How fast a product moves, controlling for differences in distribution. Common measures of velocity are Sales Per Point of Distribution(SPPD) and Sales per Million.
Here’s a post all about velocity:
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Marshall says
Hi. I subscribe to Nielsen AOD and am struggling with understanding/identifying velocity by looking at the following column facts:
$ Sales
$ Sales CYA
Units
Units CYA
ACV
$ SPPD WL
Do I need more facts to determine the velocity? I feel like I am either missing information or missing the link between facts.
Sally Martin says
In AOD, you should have quite a few velocity facts. SPPD is one velocity fact ($ or units or volume) and that is one that you list above. SPPD is sales per point of distribution. Another velocity fact that should be available in AOD is Sales per Million $ ACV ($ or units or volume). Hope this helps.