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DSD – The Challenges and Benefits of DSD Delivery for Retailers and Suppliers
Moderator, Marc Hubbard, VP US Client Services, Advantage Group International, [email protected]
Today’s Objectives
• Learn what retailers say their highest priorities are.
• What some of the best in class behaviors and traits of DSD suppliers are.
• The panel of experts will discuss the opportunities and challenges in managing a successful DSD business.
Your Panel
• Moderator: Marc Hubbard – US Country Manager, The Advantage Group International, [email protected]
• Panelist: Paul Avampato – VP Operations and Supply Chain, Mondelēz International
• Panelist: Sanjeev Gokhale – Group Director, Customer Supply Chain, The Coca-Cola Co
• Panelist: Brian Sikkema – Divisional Vice President, Merchandise Planning/Inventory Management, Meijer, Inc.
Retailers Top DSD Priorities
• Effectively communicates with key store personnel and lives up to commitments
• Links programs to reinforce important store themes and holiday events
• Meets needs for space management through plan-o-grams, shelf analysis
• Makes selling recommendations that benefit total store sales
• Manages inventory levels for minimal out-of-stocks
• Provides timely peak period replenishment
Source 2016 Advantage Report™ USA
Retailers Top DSD Priorities
50 55 60 65 70 75 80 85
Links programs to reinforce important store themes andholiday events
Makes selling recommendations that benefit total storesales
Meets needs for space management through plan-o-grams, shelf analysis
Effectively communicates with key store personnel andlives up to commitments
Provides timely peak period replenishment
Manages inventory levels for minimal out-of-stocks
Importance to the Retailer
Importance to the Retailer
Source 2016 Advantage Report™ USA
0 = unimportant, 100 = Critical
Retailers Top DSD Priorities
50 55 60 65 70 75 80 85
Provides timely peak period replenishment
Manages inventory levels for minimal out-of-stocks
2016 2015 2014
Source 2014 - 2016 Advantage Report™ USA
0 = unimportant, 100 = Critical
What does Best-in-Class look like? Manages inventory levels for minimal out-of-stocks
• “…they have still done a good job of ensuring in-
stock conditions, especially during an extreme sales week, such as holidays”
• “…they will come back in to ensure we are serviced later in the day if it is going to be a high-volume category. They treat us very well and the benefit is customer satisfaction and greater sales.”
Source 2014 - 2016 Advantage Report™ USA
What does Best-in-Class look like?
Provides timely peak period replenishment
• “On a big weekend, we can call merchandising about getting some extra displays in and Supplier X is always willing and available to help us position for incremental sales.”
Source 2014 - 2016 Advantage Report™ USA
Brian Sikkema - Meijer
What is the biggest challenge you face with DSD suppliers?
Paul Avampato – Mondelez, Sanjeev Gokale – Coca-Cola
What is your biggest challenge in servicing a Retailer?
All
What do you see as the benefits of a DSD model vs. warehouse?
All
Please share an example of how you worked with your trading partner to improve the business which others should replicate?
Paul Avampato – Mondelez, Sanjeev Gokale – Coca-Cola
What is the one thing you would like Retailers to do more of that you believe would help you and the retailer grow the business faster?
Brian Sikkema - Meijer
What is the one thing you would like suppliers to do more of that you believe would help you and the supplier grow the business faster?
All
Audience Questions
Your Panel
• Moderator: Marc Hubbard – US Country Manager, The Advantage Group International, [email protected]
• Panelist: Paul Avampato – VP Operations and Supply Chain, Mondelēz International
• Panelist: Sanjeev Gokhale – Group Director, Customer Supply Chain, The Coca-Cola Co
• Panelist: Brian Sikkema – Divisional Vice President, Merchandise Planning/Inventory Management, Meijer, Inc.
DSD – The Challenges and Benefits of DSD Delivery
for Retailers and Suppliers