Range Capacity Refresh

Smiths News

Supply Management – Range Capacity Refresh

Current Range Capacity Bands

Band

Number of

titles

Number of

Customers

Platinum 600+ 104

Gold 400-599 190

Silver 200-399 1153

Bronze 51-199 3472

Lite <50 1002

Background – Current Offer The Range Capacity Retailers are allocated to a promotional range grade: Retail Type Convenience, CTN, Forecourts and High Street Regional Area North, South, Midlands, Wales and London No. of Titles 14 individual classifications, from less than 50 titles, up to +600 titles Retail Classification The retailers are classified under 5 segments: Platinum - +600 titles Gold 599 to 400 titles Silver 399 to 200 titles Bronze 199 to 51 titles Lite <50 titles

Rationale for Refresh Thresholds for banding have remained consistent

over time despite retail space declining Current Range Capacity approach only considers

number of titles in store and not RSV of stores range

Review frequency of ranges per band - the need

to refresh retailer ranges more frequently to adapt and reflect to market segment performance and drive sales in store

Refresh of Range Capacity Banding Re-banding of customers into segments based not

only on titles, but also RSV Review approach to reflect the change in retailer

dynamics

Band Number of Titles RSV Review Period

Platinum 401+ £1601+ 3 Times per Year

Gold 201-400 £801+ Twice per Year

Silver 101-200 £401+ Every 9 months

Bronze 51-100 £50+ Annual Refresh

Lite 0-50 <£50 Annual Refresh