Marketing is an effective tool to help brands to stay in the market, with a special focus at the point of sale, that provides a great boost to encourage the purchase.


These are the main goals of trade marketing:

  • Stock rotation at the point of sale.
  • Promoting and boosting sales through the planning and coordination of promotions.
  • Developing merchandising and branding to increase traffic at the point of sale.


customer experience ebook


Trade marketing basic functions:


  • Promoting the product at the point of sale.
    • The trade marketing manager is responsible for designing the action plan in the POP (point of purchase): duration, objectives, design, budget.
  • Being aware of the trends and needs of consumers.
    • The PDV has to surprise and cover the needs of the consumer’s moment to attract them and encourage them to buy.
  • Optimizing all parts of the purchase process:
    • The Trade Marketing manager has to execute its action plan to adapt a competitive offer to the consumer and reduce expenses to increase profits.
  • Positioning the brand positively in the top of mind of the consumer.
    • This part of the action plan will get results in the medium term.


Keys to carry out a successful Trade Marketing strategy:

  • Availability of products

It is vitally important to estimate sales forecasts well as well as periodically check the provision to avoid stock breakages. In the event that the consumer does not find availability, there is a risk that they will go to the competition.

  • Price

This is an important factor when it comes to both attracting customers and when converting.

  • Promotions

2×3 type promotions or discounts are always a good tactic to attract buyers. According to the Deloitte study on the prospect of buying promotions and rebates, it is observed that half of buyers only acquire goods if they are on sale.

  • Branding in the PDV

It is important to place advertising at the level of the client’s eyes to capture their attention. Similarly, placing props at eye level is a way of attracting attention. In addition, this prevents the POS from appearing empty if the genre has been sold.


Importance of heights in the POP:

1) Stretch level (above 1.80 m)

Little attention on the part of the consumer since it does not attract attention and requires effort.

2) Level of the eyes (1.20-1.50m)

At this level the products receive 35% more attention. It is perfect to put high profitability products.

3) Touch level (0.90m – 1.20m)

It is the perfect height for children. Hence, sweets and products that attract your attention are at that height.

4) Crouching level (below 0.90m)

The elderly and disabled do not usually want to bend over. However, heavy products are usually placed here for safety.


Practical applications of Trade Marketing:

  • Actively listening to the three actors involved.

All the problems that arise must be known by the departments that are responsible for solving them

  • Importance of packaging.

The manufacturers have to take care of the packaging of the product since it is a decisive factor when acquiring a product or another.

  • Increasing desire to buy.

To promote sales, a good trade marketing manager will dispose tasting and demos for their customers, create loyalty program, make well-publicized promotions in different channels, contests, gift checks, etc.

  • Cut delivery times.

The voracious competition of companies such as Amazon that offer deliveries in less than 24 hours, obliges the rest of suppliers to speed up the delivery.


customer experience ebook 2


Do you have experience with Trade Marketing? Do you want to share your results? Comment below, the community will thank you!


If this article was interesting to you, we recommend that you read this other one in order to get to know better the consumer’s behavior and so you can boost your sales.