a
All Commodity Volume (ACV)
What is All Commodity Volume (ACV)? ACV is the total sales (in dollars) for a given retailer within a specific market. This measurement includes all ...
a
Assortment
When discussing a retailer’s assortment, you may hear the following terminology: Add Items not currently carried by a retailer in any of their ...
a
At-risk items
These items have a high probability of being delisted by a retailer during their next line review. At-risk items score below average on a combination ...
a
Average price
Price paid ($/units) per product unit or package. Average price is the weighted average of non-promoted and promoted prices. Use this to compare the ...
b
Base price
Base price, or non-promoted price, is the estimated average non-promoted price across all stores, not just those stores that are not running a ...
b
Best in class ranking
An item or brand that is ranked in the top 20th percentile of a given product category. Best in Class items have the highest combination of sales, ...
b
Brand development index (BDI)
BDI or Brand development index measures the percent of sales for a product in a given market versus the percent of the US population in that market. ...
c
Category development index (CDI)
CDI or Category Development Index measures the percentage of sales for a category in a given market versus the percentage of the US population in ...
c
Category management
What is category management? Depending on who you ask, the specific definition of category management may change slightly. However, everyone agrees ...
c
Club
Large format retail stores that typically sell larger packages, at a lower equivalized price, and require customers to pay a membership fee.
c
Convenience
A small format retail business that sells everyday and immediate consumption items, sometimes as part of a gas station. Stores are often located ...
c
County sizes
A County: Any county located in one of the 25 largest U.S. cities that have more than 20,000 households. A Counties represent highly urbanized areas ...
c
CPG company
A consumer product good is similar to a fast-moving consumer good in that it encompasses a range of verticals that are sold for relatively low price ...
c
CPG manufacturing
In the CPG/FMCG industry, most of the time “CPG company” refers to CPG manufacturers. These companies may produce one single brand or even one ...
c
CPG marketing
CPG marketing is distinct from marketing in other industries in a few important ways. While branding strategies and marketing tactics like TV ads or ...
d
Demand index
This measures the expected sales of a product in a given geography based on the demographic fit of that product’s shoppers with the shoppers of ...
d
Depth of discount
This is the difference between a products promoted price and non-promoted price calculated as 1 – (promoted price / non-promoted price). Depth ...
d
Display weeks
This is the number of weeks when a given product was on an in-store display outside of the everyday shelf. Displays are used by retailers to ...
d
Distribution
Distribution is made up of all the SKUs your brand offers multiplied by each store selling. Your share of distribution is how well your product(s) is ...
d
Dollar
A small format store selling General Merchandise and Grocery products typically in smaller packages at discounted price, but not necessarily just a ...
d
Dollar per HH
The average spend per household (HH) for product buyers within a given geography and time period. $ per HH is a good measure of the total spend by ...
d
Dollar spend per unit
The average price per unit for a given product. $ Spend per Trip = Total Product Dollar Sales / Total Product Units. For example, if Private Label ...
d
Dollars at risk
Dollar at risk measures the amount of a product’s sales that are at near-term risk of being delisted by a retailer. Based on the growth, sales ...
d
Dollars per TDP (velocity)
One of the most common and powerful measures of distribution productivity. $/TDP (sales per distribution point, also known as velocity) measures the ...
d
Dollars per trip
The amount spent on a given product per product trip. $ per Trip = Total Product Spend / # of Trips Containing Product. For example, if the total ...
d
Dropped items
Items that have been discontinued or removed from distribution in a given geography. Items are dropped either due to supply chain rationalization by ...
e
Elasticity
Measures the volumetric impact from a price change holding all other variables constant. Elasticity = % volume impact for every % change in price. ...
e
Everyday Low Price (EDLP)
EDLP or everyday low price is a pricing strategy where either a retailer or a product is limited to no promotions and uses their trade funds to offer ...
e
Exclusive buyers
These are shoppers that buy in the category at least twice and are exclusively buying one brand. Exclusive shoppers are your most loyal shoppers. A ...
e
Expanded category buyers
These are buyers that have increased their purchasing in the latest period in a given geography versus the prior period. Expanded category buyers can ...
f
Fair share of geography
This measures the amount of support, typically Display, Feature, Feature and Display or shelf space, given to a product in a given geography versus ...
