Promotion Record
You use Promotion records to model the impact (additional demand or percent increase in demand) a promotional activity has on another forecast record. You include the promotion as an additive or a multiplicative adjustment in the other forecast records.
Whether you add or multiply a forecast by a promotion depends on whether your promotion uses values or rates. For example, if your promotion adds 100 customers (values), you add it to your forecast. If your promotion increases sales by 10% (rates), you multiply your forecast by your promotion.
See About Record Dependencies.
Once you define promotions in Promotion records, apply them as adjustments to one or more forecasts.
See Apply Promotions to Forecasts.
Promotion records can contain all or some of the following sections:
- Bill of Materials section
See BOM Part Record in Classic Mode. - Historical data section
See Add Historical Data to Records. - Promotion section - Adjustments and Overrides Section - Comparable Items section
See Supplement Historical Data with Comparable Data. - Adjustments and Overrides Section - Monte Carlo Simulation section
To configure a Promotion record
- In the Promotion section, set the following parameters:
Promotion Record Parameters
| Parameter | Description |
|---|---|
| Starting date | Date on which the promotion starts. |
| Ending date | Date on which the promotion ends. |
| Period value | The impact the promotional activity has if it runs for one period. |
| Period decay | Rate at which the impact of the promotion decays over time. |
| Cannibalization | The impact the demand created by the promotion has on future demand, expressed as a percentage (if you set cannibalization to 50%, and total lift is 200, the promotion would net +100). For example, a promotion for a product in January increases the demand for the product in January, but it may reduce the demand for the product in February when the promotion is over. |
| Repeat every...periods | How often the promotion repeats (0 = Never). For example, if the period is monthly and you set Repeat every... to 6, the promotion would repeat every 6 months. |
You can calculate the total impact the promotion generates over all time using the following method:
Total Impact = Period value * Number of periods * (1 - Cannibalization)
2. To apply your parameters and view the promotion, click Refresh.
3. To save your record to the database, on the menu (
), click Save All Changes.
You can now apply the promotion as an adjustment to a forecast.