ISS recommended how to improve promotional roi in the carbonated soft drinks category

Background

• The retailer (and collaborating CPGs) wished to understand which Carbonated Soft Drinks (CSD) promotions performed best, against the key metrics of incremental sales and incremental margin
• ISS assessed these metrics, including the effects of both pull-forward and cannibalisation, to compare across all 2L and 12-pack promotions in the category

Key insight

• There was a wide range in performance across the category promotions, with many not offering a good ROI for margin invested
• 12-pack promotions typically provided a better ROI than those on 2l pack sizes

Outcome

• Opportunities were identified to modify the promotional program and increase both sales and margin by $800k p.a.in the category