Trade Schemes & Secondary Scheme Settlement

Trade schemes are the incentives a manufacturer runs through its channel — slab and quantity schemes, target incentives, display and secondary schemes — and scheme settlement is how the earned value reaches distributors and dealers. Secondary schemes settle on sell-through the manufacturer does not natively hold, which is where most disputes start. These guides cover the scheme types used in India, how secondary schemes settle, and the data and GST documentation each one needs.

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In reading order
  1. Types of Trade Schemes in India: The Complete Guide for Manufacturers and Channel TeamsSlab, QPS, target, display, visibility, tour, gift and secondary schemes — how each type is calculated, settled and taxed, with worked ₹ examples.
  2. Secondary Scheme Settlement & Trade Promotion Agreement Management (India RTM)Secondary scheme settlement in Indian RTM — primary vs secondary schemes, how secondary claims are captured and validated, and GST credit notes.
  3. Scheme Settlement and Claim Documentation Under GST: The Ops PlaybookThe end-to-end paper trail a scheme claim needs to survive a GST audit — from scheme circular to credit note to GSTR linkage — and how to automate it.
  4. Primary, Secondary and Tertiary Sales: What They Mean and Why Your Claims Depend on ThemWhat primary, secondary and tertiary sales mean, where each tier's data lives, how to verify it, and why Indian trade claims settle on secondary data.
  5. Channel Loyalty Programs for Dealers and Distributors: Design, Points and Settlement (India)How channel loyalty programs work in the Indian route-to-market — earn rules, tiers, points economics, redemptions, and the settlement layer underneath.

More in this category

6 articles
Cover illustration for the article: Channel Incentives: The Full Range, Financial and Non-Financial
Trade Schemes & Secondary Scheme Settlement

Channel Incentives: The Full Range, Financial and Non-Financial

Rebates and schemes are only part of how brands influence channel behaviour. The full spectrum of incentives, what each achieves, and what each costs to run.

9 min read

Cover illustration for the article: QPS Full Form in FMCG: Quantity Purchase Scheme, Explained
Trade Schemes & Secondary Scheme Settlement

QPS Full Form in FMCG: Quantity Purchase Scheme, Explained

QPS stands for Quantity Purchase Scheme — a distributor incentive that pays on purchase quantity or value in a period. Definition, worked example, and when it's used.

3 min read

Cover illustration for the article: Designing Slab-Based Volume Incentives for FMCG Distributors (Bronze to Platinum)
Trade Schemes & Secondary Scheme Settlement

Designing Slab-Based Volume Incentives for FMCG Distributors (Bronze to Platinum)

How to design slab-based volume incentive schemes for Indian FMCG distributors — incremental vs retroactive slabs, thresholds, the payout lookup table, Excel.

6 min read

Cover illustration for the article: Supplier, Dealer, Vendor and Trade Scheme Incentives: What's the Difference?
Trade Schemes & Secondary Scheme Settlement

Supplier, Dealer, Vendor and Trade Scheme Incentives: What's the Difference?

Supplier incentive, dealer incentive, vendor rebate, trade scheme — used interchangeably but different things. A clear guide for Indian businesses.

8 min read

Cover illustration for the article: Seasonal Schemes and Liquidation in Agri-Inputs
Trade Schemes & Secondary Scheme Settlement

Seasonal Schemes and Liquidation in Agri-Inputs

How seasonal schemes and liquidation claims work in Indian agri-inputs — schemes timed to Kharif and Rabi, sell-through targets and season-end settlement.

9 min read

Cover illustration for the article: FMCG Trade Schemes Explained: QPS, Slab and Secondary
Trade Schemes & Secondary Scheme Settlement

FMCG Trade Schemes Explained: QPS, Slab and Secondary

The trade schemes Indian FMCG companies actually run — QPS, slab, secondary, display and festive schemes — what each is calculated on and how it settles.

10 min read

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