RGM Institute

Glossary

The Glossary below provides clear definitions of key terms used in Revenue Growth Management (RGM), helping you better understand essential concepts, strategies, and metrics that drive top-line growth and optimize profitability. This resource is designed to simplify complex RGM terminology, empowering businesses to make informed decisions on pricing, promotions, and product assortments.

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S

S&T Tree
Theory of Constraints Strategy & Tactics Tree

SALC
Sales into Customer

Sales
Occurs when a product is bought by a shopper

Sales (function)
The collection of people selling goods to customers

SALI
Incremental Sales

SALL
Sales Lost

SALO
Sales out of Point-of-Sale

SALP
Promoted Sales

SALPP
Price Promoted Sales

SALS
Subsidized Sales

SALT
Sales Target

SALU
Unpromoted Sales

SALZ
Number of days with low sales

SAM
Serviced Available Market

SAVL
Stock Availability

SCC
Supply Chain Cost

SCDA
Supply Chain Downside Adaptability

SCRAP
Scrapped Units

SCUA
Supply Chain Upside Adaptability

SCUF
Supply Chain Upside Flexibility

Service lead time
The time in which a customer must be served

Service level
The desired level of performance in terms of ordered and received stock

Services
The non-material offering shoppers buy

SG&A
Sales, General and Administrative Cost

Shallower price
A term used to denote a price that is more than a promited price being compared to

Shed
See "Warehouse"

Shelf
The mechanism of display used in brick-and-mortar stores to present products for sale

Shopper
The person buying products

Shopper mission
Relates to when and how the sale will occur in lieu of a consumption occasion

Short range elasticity
The near term impact on demand when increasing price by 1%

SIC
Stock in Trade (i.e. Customer)

SICA
Stock in Trade Aging

Six Sigma
A methodology to enhance system reliability through reducing variability

SKU
See "Stock Keeping Unit"

SLOB
Slow moving and obsolete stock

SLOC
Location of Business

Slot
See "promotion slot"

SMART
Specific, Measurable, Achievable, Realistic & Time Bound

SOM
Serviced Obtainable Market

SOS
Stock-out at shelf Flag

SOVI
Share of visible inventory

SSCA
Theory of Constraints Supply Chain Synchronization Application

Star competitor
Star competitors have superior market share at premium pricing.

Steady state elasticity
The long term impact on demand when increasing price by 1%

Stock
See "Inventory"

Stock build
The process in which customers buy-in more stock than currently needed in preparation for a future event or promotion

Stock Keeping Unit
See "Product"

Store format
See "Banner"

STX
Sales Transaction Count

Substitution
Occurs when one product is sold and used in place of another without loss of utility

Super premium price
Prices above the 90% mark on the indexed price ladder

SURP
Surplus Orders

SWOT
Strenths, Weaknesses, Opportunities, Threats