Using Scanning Data to Measure Price and Promotion Effects

Heide Milde
A C Nielsen (Frankfurt)

There are over 800 stores with scanner equipment in Germany, most of them food stores or food departments in department stores. Some are in drug discounters, the rest in cash and carries. However, these food stores represent only 4–5 per cent of all commodity volume – much less than many other European countries. So, it must be some time before we can create a representative sample.

Nielsen has been using scanning data in Germany for some years now, and the current Scantrack service uses 50 carefully selected stores from twelve different trade groups. But efforts have been concentrated on special analysis, and one of these is called the Nielsen 'Price Promotion Model', which aims to give more detailed information of the results of retailer promotions.