Leading in the CPG Industry with Advanced Analytics

By February 18, 2021 May 25th, 2021 Blogs
Saama Analytics Advanced Analytics for CPG

Just like any industry, the COVID-19 pandemic forced the Consumer-Packaged Goods (CPG) and Retail industries into a rapid transformation mode. The new normal of social distancing, working from home and surge to digital retail are changing shopper behavior as well as consumer demographics. Fortunately, the combination of advanced analytics and Machine Learning offer a shining ray of hope to fuel the necessary changes for business growth and sustainment. 

Let us now explore how advanced analytics is helping pave the way for a digital transformation and how Saama Analytics is fostering success for the CPG industry. 

How Advanced Analytics is Helping Lead in the CPG Industry?

The integrated supply chain and consumer demand experienced a rapid change during the pandemic in which traditional operations were replaced with digital transformations. Advanced analytics and ML are becoming an integral part of these transformations and a necessity for the entire CPG industry. In these volatile times, Artificial Intelligence/Machine Learning (AI/ML) are needed for accurately estimating sales volumes, inventory and predicting changes in consumer buying patterns. This also opens the door to online engagement with consumers in an enhanced way, thus accelerating industry-wide transformation. This in turn is also helping businesses gather potentially valuable data to gauge changes in consumer behavior. 

Advanced analytics has quickly become essential for the entire CPG/Retail industry. This shift is allowing companies to gather potentially valuable data and here are the three areas in which data can be optimized for the CPG industry:

Data and Analytics Maturity

According to recent surveys, 70 percent of CPG companies claim that the biggest challenge is the inability to integrate data from multiple sources. This drives down success because valuable insights are required to make better business decisions and these insights can only be gathered from multiple systems and external partners. Multi-system data integration is an extremely labor-intensive task and can be more hurtful than helpful if data quality is not a major priority. 

However, Advanced analytics are helping solve this issue by automating data integration and providing insights into demand forecasting, Trade Promotion Management, sales activation, Dynamic pricing & promotions, precision marketing, personalized consumer engagement, with AI-powered diagnostics & and task optimization.

Leveraging Modern Technologies

The second area emphasizes leveraging cloud-based technologies, baseline predictions, and AI/ML within a CPG/Retail business. As an example, the Amazon Web Services and Microsoft Azure cloud technologies offer companies great investment protection across the value chain. Ranging from AI/ML-powered smart factories and supply chain to data-driven marketing and personalization, it supports building impactful experiences for consumers reflecting positively on the growth of the CPG industry. Also, companies like Saama Analytics and their Spend Optimization (SpendO) suite are utilizing the power of AI and Advanced Data Analytics in understanding Pricing and Discount Performance, recommend end-to-end Promotion Plans & Trade Spend Uplift for better ROI. The company’s AI-enabled Optimizer is also validated and utilized by top CPG companies.

Scaling Operations 

Scaling your CPG/Retail operation is one of the most important factors for sustaining operations during the pandemic.  Factors like talent gap, data governance, validation and market specificity should all be considered when scaling your CPG/Retail business. Thanks to advanced analytics and AI/ML, these factors are also taken into consideration.

How Saama Analytics is Helping the CPG Industry?

Saama Analytics has been a leading provider of cutting-edge data analytics solutions that are driven by big data, cloud, and AI/ML capabilities for customers in various fields with a focus on the CPG industry. The company realizes the challenges of staying relevant in a post-pandemic era and rapidly shifting environment for the CPG industry. It foresees price sensitivity, inventory availability, brand marketing and product innovation as driving forces behind buying decisions of consumers and as such is helping optimize these areas. By leveraging AI, Saama Analytics is able to create Optimized Product Pricing Plans for customers. The plan works in the following ways:

  • Leverages all existing data across all Enterprise Resource Planning/Supply Chain and Trade Promotion Management (TPM) systems.
  • Harmonizes all data sets and aligns shipment, consumption, and promotional information.
  • Identifies historical seasonal patterns together with recent purchase trends to predict future performance
  • Delivers insights quickly and accurately and saves time, money, and resources.
  • Offers quick implementation with minimally invasive deployment.


Like other industries, the CPG industry is encountering many post-COVID challenges. As a leading provider of data analytics and AI algorithms, Saama Analytics is closing the gap between consumers and brand identities and the changing nature of retail. Although it completely depends on the Category focus of a particular CPG, Saama Analytics has shown that by utilizing their advanced analytics platform, clients can achieve 95% accurate promotion volume forecasts, 70% reduction in bad promotions, 30% increase in turnover-ROI, and 10% increase in retailer margins. Saama Analytics solutions support CPG brand sales growth and sustainment regardless of the current conditions of retail. 

George Shemas

George Shemas

Principal at Saama Analytics Client Care organization overseeing its Consumer Goods practice with decades of experience building world-class analytics