Rate of Sales (Adjusted Average Sales per Store)

The rate of sales adjusts the average sales per store to reflect what the sales would be if the stores handling the product were average in size.

$$Rate \,of \, Sales = Avg \,sales \,per \,store × \frac{Numeric Distribution}{Weighted Distribution}$$ $$Or$$ $$Rate \,of \, Sales = \frac{Sales \,Volume}{Equivalent \,\# \,of \,stores \,distributed}$$

Reverting to our Maxwell House (MH) example:

$$ Sales \,Volume =30,000 \,kg/month$$ $$Numeric \,Distribution \,(ND)= 5\% $$ $$Weighted \,Distribution \,(WD)= 50\% $$ $$Number \,of \,Supermarkets = 2,000$$ $$Number\,of\,Stores × ND=100 = \#\,of\,stores \, distributing \,MH$$ $$Number\,of\,Stores × WD=1,000 =Equivalent \,\#\,of\,stores \, distributing\, MH$$ $$Rate\,of\,Sales=\frac{Sales\,Volume}{\#\,of\,Stores ×\,Weighted \,Distribution}$$ $$=\frac{30,000}{2,000×0.50}=30 \,kg/store$$

This means that Maxwell House sells 30 kg per month per averaged sized store selling coffee in supermarkets.

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Online Apps to train Category Managers

Online Apps to train Category Managers

The Plannogrammer is an experiential learning facility for category managers, trade marketers, and retailers in consumer markets. Ideally suited for hybrid learning programmes, Plannogrammer imparts hands-on training in the planning and evaluation of promotions and merchandising.

It supports a collection of simulation and analysis platforms such as Promotions and Space Planner for optimizing space and promotions, Plannogram for populating shelves and merchandising, a Due To Analysis dashboard that decomposes brand sales into the factors driving sales, and a Promotion Evaluator to evaluate the volume, value and profit impact of promotion plans.