One of the oldest marketing strategies , Trade Marketing is a key practice for production companies
that want to see their products featured.
This work is essential for those who do not have a direct sales channel to the public, but need their
brand to be visible, stable and, in addition, in a competitive position before the customer’s choice.
To do this, a distribution strategy at points of sale is what will allow the expansion and maintenance
of that company’s products in the market.
Given these needs, Trade Marketing has very specific practices and routines that make up this reality.
Each company has a reality, so this practice is presented with specific demands for each brand .
In this post, you will see a complete guide on Trade Marketing divided into the following topics:
- What is Trade Marketing?
- What is the purpose of Trade Marketing?
- What is the role of this strategy in a company?
- What are the advantages of adopting Trade Marketing?
- What to look for in a Trade Marketing professional?
- What are the essential good practices in that strategy?
- How to execute a Trade Marketing plan?
- Bonus: How to adopt Digital Trade Marketing?
Dive into every detail of the topic and learn everything about it below!
What is Trade Marketing?
Trade Marketing is a strategy usa telegram data focused on the strategic display of
products in sales channels, especially in distribution centers (such as shopper companies).
Therefore, the target audience can properly view the products offered on shelves, gondolas and in
various sectors.
More than just providing visibility, this aspect of marketing is a market positioning strategy .
Without such practice, it is impossible to ensure that products are appropriately placed in the points
of sale that really make sense for that company, considering the impact of the merchandise on the
target audience.
Trade Marketing is also a fundamental tool to increase the competitiveness of what a brand produces
and puts on the market.
The relationship with the points of sale is one of the most important factors within this strategy.
Establishing positive connections with shoppers is a guaranteed place for the promotion of the
company’s merchandise.
Because of that, the negotiation part is crucial when talking about this strategy. The relationship is
literally one of partnership, meaning both producers and distributors must win.
To establish this mutually beneficial relationship, deeper and more detailed work must be done in the
daily life of a Trade Marketing team.
What is the purpose of Trade Marketing?
Objectively and succinctly, the main brand tone is the way a brand objective of Trade Marketing is to obtain more sales . Although it is basically the main proposition of every business, there are many other previous factors that must be addressed appropriately.
In this proposal, the brand’s exposure in the main shoppers is the main point and the beginning of a successful path.
Rather than simply displaying products through a variety of channels, it is important that these outlets are actually the ones that make sense for the company’s strategy.
It is not enough to be in many places, but a refinement of these points of sale is required. It is precisely for this detail that, when we talk about the purpose of Trade Marketing, it is necessary to go deeper, which you can see below!
Strengthen the brand
Strengthening the brand is a common cmb directory task when it comes to marketing. This extends to the work of public relations, quality service, advertising and actions on social networks , because we live in the digital age .
However, the producer must ensure that his merchandise is visible to the consumer , but also with an appropriate and prominent image.
Trade Marketing has practices that strengthen the brand precisely by a union of basic factors that create a specific opinion about these products. These points in question are:
- presence at points of sale where the target audience is searching;
- innovation in relation to marketing;
- good exposure at points of sale;
- shared space with other competitors;
- outstanding actions within distribution channels such as supermarkets, shopping centers, among others.
Display products in the market
Strategy is not just about that as many people think, but exposure within sales channels is essential, after all, how can you buy a product if it is not visible?
A Trade Marketing strategy must plan not only where the products are, but also how they will be positioned in those places.
Good work involves exploring the shelves and aisles thoroughly, but also sampling, i.e. distributing free samples. This set of practices arouses the consumer’s attention and, consequently, generates curiosity.
If you are not yet a customer, this independent approach can be the starting point for a consumer relationship.
Defining the ideal distribution channels
If you could answer without thinking too much, what do you think is more beneficial: selling goods in the best shoppers in town or in the right places? The point is that the most prominent place is not always where your audience is.
First, it is essential to know where these people are, what their purchasing power is and, especially, which shopper they frequent.
Only in this way will a company know which distribution channels are most likely to have a good sales volume, since that is where its customers are.
From this point on, the work that begins is one of negotiations and good relations, with the prospect of a long-lasting and advantageous relationship for both the producer and the shopper.
What is the role of this strategy in a company?
Trade Marketing has very clear functions in a company. For a particular brand to be successful, the market must be willing to accept what that company produces, and this only happens with efficient practices.
In addition, it is essential to have advantageous relationships with channels, but so that these distributors also benefit.
Establish “win-win” relationships with channels
Channel partnerships only materialize when both can leverage the benefits of this relationship.
The company that produces it is looking to sell its merchandise and, to do so, it seeks shoppers who are interesting from the point of view of its target audience.
To strengthen this association, the distributor must ensure that the merchandise they put on their shelves really interests their consumers .
In the long term, good sales results justify the relationship.
Keeping products relevant in the market
Competitiveness is one of the issues that makes companies work on qualification, innovation, brand improvement and marketing.
The flow of new competitors is high, for this reason, it is important to work to maintain the relevance of the already established product. The proposal is not to let it become obsolete in the face of new developments.
In this context, the role of Trade Marketing is to reinforce the value of what the company sells. Various actions can be taken within these channels, including activation marketing, with sampling actions and also ensuring that the product will always be in the appropriate shopper, with the necessary exposure.