We’re increasingly seeing the FMCG industry place their bets on two areas they see as offering a competitive edge: store-level selling and incrementally adding points of distribution in the applicable channels and categories. Both strategies allow field reps to leverage data in ways that deepen their relationships with store managers and improve product visibility. When executed together, these approaches deliver a powerful “double win,” driving both incremental sales and expanded in-store presence. Sales reps play a critical role in using data-driven insights to optimize product placement, manage inventory levels, and expand distribution. These strategies are essential for maximizing sales and ensuring products meet consumer demand effectively.
The Case for Store-Level Selling with Data-Driven Insights
For years, CPGs have relied on market-level data to guide trade negotiations and promotional activities. However, forward-thinking brands are realizing the value of arming their sales reps with store-level sales data to influence purchasing decisions at the individual store location. This shift enables reps to create compelling, data-driven narratives that demonstrate the value of their products, making a stronger case for better (or expanded) shelf positioning, larger order sizes, and even the addition of new SKUs.
Consider the advantage a rep has when equipped with POS data from the stores they’re visiting. Armed with actual sales insights, reps can:
- Strengthen new SKU recommendations: Proven initial sales of a new product in similar stores with flexible assortments (like in Meijer or independents) can be used during a fact-based conversation as evidence of success.
- Justify supplementary placements: An identifiable increase in demand or sales for a product can be used to request additional facings or prime placements to boost visibility and tap into last-minute buying decisions.
- Prompt an additional or increased order by spotting sales patterns. If sales are steady, followed by a sudden drop-off, it’s a strong indicator that the product may have been out of stock, creating an opportunity to restock and reorder.
- Prove the impact of demos or promotions: Reps can show the lift in sales from past demo events and build a case for hosting future sampling or promotional events, demonstrating how these activities contribute to the store’s revenue.
- Improve assortment opportunities in partnership with the retailer. Pending the retailer flexibility, reps can help customize assortments that meet local demand, building strong partnerships and increasing sales.
By leveraging this data, sales reps transform from simply being order-takers into trusted advisors, collaborating with store managers to grow the category, increase sales, and optimize product placement. This consultative approach not only boosts in-store sales but also strengthens retailer relationships.
Expanding Footprint with Incremental Points of Distribution
Beyond enhancing current product performance, brands should focus on incrementally increasing their in-store distribution points. This means finding new spaces throughout the store to display products—whether through additional facings, new shelving areas, or secondary placements like endcaps or front-of-store displays. Even small gains in product visibility can translate into significant sales increases over time.
Successfully implementing this strategy hinges on leveraging data to support requests. For instance, if a product consistently sells well but experiences frequent stockouts, a sales rep can use this data to advocate for larger orders or additional placements, potentially displacing a lower-performing competitor.
Here’s how it works in practice:
- A rep notices a product in a convenience store cooler is selling rapidly. They request additional facings or placement by the register, which not only boosts visibility but also positions the product for impulse purchases during last-minute buying decisions.
- In stores with flexible assortments, like Meijer or independent retailers, a rep introduces a product that’s already a hit in nearby locations, effectively expanding distribution and driving incremental sales.
- When a competitor’s product is out of stock, a rep seizes the opportunity to suggest filling that empty shelf space with their own product. This not only keeps the shelf fully stocked—benefiting the retailer—but also allows the brand to gain additional exposure and potentially convert customers who might have purchased the competitor’s item.
Over time, these incremental efforts add up—if a rep secures even one additional case order per quarter in each store, the cumulative impact across hundreds of stores becomes substantial. This strategy of steadily expanding footprint not only enhances visibility but also strengthens the brand’s presence throughout the store, leading to improved exposure and increased sales.
High-Level Benefits of Combining Data with In-Store Execution
When these tactics are combined, brands can achieve more consistent and effective retail execution. Here’s how it works at a high level:
- Better Market Insights: Combining store-level sales data with broader market and execution insights (such as promotional strategies, merchandising, and product placement) gives brands a more holistic view. This allows them to better understand how in-store execution drives sales at the local level, leading to more tailored strategies that resonate with individual stores.
- Data-Driven Product Distribution: Sales and field data, when combined, reveal where products are performing well, the impact of execution, and where distribution strategies could be improved. This helps brands focus their resources on the most promising regions and channels, driving better results.
- Improved Promotional Effectiveness: By understanding which execution tactics work best—whether it’s a demo, an endcap display, or a promotion—brands can optimize their promotional strategies across stores, improving their return on investment and increasing in-store sales.
- Optimized Retail Partner Collaborations: Sales reps can present store-specific data to retail partners, demonstrating how product placement, promotions, and distribution strategies drive sales. This positions brands as category leaders and fosters stronger, more collaborative retailer relationships.
- Competitive Advantage with Better Execution: Brands that consistently act on both field and sales data can deliver superior consumer experiences, from better stock availability to enhanced product visibility, gaining an edge over competitors.
- Feedback Loop for Continuous Improvement: Regular analysis of store-level and sales data provides a continuous feedback loop. Brands can quickly identify what’s working and what needs to be adjusted, leading to better long-term strategies.
Store-Level Applications
At the store level, these strategies translate into actionable insights that reps can use to optimize performance:
- Assortment Optimization: Data allows brands to identify which products perform best in certain stores, allowing them to adjust assortment to reflect demand. For example, if organic snacks consistently outsell traditional ones in certain locations, the brand can increase organic options while reducing slower-moving items. Reps can also introduce successful products from nearby stores into new locations, expanding distribution and driving incremental sales.
- Dynamic Pricing: Insights into price sensitivity and buying behavior enable brands to implement effective pricing strategies. For instance, offering targeted promotions in stores where a product performs well during certain times of the year maximizes sales and profitability.
- Targeted Promotions: Sales data helps reps tailor promotions to stores where they will have the greatest impact. For example, a store that sells a high volume of wellness products might be a great candidate for a health-focused marketing campaign.
- Inventory Management: Predictive analytics based on sales data can help avoid stockouts and overstock situations, ensuring optimal stock levels. If a product is selling rapidly and frequently out of stock, a rep can advocate for larger orders or additional facings. If a competitor’s product is out of stock, suggesting filling that space with their own product benefits both the retailer and the brand.
- Strategic Shelf Placement: Reps can suggest additional facings or prime placements for fast-selling products to boost visibility and tap into impulse purchases—for example, placing items near the register.
Conclusion
For sales leaders responsible for driving in-store performance, leveraging data at the store level and expanding incremental points of distribution are essential strategies. By equipping sales reps with actionable insights and empowering them to build strong, data-backed relationships with store managers, brands can achieve significant improvements in sales, distribution, and visibility. Wiser’s tools and expertise can help you implement these strategies, ensuring that your team is positioned to win at the point of sale.