Targeted promotions using scanner panel data

In the last two decades, allocation of promotional dollars has moved increasingly from advertising to sales promotions, such as couponing. However, a short‐term focus on brand performance could jeopardize long‐term brand prospects unless promotional dollars are carefully targeted and based on the needs of the target market. Using scanner panel data, which are widely available, suggests how managers could evaluate current promotional strategies, identify potential opportunities and threats, and refocus promotional efforts to increase the efficiency and effectiveness of promotional plans.