CPG manufacturers in 2020 are vulnerable to the risk of discontinuation, but it’s possible to identify risk in advance, and avoid it.

Infographic: How to Identify & Avoid Risk of Discontinuation

Bedrock Analytics

by Bedrock Analytics

August 17, 2020

Getting your product on store shelves is always an exciting experience, but the real challenge is making sure it stays there. Between uncertain economic stability and increased retail volatility, CPG manufacturers in 2020 are particularly vulnerable to the threat of discontinuation. 


The good news is that specific warning signs can help indicate which brands are at risk. By identifying these signs in advance, you can adjust your sales strategies to reverse your fortunes and maximize your brand’s value to retailers.

To assist, we’ve created an infographic exploring these warning signs in detail. You can download it right here, print it out and tack it up on your wall. But in short, here are the red-flag trends to watch for…

1. Slowing Sales Velocity

Sales velocity tells us how quickly products “move” once they become available on store shelves, typically measured in units per store per week. When sales velocity falls below category benchmarks, it’s one of the strongest signs your product might be at risk of discontinuation.

2. Decreased Market Share

We can expect falling sales during a recession, and you shouldn’t necessarily fear discontinuation when they occur. On the other hand, decreased market share means your products are underperforming compared to other items in the same category.

3. Unbalanced Product Promotion Presence

A well-timed promotion can increase sales and drive incremental revenue, but there is such a thing as too many promotions. Brands that rely too heavily on promotional discounts tend to lower margins for retailers, impacting their bottom line.

How to Avoid Discontinuation

None of these challenges are insurmountable, but identifying them is the first step in turning your prospects around. With Bedrock Analytics, you can closely monitor product performance and market trends — and utilize automated recommendations for boosting performance. Download the infographic now (no form to fill out!), and if you have not yet watched the recording of our most recent webinar, How To Identify Risk of Discontinuation, it contains a wealth of information about maintaining, and growing, market share amidst challenging market conditions. 

To learn more about the Bedrock platform, you can book a Bedrock demo, or start your Free Bedrock Trial, Powered by Nielsen to see our software in action!