Communicated discounts (drinks wo alccols) 2017 2016

1. BATTLE SCENES in STORES …..
France January 2018, Intermarche communicates a promotion of Nutella
950Gr for 1,41 € instead of 4,70 €. -70% discount of Immediate discount
Reactions of consumers was massive, uncontrolled, violent. Media broadcast the event, politics commented and
finally the authorities are investigating.
We decided to investigate, across 8 countries, to discover how Communicated Discount (CODI) are used by
Retailers and by Producers.
The results are fascinating:
 There are markets where 85% of the promotions are supported with a CODI
 More than 30 different mechanics have been created by marketing specialists
 Discounts intensity from few % to more than 70%
 Very fine tuned approach by category and type of SKU…
The summery of that study is now available for marketing teams (Industrials or Retailers); they have the
possibility to track innovations, trends, and benchmarks.
The following pages display, as an example, KPI’s of the category drinks without alcohol, for 2017 vs 2016
Communicated discounts, is not a matter of
offering the cheapest deal, but more about
dramatization of the promotions that impact
the irrational part of consumers: this leads to
the PRICE PERCEPTION.

2.  The frequency of the CODI is not correlated with the size of the market. In
Russia and in Slovenia 80% of the promotions in the category drinks w/o
alcohol are supported by a discount.
 Everywhere from year to year the share of supported promo is stable. (maybe
not in Romania, 2018 will confirm if there is a trend)
 In Hungary the CODI are less frequently used
FREQUENCY
Frequency is the ratio of promotions
with a CODI vs all promotions in the
category.

3. Communicated discount could be -3% or -60%. The significant frequencies are showing the most popular levels of
discount per markets. 2017 vs 2016
It clearly shows that from 2016 to 2017 this discounts levels are similar (intensity and frequency), except in Russia
where it grew significantly from -20% to -35 % in one year.
Poland, Hungary, Slovenia and Slovakia have more complex structure of discount intensity, with 3 to 4 significant
levels. When Serbia and Romania a mostly using the same discount value.
INTENSITY
Category (Tous) (Tous) Category (Tous) (Tous)
Nom Year Nom Year
Discount 2016 2017 Discount 2016 2017
-60% 0% 0% -60% 0% 0%
-59% 0% 0% -59% 0% 0%
-58% 0% 0% -58% 0% 0%
-57% 0% 0% -56% 0% 0%
-56% 0% 0% -55% 0% 0%
-55% 0% 0% -54% 0% 0%
-54% 0% 0% -53% 0% 0%
-53% 0% 0% -51% 0% 0%
-52% 0% 0% -50% 1% 0%
-51% 0% 0% -49% 0% 0%
-50% 2% 1% -48% 0% 0%
-49% 0% 0% -47% 0% 0%
-48% 0% 0% -46% 0% 0%
