Glossary/Retail Media & Commerce/Trade Promotion
Retail Media & Commerce
Trade Promotion
Incentives a manufacturer funds with retailers, such as price discounts, displays, or feature ads, to boost sales of its products.
By Brandon Mina·CEO, BrandPilot AI·Updated November 2026
Short answer
A trade promotion is an incentive a manufacturer funds with retailers to boost sales of its products. Common forms include temporary price reductions, in-store displays, feature ads in circulars, and volume discounts. Trade promotions are often among a consumer goods company's largest expenses, so measuring their return is a major focus.