What it is
Weighted Distribution measures the breadth of distribution, that is in how many store the brand is available.
Total Distribution Points (TDP) factor in the depth of the distribution, and thus shows a more complete picture in measuring the weighted distribution of all SKUs a brand has.
How to use
Helps to answer following business questions:
- Why is brand’s volume down when weighted distribution is unchanged? One reason can be that retailers delisting specific SKUs, causing a decline of TDP.
- Did new items add to a brand or are they being swapped out? Increasing TDP indicated incremental listings.
What to consider
Generally, TDP are calculated on weighted distribution, but numeric distribution can be used as well.
In taking into account competition, assortment shares can be calculated.