As per the trading terms Philip Morris will be using the 10% variance for scan v purchase tolerance when they put together the Q2 2020 grade and share tier results.
Terms have been in place for a full year and PML had been generous in allowing a 30% variance during this period.
Confirmation on the remaining 2 tasks for PML trading term grading for Q2.
Task 4 – Commencing Monday 11th May
Task 5 – Commencing Monday WC 18th May
PML have lowered the TMC share tiers in Tasmania for Q2 2020:
Tier 1 – 45%+
Tier 2 – 40%-45%
Tier 3 – 35%-40%
Tier 4 – 35% and below
Please be advised that it was identified that some stores did not receive the promotional off invoice component from BAT this week.
BATA will be organising back payments for all outlets impacted.
Promotions changes for next week can be found on the TSG website under “promotions”.
The first education module goes live for retailers from Monday which can be accessed from the myBAT portal.
The education module forms part of the “More for More” element in your BATA Trading Terms and will enable you to unlock additional investment opportunities if you successfully complete the program.
These E-learning modules will be released on a quarterly basis and retailers are required to achieve 80% on the module quiz to unlock their ‘More for More’ element each quarter. For more information go to the “promotions” for the short presentation.
Recently you may have noticed some changes under the “My Promotional Capping” tab in the MyBAT portal. The new change includes a simpler format for stores to understand their capping and manage purchases accordingly.
OLD Capping Model:
Stores were provided with their promotional capping, for all products, periodically from BATA. The capping only applied to the deferred component of the promotional amount for that product. If a store was to order above the capping quantity, they would still continue to receive the off Invoice component of the promotion.
New Capping Model: On-Invoice Capping
Stores are now provided with an “on-Invoice Capping” amount for each product that is on promotion. This capping will apply to both the Off-Invoice and Deferred component of a promotion. Stores will not be paid any part of the promotional amount on purchases above the “On-Invoice Capping”.
Please note the capping has currently been increased by 50% as part of a mitigation plan due to the COVID-19 outbreak. As always, promotional terms and conditions apply and can be located at the bottom of the promotional activity sheet.