-47% 0% 0% -45% 0% 0%
-46% 0% 0% -44% 0% 0%
-45% 0% 0% -43% 0% 0%
-44% 1% 0% -42% 0% 0%
-43% 0% 1% -41% 0% 0%
-42% 0% 0% Category (Tous) (Tous) -40% 0% 0% Category (Tous) (Tous)
-41% 1% 1% -39% 0% 0%
-40% 1% 1% Nom Year -38% 0% 0% Nom Year
-39% 0% 1% Discount 2016 2017 -37% 0% 1% Discount 2016 2017
-38% 1% 1% -59% 0% 0% -36% 1% 1% -65% 0% 0%
-37% 1% 1% -56% 0% 0% -35% 0% 1% -54% 0% 0%
-36% 1% 1% -51% 0% 0% -34% 1% 1% -50% 1% 0%
-35% 1% 1% -50% 0% 0% -33% 1% 2% -49% 0% 0%
-34% 1% 2% -49% 0% 0% -32% 1% 2% -47% 0% 0%
-33% 6% 5% -48% 0% 0% -31% 2% 2% -46% 0% 0%
-32% 2% 3% -47% 0% 0% -30% 5% 3% -44% 0% 0%
-31% 1% 2% -46% 0% 0% -29% 2% 2% -43% 0% 1%
-30% 3% 3% -43% 0% 0% -28% 1% 1% -42% 0% 0%
-29% 2% 3% -42% 0% 0% -27% 1% 1% -41% 0% 0%
-28% 2% 4% -41% 0% 0% -26% 4% 3% -40% 1% 0%
-27% 2% 2% -40% 0% 0% -25% 5% 8% -38% 0% 2%
-26% 3% 4% -39% 0% 0% -24% 3% 2% -37% 0% 0%
-25% 10% 8% -38% 0% 0% -23% 3% 4% -36% 1% 0%
-24% 2% 3% -37% 0% 0% -22% 3% 4% -35% 1% 1%
-23% 4% 3% -36% 0% 0% -21% 3% 3% -34% 0% 0%
-22% 3% 3% -35% 0% 0% -20% 6% 9% -33% 3% 2%
-21% 3% 3% -34% 0% 0% Category (Tous) (Tous) -19% 3% 2% -32% 1% 0% Category (Tous) (Tous)
-20% 11% 9% -33% 1% 1% -18% 7% 4% -31% 1% 0%
-19% 2% 2% -32% 0% 0% Nombre de Discount Rate Year -17% 9% 10% -30% 4% 2% Nombre de Discount Rate Year
-18% 2% 3% -31% 1% 0% Étiquettes de lignes 2016 2017 -16% 2% 3% -29% 3% 3% Étiquettes de lignes 2016 2017
-17% 3% 3% -30% 1% 1% -60% 0% 0% -15% 3% 3% -28% 2% 0% -59% 0% 0%
-16% 3% 4% -29% 1% 1% -56% 0% 0% -14% 7% 5% -27% 1% 1% -58% 0% 0%
-15% 3% 3% -28% 1% 1% -55% 0% 0% -13% 5% 6% -26% 2% 1% -57% 0% 0%
-14% 3% 3% -27% 1% 1% -54% 0% 0% -12% 4% 2% -25% 8% 3% -56% 0% 0%
-13% 3% 3% -26% 1% 1% -53% 0% 0% -11% 2% 3% -24% 2% 4% -55% 0% 0%
-12% 2% 3% -25% 2% 2% -52% 0% 0% -10% 2% 4% -23% 3% 1% -54% 0% 0%
-11% 3% 2% -24% 1% 2% -51% 1% 0% -9% 1% 2% -22% 3% 4% -53% 0% 0%
-10% 2% 2% -23% 2% 2% -50% 8% 9% -8% 1% 2% -21% 2% 2% -52% 0% 0%
-9% 2% 1% -22% 2% 2% -49% 1% 1% -7% 2% 2% -20% 6% 9% -51% 0% 0%
-8% 1% 1% -21% 3% 2% -48% 0% 0% -6% 1% 1% -19% 3% 2% -50% 1% 1%
-7% 1% 1% -20% 6% 5% -47% 0% 1% -5% 1% 2% -18% 17% 17% -49% 0% 1%
-6% 1% 0% -19% 3% 3% -46% 1% 0% -4% 0% 1% -17% 9% 15% -48% 0% 1%
-5% 1% 1% -18% 3% 4% -45% 0% 0% -3% 1% 1% -16% 2% 3% -47% 2% 2%
-4% 0% 0% -17% 4% 5% -44% 0% 1% -2% 0% 0% -15% 2% 3% -46% 1% 1%
-3% 0% 0% -16% 5% 4% -43% 1% 0% -1% 0% 0% -14% 2% 2% -45% 2% 2%
-2% 0% 0% -15% 5% 5% -42% 0% 1% -13% 3% 5% -44% 1% 1%
-1% 0% 0% -14% 6% 5% -41% 0% 1% -12% 1% 0% -43% 2% 2%
-13% 8% 8% -40% 2% 2% -11% 0% 3% -42% 2% 1%
Category (Tous) (Tous) -12% 6% 6% -39% 0% 0% Category (Tous) (Tous) -10% 5% 5% -41% 2% 3%
-11% 8% 8% -38% 1% 0% -9% 2% 1% -40% 3% 2%