f
Feature and display weeks
The number of weeks when a given product was on both Feature and Display at the same time. Retailers will often place items that were in the Feature ...
f
Feature weeks
This is the number of weeks when a given product was in the Circular/Leaflet/Flyer (Feature). Features are used by retailers to communicate savings ...
f
Flavor seekers
Households that switch from flavor to flavor in a given category. Flavor seekers buy more than 65% of their units on unique flavors. For example, a ...
f
FMCG (Fast moving consumer goods)
FMCG are products that are sold quickly and at relatively low cost. Examples include non-durable goods such as soft drinks, toiletries, ...
f
FMCG regions
NielsenIQ divides the US into 4 geographic regions: East, South, Central and West. Use FMCG Regions to understand broad differences in performance ...
f
Frequency
This is the number of times per year that the average shopper of a product buys that product. Purchase Frequency measures the purchase cycle of a ...
g
Grocery
A store primarily focused on selling food and consumable products. NielsenIQ’s data is nationally projectable and provides an estimate of sales ...
h
Heavy, medium and light shoppers
The categorization of shoppers by frequency of purchase help CPG manufacturers better identify retail and marketing tactics that work (and those that ...
h
Hurdle rate
Hurdle rate is a measure of the threshold that a retailer uses when determining which products to carry. When looking at which items to carry, a ...
i
Incremental $ lift per week of support
The sales above baseline (lift) sold for every week of promotion activity. When an item has promotion activity the actual sales during that activity ...
i
Incremental to brand
The net amount of volume that a brand would gain when the product was added to the shelf. Imagine that a new size of Private Label soda was added to ...
i
Incremental to category
The amount of volume that will be lost from the category if an item were to be delisted or the amount of volume that a category would grow by if a ...
i
Incremental Volume
One of the best ways to build sales as a CPG company is to run promotions. As a smaller brand, you need promotions to help entice new customers to ...
i
Items per store
Measures the number of unique items selling per store for a given market and product group. Items per store is a good measure of the breadth of your ...
l
Leakage
The amount of dollars spent on a product by shoppers of a retailer, outside of that retailer. Leakage can come from a retailer’s shopper who ...
l
Lifestage
This is a proprietary segmentation that classifies households into a group with other like households based on their demographics and purchase ...
l
Liquor
A speciality store that sells primarily Alcohol including Beer, Wine and Spirits. State and National laws often govern what products these stores are ...
l
Loyal shoppers
These are shoppers who buy in a given category 2 or more times and spend more than 65% of their category sales on one brand. Loyal shoppers show a ...
m
Major markets
Geographic regions built around key cities, including their suburbs, to help understand differences in performance across the country. Major Markets ...
m
Market share
Also known more simply as “share”, this is the percent of sales that a given product represents of a given product hierarchy level. Share ...
m
Mass
A large format retailer that sells a large quantity of different grocery and general merchandise products to a large number of shoppers.
m
Military
Stores typically located on military bases that sell products to active and retired military personnel. Military stores use a cost plus model to ...
n
New category buyers
These are buyers who purchased the category in the latest period in a given geography but did not purchase the category in the prior period in the ...
n
New, lost and retained shoppers
A classification of households based on their change in purchase behavior on a given product across two time periods. New HHs bought in the current ...
o
Offer communication
The specific language used to communicate a product’s promoted price. Offers can be either suggested multiples, such as 2 for $5 where the ...
p
Percent category growth
The percent change in sales for a given category and time period versus the same time period year ago. % sales change = (Current Year Sales – ...
p
Percent incremental
This means dollars of lift divided by dollars spent on the promotion. The higher the efficiency rate, the more productive trade is at driving lift ...
p
Percent promoted volume
The percent of total volume (Promoted Volume/Total Volume) sold with a price reduction and/or feature/display support. Higher percent promoted volume ...
p
Percent sales change
The percent change in sales for a given product and time period versus the same time period year ago. Percent sales change = (Current Year Sales ...
p
Percent stores selling
This measures the percentage of stores in the universe that carry a particular product. Percentage of stores selling is a good measure of the overall ...
p
Percent unduplicated category buyers
Measures the number of unique buyers that a product contributes to the category that do not buy another less incremental product. The more ...
