Lack of transparency makes it difficult to say how much money changes hands, but the sums are huge. Mr Venturi reckons that a big manufacturing conglomerate might spend the equivalent of up to 25% of gross sales on “trade promotions” of one form or another. Measured from the other perspective, a typical big European retailer might extract the equivalent of 10% of its total revenues via trade spending. For an individual retailer that often means a sum measured in hundreds of millions. At an industry level billions are at stake.
"Lack of transparency" makes it impossible to say what is going on. Hmmm, where have we heard this before? This lack of transparency is what makes the SEC a necessary evil in our country, but what's worse, is that even with the SEC, it is usually only reactive, not proactive. A band-aid on the femoral artery.