Nombre de Discount analytic É -10% 7% 6% -37% 0% 1% Years Years -8% 3% 3% -39% 4% 3%
Étiquettes de lignes 2016 2017 -9% 5% 5% -36% 1% 0% Étiquettes de lignes 2016 2017 -7% 1% 2% -38% 2% 2%
-61% 0,41% 0,00% -8% 4% 4% -35% 3% 2% -60% 0,01% 0,01% -6% 0% 0% -37% 3% 4%
-59% 0,69% 0,00% -7% 4% 4% -34% 0% 0% -59% 0,04% 0,00% -5% 1% 0% -36% 5% 4%
-57% 0,00% 0,06% -6% 3% 3% -33% 4% 2% -58% 0,01% 0,00% -4% 0% 0% -35% 2% 3%
-55% 0,82% 0,00% -5% 2% 4% -32% 1% 0% -57% 0,08% 0,01% -34% 6% 9%
-53% 0,53% 0,00% -4% 1% 2% -31% 2% 2% -56% 0,03% 0,05% -33% 2% 2%
-52% 0,13% 0,00% -3% 1% 1% -30% 11% 11% -55% 0,11% 0,04% -32% 2% 2%
-51% 0,03% 0,00% -2% 0% 0% -29% 1% 1% -54% 0,12% 0,04% -31% 4% 3%
-50% 0,13% 0,45% -28% 2% 3% -53% 0,06% 0,04% -30% 3% 3%
-49% 0,00% 0,03% -27% 1% 1% -52% 0,20% 0,25% -29% 9% 8%
-48% 0,02% 0,00% -26% 1% 2% -51% 0,19% 0,89% -28% 2% 2%
-47% 0,69% 0,20% -25% 8% 9% -50% 0,63% 1,86% -27% 2% 3%
-43% 0,68% 0,03% -24% 1% 1% -49% 0,25% 0,77% -26% 1% 2%
-42% 0,15% 0,17% -23% 6% 5% -48% 0,52% 0,54% -25% 4% 4%
-41% 0,02% 0,00% -22% 4% 6% -47% 0,44% 0,55% -24% 5% 5%
-40% 0,35% 0,51% -21% 2% 3% -46% 0,37% 1,68% -23% 2% 2%
-39% 0,68% 0,00% -20% 13% 12% -45% 0,53% 1,74% -22% 5% 5%
-38% 0,16% 0,03% -19% 2% 1% -44% 0,47% 1,09% -21% 0% 1%
-37% 1,50% 0,14% -18% 1% 3% -43% 1,08% 2,10% -20% 12% 11%
-36% 0,68% 0,17% -17% 2% 1% -42% 1,02% 2,17% -19% 1% 0%
FREQUENCY of discount values SEEN (distribution) 2017 vs 2016 for drinks wo Alcool (details of sub cataegories in drop menu)
0%
2%
4%
6%
8%
10%
12%
-70% -60% -50% -40% -30% -20% -10% 0%
POLAND
2016 2017
0%
2%
4%
6%
8%
10%
12%
-70% -60% -50% -40% -30% -20% -10% 0%
HUNGARY
2016 2017
0%
1%
2%
3%
4%
5%
6%
7%
8%
9%
-70% -60% -50% -40% -30% -20% -10% 0%
SERBIA
2016 2017
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
20%
-70% -60% -50% -40% -30% -20% -10% 0%
CROATIA
2016 2017
0%
2%
4%
6%
8%
10%
12%
14%
-70% -60% -50% -40% -30% -20% -10% 0%
SLOVENIA
2016 2017
0%
2%
4%
6%
8%
10%
12%
14%
-70% -60% -50% -40% -30% -20% -10% 0%
SLOVAKIA
2016 2017
0%
5%
10%
15%
20%
25%
-70% -60% -50% -40% -30% -20% -10% 0%
ROMANIA
2016 2017
0%
1%
2%
3%
4%
5%
6%
7%
8%
-70% -60% -50% -40% -30% -20% -10% 0%
RUSSIE
Série1 Série2
-25%
-20%
-50%
-15%
-30%
-20%
-20%
-50%
-10%
-30%
-20%
-33%
-10%
-35%
-20%
Intensity is the frequency distribution of
CODI by values.
Slovenia is the market where very aggressive
discounts (-50%) are significantly used in the
category Drinks without alcohols.

4. CREATIVITY
There are more that
30 ways to
communicate a
discount to a
costumers. Creativity
measure the
frequency of each of
them.
An average of 13 are
used in the category
drinks without
alcohols.