p
Pet
A speciality store that sells products primarily targeted to Pets. NielsenIQ uniquely offers data from neighborhood pet retailers. Retailers can be ...
p
Price change impact
This uses price elasticity to quantify the expected volume change due to the proposed price change. The price change impact is calculated using the ...
p
Price gap
This is simply the difference in price between a pair of products. Price gap is often compared across brands for similar products as a Private Label ...
p
Price index to category average
Indicates how a product is priced when compared to the category average for a market. If the Price index to the category average is 80 for Brand A ...
p
Price percentile
The percent of volume that moves at or below the price of the product in the category. If Brand C has a price percentile of 70% that means 70% of ...
p
Price threshold
A key or “hot” price point that drives a greater response from shoppers versus what would have been expected. For example, a product at ...
p
Promoted price
The average price per unit charged for a given product when on promotion. When aggregating across product or markets, this will be the average unit ...
p
Promoted volume
The amount of volume sold at a price reduction and/or with the presence of Feature/Display support. Use this measure to see how highly promoted a ...
p
Promotion support
Incremental activity during a promotion outside of just the price discount designed to draw attention to the promotion. Types of promotion support ...
p
Promotion timing
The specific weeks when an item was on promotion. Optimizing Promotion Timing is an often over-looked component of setting an optimal promotion ...
p
Promotional lift
Also known more simply as lift, the proportion of promotional sales that are incremental or beyond what are are expected to sell on a given week. If ...
p
Purchase drivers
This is the decomposition of total volume in what drives shoppers. Total sales is a function of the number of households buying the product ...
r
Retail category
NielsenIQ uses what’s known as a “hierarchy” to categorize products into the relevant department, supercategory, category, ...
r
Retail data analytics
Retail data analytics is an umbrella term for a whole host of business intelligence that helps CPG manufacturers sell more. Data could be as simple ...
r
Retail KPI
What is a retail KPI? Key performance indicators (KPI) are valuable tools for business owners. A KPI is a metric to show how well a product or ...
r
Retailer coverage
This identifies the retailers that a given product are carried in, and the percent of total market sales sold by those retailers. This is calculated ...
r
Retailer loyals
These are buyers who shop a given category at least twice and spend more than 65% of their category dollars in a single retailer. When meeting with a ...
r
Retailers per household (HH)
The number of retailers per household that a shopper visits for a given product.
s
Speed to market
Measures the days after the first sale of a product anywhere that it first sells in a given retailer. Use this measure to help identify the retailers ...
s
Stateline
This refers to state geographies with either Total Grocery or Total FMCG Retail sales as noted in the market label. These markets are especially ...
s
Store best fit
Identifies the stores whose shopper demographic profile most closely match the demographic consumers of a given product. When securing distribution, ...
s
Subsidized (non-incremental)
This refers to volume sold on promotion that would have sold at full regular price had the promotion not been run. Subsidized volume is margin ...
t
Threshold impact
The volumetric impact of crossing a key consumer price point (threshold). When reducing price to go below a threshold, the volume impact will be a ...
t
Total distribution points (TDP)
While you can look at individual items, you also need to pay attention to your brand as a whole. In this case, you’ll want to determine your ...
t
Total FMCG retailers
NielsenIQ’s most comprehensive market, representing over $900B in retail sales, including all brick and mortar volume from retailers that sell ...
t
Total price reduction (TPR)
Also known as price discount, this is any price reduction of more than 5% versus a given product’s everyday shelf price. TPRs are used by ...
t
Trade calendar
CPG manufacturers and retailers follow a schedule that dictates their annual activities. For example, many manufacturers may plan their trade ...
t
Trade efficiency
Trade efficiency measures how much promotional lift is associated with each $ spent marking down an item on promotion. A value above $1 means the ...
t
Trial and repeat
Trial & Repeat are used to measure the initial adoption and ongoing viability of a new product. Trial measures the percent of households in a ...
u
Units per trip
The number of product units bought per product trip. Units per Trip = Total Product Units / # of Trips Containing Product. For example, if the total ...
v
Velocity ($/TDP)
Velocity is the measure of sales per distribution point. For an item, a distribution point represents the item selling in 1% of the market. For an ...