It’s all about rotations!

3-4% Gross Margin

Loss Leadership brands. Negligible margins

Focus on selling the whole stack

RoI = Income = Net Margins x Rotations Investment

Disruption needs rethinking the whole mix!

Wheel today: Rs. 2,000 Crore Brand.

“Operation STING” Critical Success Factors: Relevant consumer insight, optimum supply chain & wide distribution reach

Outsourced manufacturing & distribution

Sustained growth driver for the company

“HUL profit rises 18% on home, personal product segments” Jul 2011

Distribution Initiatives: Bifurcation, Key Account Network, Diamond Model

Field Sales measured on “Quality of Contribution (QOC)”

Assurance of Quality & Reliability

Consumers insist on Intel processor

~70% of assemblers use an Intel motherboard too! 30-40% more expensive

Tata = Trust!

Changing a watch battery, every so often

Titan batteries are ~60-80% premium

Customers insist on brand, even outside the company stores

Key Learnings

The New Way of Distribution

People will forget what you said, people will forget what you did but people will never forget how you

made them feel !

Maya Angelou

Embrace technology… there is no getting away!

Invest in the next wave and harness full benefits

Compute, connect & collaborate