Marketers of Hungary
are the most creative
with 15
SLOVAKIA SLOVENIA
CAT ENG (Tous) ENGLISH (Tous)
Communicated Discount Years Communicated Discount Years
Types 2016 2017 Types 2016 2017
Price discount (loyalty card or not) 46,27% 46,07% -0,20 pts Price discount 39,83% 36,44% -3,39 pts
Crossed price 36,09% 36,51% 0,42 pts Discount on loyalty card 27,96% 31,47% 3,52 pts
Special price 2,94% 6,20% 3,26 pts Virtual wallet 17,19% 18,71% 1,52 pts
out of which X pcs for free 5,12% 4,74% -0,38 pts crossed price 3,16% 4,07% 0,91 pts
Discount on loyalty card 2,96% 3,26% 0,29 pts Other VL 3,40% 3,05% -0,35 pts
other virtual discount 3,37% 1,08% -2,30 pts Lottery/ Games 1,95% 1,64% -0,31 pts
Lottery/ Games by Retailer 0,58% 0,90% 0,32 pts Gratis "added" (AD) 2,25% 1,38% -0,87 pts
Gifts 0,71% 0,51% -0,20 pts coupon 1,57% 1,28% -0,30 pts
Lottery/ Games 1,53% 0,36% -1,17 pts Gifts 1,43% 0,82% -0,61 pts
1+1 gratis 0,36% 0,36% -0,01 pts Gratuities 0,22% 0,70% 0,48 pts
Instant discount + virtual lot 0,06% 0,02% -0,04 pts Special price 0,38% 0,21% -0,17 pts
1+1 gratis 0,45% 0,14% -0,31 pts
Loyalty points 0,21% 0,09% -0,12 pts
CROATIA SERBIA
CAT ENG (Tous) CAT ENG (Tous)
Communicated Discount Years Communicated Discount Years
Types 2016 2017 Types 2016 2017
Price discount 73,38% 71,97% -1,40 pts crossed price 46,57% 47,07% 0,51 pts
crossed price 16,19% 23,06% 6,86 pts Price discount 30,32% 33,74% 3,43 pts
Discount on loyalty card 2,12% 1,15% -0,97 pts Gratuities 14,98% 12,51% -2,48 pts
Gratis "added" (AD) 1,30% 0,85% -0,45 pts Discount on loyalty card 2,35% 3,66% 1,31 pts
Lottery/ Games 0,47% 0,73% 0,26 pts Other VL 2,53% 1,57% -0,96 pts
coupon 0,56% 0,69% 0,13 pts Gratis "added" (AD) 1,28% 0,91% -0,36 pts
Loyalty points 0,05% 0,61% 0,56 pts Lottery/ Games 0,81% 0,22% -0,59 pts
Other VL 1,74% 0,46% -1,28 pts Gifts 0,82% 0,16% -0,66 pts
Gratuities 0,36% 0,37% 0,01 pts coupon 0,03% 0,05% 0,02 pts
Gifts 3,30% 0,06% -3,23 pts Loyalty points 0,16% 0,05% -0,11 pts
1+1 gratis 0,00% 0,03% 0,03 pts Vouchers and stickers 0,04% 0,03% -0,01 pts
Special price 0,15% 0,02% -0,12 pts Special price 0,09% 0,02% -0,07 pts
Vouchers and stickers 0,38% 0,00% -0,38 pts 1+1 gratis 0,02% 0,01% -0,01 pts
Happy hours 0,01% 0,00% -0,01 pts
HUNGARY POLAND
CAT ENG (Tous) CAT ENG (Tous)
Communicated Discount Years Communicated Discount Years
Types 2016 2017 Types 2016 2017
Price discount 30,24% 29,96% -0,29 pts crossed price 45,83% 38,92% -6,91 pts
Crossed price 28,53% 27,63% -0,90 pts Other VL 22,43% 25,42% 2,99 pts
Other VL 18,11% 16,59% -1,52 pts Price discount (loyalty card or not) 21,46% 24,16% 2,70 pts
Special price 8,60% 9,09% 0,49 pts Lottery/ Games 4,29% 3,60% -0,69 pts
Lottery/ Games by Retailer 1,46% 4,12% 2,66 pts Discount on loyalty card 1,13% 2,18% 1,05 pts
Loyalty points 0,00% 4,02% 4,02 pts Gratis "added" (AD) 1,49% 2,06% 0,57 pts
Gifts 4,92% 3,49% -1,43 pts Gifts 0,26% 1,61% 1,34 pts
Discount on loyalty card 2,14% 2,05% -0,09 pts Virtual wallet 2,20% 1,19% -1,01 pts
Lottery/ Games by Producer 1,01% 1,57% 0,56 pts Loyalty points 0,07% 0,30% 0,23 pts
Gratis "added" (AD) 4,23% 0,86% -3,36 pts 1+1 gratis 0,56% 0,30% -0,26 pts
Happy hours 0,23% 0,25% 0,02 pts Money ticket 0,24% 0,24% 0,00 pts
coupon 0,23% 0,23% 0,00 pts coupon 0,00% 0,02% 0,02 pts
1+1 gratis 0,19% 0,08% -0,11 pts Gratis "including" (IN) 0,02% 0,01% -0,01 pts
Gratis "including" (IN) 0,10% 0,05%
Buy back 0,01% 0,00%
RUSSIA ROMANIA
Category (Tous) Category (Tous)
Nombre de Cons Adv EN Year Nombre de Consumer advantage Years
Étiquettes de lignes 2016 2017 Étiquettes de lignes 2016 2017
