Promotion Management SAP Best Practices for Retail
Purpose, Benefits, and Key Process Steps Purpose Promotions provide retailers as well as wholesalers with a key opportunity to position their merchandise in a competitive, aggressively-priced environment Benefits Reduce existing stock levels Boost sales and the success of a company Test new products on the market Sell articles at a lower price than the standard price Key Process Steps Create promotion (standard retail promotion) Create additional conditions for the promotion Create promotion via Price Planning Workbench Subsequent processing of the promotion Create promotion (Wholesale) Assign further sales agreements to the promotion (Wholesale) Activate prices, create sales order, create delivery and billing document (Wholesale) © 2014 SAP SE or an SAP affiliate company. All rights reserved. 2
Required SAP Applications and Company Roles Required SAP Applications SAP Enhancement Package 7 for SAP ERP 6. 0 Company Roles Retail Promotion Planner Retail Warehouse Specialist Retail Store Manager Retail Sales Person Retail Non-Seasonal Purchaser © 2014 SAP SE or an SAP affiliate company. All rights reserved. 3
Process Flow Diagram Promotion Management - Version 1 – Retail Promotion Planner Create promotion Display promotion Create purchasing conditions Save price plan Create coupon Create article grouping Change validity period of promotion Create bonus buy Create promotions via PPW Step 3: Create conditions Step 4: Activation of price plan Check promotion sales prices Step 1: Create promotions price plan Select price plan in tree Step 2: Release price plan Retail Warehouse Clerk Retail Markdown Planner Ret. Pricing Manager Create discount © 2014 SAP SE or an SAP affiliate company. All rights reserved. 4
Process Flow Diagram Subsequent processing: Activate allocation table Subsequent Processing Announcing promotion Standard retail promotion Carry out listing Generate allocation table Subsequent processing: Price activation Subsequent processing: Closing confirmation of promotion in ERP Activate prices Subsequent processing: Allocation table Subsequent processing: Announcemen t Supply source determination Evaluations Check promotion sales price Retail Seasonal Purchaser Goods receipt in stores (optional) Deliver merchandise to stores Retail Warehouse Specialist Ret. Pricing Manager / Store Manager Retail Promotion Planner Promotion Management - Version 1 – Retail (contd. ) Subsequent processing in distribution center © 2014 SAP SE or an SAP affiliate company. All rights reserved. 5
Process Flow Diagram Create promotion check Assign further sales agreements to a promotion Activate prices Evaluations Create sales order Create Billing Document Retail Warehouse Specialist Retail Non. Seasonal Buyer Retail Sales Person Retail Promotion Planner Version 2 – Wholesale Promotion Management © 2014 SAP SE or an SAP affiliate company. All rights reserved. Display Outbound Delivery Create delivery Create transfer order Confirm TO and post goods issue 6
Process Flow for Promotion Creation Promotion Planning Promotion type Reference promotion Higher-level? Create promotion Article Planned currency Promotion periods Enter promotion data Subsequent processing Quantity planning Enter planning Price planning data Coupons Additional assignments Discounts Bonus buy © 2014 SAP SE or an SAP affiliate company. All rights reserved. Period-based Assign site groups Within the promotion For all promotions 7
Subsequent Processing for Promotions Promotion Planning Promotion subsequent processing Listing Supply source determ. Announcement Alloc. table Additionals Price activation Retail price calculation Assortment list © 2014 SAP SE or an SAP affiliate company. All rights reserved. POS data 8
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