Ranking (SAP Library - Customer Segmentation with Partners)

Ranking

Use

Ranking is an optional function that allows the allocation planner to classify the business partners in the allocation list by priority.

Ranking is used after the allocations have been calculated for all products for all selected business partners. Once allocation quantities have been determined for all products, the selected business partners are ranked according to the allocated quantity. The business partners will then be classified as either priority one or priority two.

Note
Ranking is performed per target group. If you have more than one target group assigned to a marketing campaign, you are not able to perform ranking across these different target groups. However, the facility to rank separately per target group means for example that within a given allocation, you could rank target groups by different criteria. Note that if you do not specify ranking for a target group, the business partners in this group are automatically priority one.

Example
Assuming, for example, that you have two target groups attached to a campaign, you could rank the first target group by setting a budget limit, and the second by setting a quantity limit. Equally, you could choose to specify ranking for the second target group only.

Prerequisites

You define the priorities to be assigned to business partners in Customizing for Customer Relationship Management under Marketing ® Marketing Planning and Campaign Management ® Allocation Planning ® Define Priorities.

Features

Having determined the product quantities for the relevant business partners, the list of business partners can be sorted by product quantity. Ranking can be based on different criteria. It could for example be based on the sales history for the business partner, that is, the more the business partner sells, the more likely it is that they will be prioritized over other business partners.

The ranking method is determined dynamically based on the current parameter settings.

There are three ranking methods: budget, penetration, and quantity.

Budget:
This method assigns priority one to all business partners until a prescribed budget is reached. The remaining business partners are assigned to priority two.

Penetration:
This method assigns priority one to all business partners until a prescribed penetration percentage (for example, % of stores relative to total list) is reached.

Quantity:
Assigns priority one to all business partners until a prescribed quantity is reached. The remaining business partners are then priority two.

Graphic: Example of Ranking for Allocation Planning

This graphic is explained in the accompanying text