Crossed price 54,59% 62,40% 7,81 pts Crossed price 45,92% 51,07% 5,15 pts
Price discount (loyalty card or not) 34,21% 27,64% -6,57 pts Gifts on pack 12,12% 17,89% 5,78 pts
Lottery/ Games 2,60% 3,31% 0,70 pts X% From the 2nd product (identical or not) 6,17% 11,18% 5,01 pts
Other VL 4,46% 2,88% -1,58 pts Gratuities 10,04% 5,71% -4,33 pts
Special price 0,90% 1,65% 0,75 pts Special price 13,18% 4,39% -8,78 pts
Happy hours 1,86% 1,52% -0,34 pts Other VL 1,27% 2,30% 1,03 pts
1+1 gratis 0,27% 0,44% 0,17 pts Lottery/ Games 1,38% 2,16% 0,78 pts
coupon 0,18% 0,08% -0,10 pts Money ticket 0,76% 1,82% 1,06 pts
Gratis "added" (AD) 0,56% 0,03% -0,53 pts Price discount (loyalty card or not) 4,51% 1,82% -2,69 pts
Gratis "including" (IN) 0,24% 0,03% -0,21 pts Loyalty points 4,53% 1,52% -3,01 pts
Loyalty points 0,07% 0,01% -0,06 pts 1+1 gratis 0,08% 0,14% 0,06 pts
Gifts 0,06% 0,01% -0,05 pts Cupon 0,06% 0,00% -0,06 pts
Type of Communicated Discount per countries for non alcoolics drinks (share 2016 /2017 ) details by sub categories in drop menu

5. COMPLEXITY
Crossed Price
Game & lottery
Loyalty points
Special Price
There are no limits to the commercial
aggressiveness! A single promotion can cumulate
2, 3 or more discounts. This is what complexity
shows.
SHARE of Promo supported by 1 , 2 , 3 or more mechanisms of communicated discount 2017 vs 2016
50% 60% 70% 80% 90% 100%
2016
2017
HUNGARY
1 2 3 4 5
50% 55% 60% 65% 70% 75% 80% 85% 90% 95% 100%
2016
2017
SERBIA
1 2 3
50% 60% 70% 80% 90% 100%
2016
2017
CROATIA
1 2 3
50% 55% 60% 65% 70% 75% 80% 85% 90% 95% 100%
2016
2017
POLAND
1 2 3
50% 55% 60% 65% 70% 75% 80% 85% 90% 95% 100%
2016
2017
SLOVENIA
1 2 3
50% 60% 70% 80% 90% 100%
2016
2017
SLOVAKIA
1 2 3 4
50% 60% 70% 80% 90% 100%
2016
2017
RUSSIA
1 2 3
50% 60% 70% 80% 90% 100%
2016
2017
ROMANIA
1 2 3 4
Four cumulated discount seen in Hungary.
Slovakia, Poland and Hungary are use to
combine many discount mechanisms.

6. LEARN MORE about COMMUNICATED DISCOUNT ?
Frequency, Intensity, Creativity, Complexity: 4 insights that gave us a global view how Communicated discounts are
used in the category drinks without Alcohol in 8 countries.
Now it time to go deeper in this analyse:
 What says these Insights for waters? For carbonated drinks? For Juices? For energy drinks?
 What are the retailer’s practices of using communicated discounts?
 What are the brands the most creative? The most aggressive?
 Others categories?
 Your specific market or global?
 Want to receive Discount Alerts as soon as they are published?
If your consider the Communicated Discount as a impacting factor of your promotions, take the advantage to learn
more about them. Send me your brief by mail at bernadett.ludanyi@hiper-com.com .
STUDY SUMMERY
Intermarche’s January promotions have been much in the news. But result in a
significant gain of market share for the brand, on the P2 (from January 22 to
February 18), the brand Intermarche gained 0.6 point of market share, 13.9%
according to the latest survey of Kantar World panel. This extraordinary gain is
explained by the success of operations "the 4 cheapest weeks in France", and
the famous promotions on Nutella, Pampers diapers, or even Perrier, sold at -
70%.
Kantar World panel summarized 2017 promotions. The promotion thus weighs
14.6% of French spending, or 11.8 billion euros (+ 3.5% year on year).
Above all, "the promotion contributed to at least 45% of the 2017 market
share gains of the U, E Leclerc and Intermarche brands, with a gain of 0.7
points in cumulative market share for these 3 banners," said the panellist.
COMPLEXITY
FREQUENCY INTENSITY
CREATIVITY