One of the most common and powerful measures of distribution productivity. $/TDP (sales per distribution point, also known as velocity) measures the sales per point of distribution for a given product. When looking across product groups with differing distribution levels, $/TDP accounts for the distribution and ranks products on their sales productivity based on distribution levels. For example, one brand might sell 2 times more than another brand, but if the higher selling brand has 3 times the distribution levels, then it is actually a less productive brand on shelf.
Dollars per TDP (velocity)
$/TDP (sales per distribution point, also known as velocity) measures the sales per point of distribution for a given product.
Velocity is the measure of sales per distribution point. Use this measure to tell retailers how you will perform with an increase in distribution.
Distribution is made up of all the SKUs your brand offers multiplied by each store selling.
Total distribution points (TDP)
TDP looks at how many stores a particular item is in and the sales of those stores to identify the reach of the item.