Transforming Trade Promotion Management at Hershey through Strategic Collaboration with PwC and SAP

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Key Takeaways

⇨ The Hershey Company modernized its Trade Promotion Management processes by transitioning to a cloud-based solution built on SAP technology, focusing on scalability and user adoption to avoid inefficient workarounds.

⇨ The collaboration between Hershey, PwC, and SAP led to a seamless integration of the new TPM system into Hershey's existing environment, resulting in significant improvements in trade spend efficiency and operational incidents.

⇨ Engaging PwC's Managed Services team post-deployment ensures continuous optimization of the TPM platform, driving long-term stability and enabling Hershey to focus on strategic initiatives while adapting to market changes.

To maintain its competitive edge in a fast-changing consumer goods market, The Hershey Company recognized the need to modernize its enterprise-wide Trade Promotion Management (TPM) processes. Facing an impending ERP upgrade and operating with fragmented legacy systems, Hershey aimed to transition to a smoother, cloud-based solution that could scale with the business and deliver stronger insights. PwC was selected as a strategic alliance based on its deep experience in TPM transformation and SAP implementations, with SAP playing a core role in the underlying technology platform. 

Building a Scalable, User-Centric TPM Platform 

The collaboration began with the design and implementation of a next-generation TPM platform built on SAP technology. This solution offered enhanced scalability, better integration, and advanced analytics capabilities. PwC, Hershey, and SAP emphasized user adoption as a core objective. By leveraging SAP’s in-memory database technology and focusing on intuitive design, the team built a user-friendly platform capable of handling growing data complexity without compromising performance. This helped avoid the common pitfall of the “adoption spiral of death,” where clunky systems can lead users to develop inefficient workarounds. 

Smooth Integration and Real-Time Customization 

PwC also led the integration of the new TPM system into Hershey’s existing SAP S/4HANA environment, enabling seamless data flow and consistency across the enterprise. Throughout the build, the teams worked in close coordination with SAP to develop custom features tailored to Hershey’s specific trade needs. These customizations not only helped to improve Hershey’s ability to merchandise effectively with retail partners but also influenced SAP’s standard TPM product roadmap—making the solution stronger for future adopters. 

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Managed Services for Continuous Optimization 

After the platform’s deployment, Hershey engaged PwC’s Managed Services team to manage the day-to-day operations of its TPM environment. This collaboration provides ongoing support, including stabilization, issue resolution, and enhancements. For example, PwC introduced an automated process for reorganizing product hierarchies, improving operational efficiency and reducing manual intervention. This one-team approach has been instrumental in helping drive continuous improvement and maintaining system performance over time. 

Measurable Business Impact 

The TPM transformation has produced significant results. Hershey improved trade spend efficiency by more than 700 basis points and now operates with approximately 99.5% forecast accuracy in trade investment planning. Operational incidents dropped by over 50%, freeing up internal resources and enabling employees to focus on higher-value initiatives like customer engagement and loyalty programs. The platform’s analytics capabilities also allow Hershey to execute more targeted and effective promotions, benefiting the company, its retail partners, and consumers alike. Additionally, the new tools support stronger financial decision-making and helping drive sustained customer ROI growth. 

A Platform for Future Innovation 

Hershey’s TPM transformation illustrates how a strategic, collaborative approach to technology modernization can unlock lasting business value. The ongoing collaboration between Hershey, PwC, and SAP continues to fuel innovation, enabling the company to be well-positioned for future growth in a highly dynamic and data-driven market. 

What this means for SAPinsiders 

User-centric design drives adoption and long-term value. Designing enterprise platforms with the end user in mind is essential for successful adoption and sustained impact. A user-friendly, intuitive system can reduce the need for manual workarounds and increases engagement across teams. By focusing on usability from the start, organizations can enhance time-to-value, avoid costly implementation pitfalls, and confirm that the technology becomes a seamless part of daily operations, ultimately driving greater efficiency and long-term business performance. 

Integrated systems can improve data accuracy and decision-making. Integrating new platforms with core systems, such as SAP environments, enables better data accuracy, streamlined operations, and improved cross-functional collaboration. A unified digital infrastructure enables organizations to make real-time, data-driven decisions with confidence. This level of integration can support more precise forecasting, effective financial planning, and greater operational agility—key capabilities for businesses navigating rapid change and increasing complexity in today’s digital landscape. 

Managed services sustain system performance and business agility. Engaging a managed services team post-implementation helps maintain platform stability, drive enhancements, and reduce system incidents over time. This approach helps internal teams to focus on strategic priorities while confirming the technology continues to evolve with business needs. With dedicated support, organizations can improve uptime, enhance user experience, and continuously refine processes to adapt to changing market conditions—turning technology into a dynamic asset rather than a static tool. 

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