Blog for Retail


ROI. I’m pretty sure most of us have heard and feared the different scenarios as planned for a particular Return-On-Investment. Just for the sake of having everyone on the same page, let’s get to know what’s ROI.

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Return on Investment (ROI) is a performance evaluator used to measure the efficiency of a particular investment. Even towards comparing the efficiency of a number of different investments, ROI tries to directly measure the amount of return on a particular investment relative to the investment’s cost.

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As far as statistics go, it is estimated that the CPG of an average functional company spends about 5–7% of its revenue on merchandizing. In order to successfully concise a right ROI on the costs that one is about to put up with, the CPGs must ensure that they get the space they paid for, and this space is actually maximizing sales, shelving principles are property executed in-store, sales are facing the expected rise of stocks onto retail shelves, and so on.

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When this comes to the case of ROIs towards the merchandising or sales of your product, you as a marketeer or a businessman must be having the best-case scenario on your side. Any success-striving ROI for these promotional aspects certainly has a few things in its basket — Commitment, Cost-Cutting, and Commemoration.

Concluding the massive process in three simple categories of work is where the simplicity and the efficiency of Xtract kick in! We take pleasure in letting our investors know how their ROIs can be ideally optimized and its flow can easily be analyzed:

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· Commitment:

A committed set of data providers that constantly supply you with the information of how the movement of goods are either bloomed or majorly stabilized after its current plan of CPG and merchandising is where your ROIs reflect the good work.

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Electronic point-of-sale (EPOS) data has been the mainstream committed provider of any type of analysis around sales performance for quite a while. EPOS data being very useful in certain ways, it also enables in viewing that the data in isolation would provide all the answers you need to measure ROI. To augment data models and derive its actionable insight, manufacturers are given the right to know what’s happening on the shelf at the SKU and store level.

This is the very reason CPGs are increasingly opting for more advanced solutions that offer true S(H)ELF DRIVEN solutions. In a few recent surveys taken by us on the CPG executives, 76% of respondents said that they either have enabled or will soon adopt Xtract’s real-time IR Store-Check solutions in the next one to three years, which enables CPGs to track every SKU in every store in real-time.

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· Cost-Cutting:

One of every ROI main and reverberating criteria would be to cut slim cheques while pursuing bigger aims. I mean who wouldn’t employ the idea of a cost-relevant plan? At Xtract, we come up with the most advanced-yet-pocket-friendly methods to implement merchandising of your products!

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· To get Space on Shelf — The benefits of having a top-notch spacing of shelves according to the marketeer’s demand for outreach and the simplicity of product purchase.

· To Enable/Disable Sales — The distribution of a certain product/products from one manufacturer is toggled according to the necessity or throughput command.

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·To Run a Promotion — Keeping in mind the promotional tie-ups that have come along to every store as prospects and executing them.

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·To maintain Auditing Fees — Delivering the high-order auditing fees in the nick of time and making it pocket-friendly as well.

· Commemoration:

A better way to communicate the right budget to get the perfect ROIs is by commemorating the better options of analyzing across all units. There’s no easy answer to whether you’re spending the right amount of money on being in the store, or not. Even if we get to know that, the clueless point of whether that’s paying a dividend on the run. But new streams of intelligence like real-time in-store execution data are helping manufacturers start to build more robust ROI models.

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Organizing your data around all the specific business imperatives is indeed the apt starting point. Every data-driven selling ensures that you are directing activities and maximizing impact at the individual store level and revenue growth management (how to use promotional dollars to drive the most effective type of activation in-store).

To know more about our Xtract ways, check us out on or follow us in one of our social handles — FaceBook, Instagram, or more!

“We Xtract the greatness from the goodness!”

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