Distribution Metrics 

Definition

Distribution metrics quantify the availability of products sold through retailers—usually as a percentage of all potential outlets—and reveal a brand’s percentage of market access.[1] Popular measures of distribution coverage include:

  1. Numeric distribution
  2. All commodity volume (ACV) distribution
  3. Product category (PCV) distribution
  4. Total distribution
  5. Distribution velocity

Store versus Brand Measures

Marketers often refer to a grocery chain’s ACV. This can be either a dollar number (the chain’s total sales of all categories in the relevant geographic market) or a percentage number (its share of dollar sales among the universe of stores). A brand’s ACV is simply the sum of the ACVs of the chains and stores that stock that brand.

Marketers can also refer to a chain’s market share in a specific category. This is equivalent to the chain’s PCV (%). A brand’s PCV, by contrast, represents the sum of the PCVs of the chains that stock that brand.

 

References

  1. ^ Farris, Paul W.; Neil T. Bendle; Phillip E. Pfeifer; and David J. Reibstein (2010). Marketing Metrics: The Definitive Guide to Measuring Marketing Performance (Second Edition). Upper Saddle River, New Jersey: Pearson Education, Inc.

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