Building a Strong TPM, TPO, and RGM Foundation

This guide outlines the importance of accurate base and uplift models in the consumer-packaged goods sector, particularly in relation to trade promotion management (TPM), trade promotion optimization (TPO), and revenue growth management (RGM). It emphasizes that effective promotional strategies require reliable models to measure past promotions and inform future decisions. The document details the necessity for a holistic forecast that includes all consumption, optimized promotion plans, and the ability to quantify the impact of promotional activities on sales. It also discusses the need for regular retraining of models to maintain accuracy, monitoring data quality to avoid errors, and keeping models updated with new variables. The guide stresses that accurate modeling is essential for maximizing return on investment (ROI) from trade events and adapting to changing market conditions. It concludes by highlighting the role of CPGvision in providing real-time data to enhance trade spend strategies.