Carrefour and P&G Category Management project - detergents G.Beta - Carrefour L.Girlea - P&G
Joint focus of Trade/Industry Category Management: Joint focus of Trade/Industry to meet Consumer needs
Benefits: For consumer – oriented on his needs, the shopping is easier and more attractive For trade – develop the business, increase efficiency, build profit, attract new shoppers For supplier – consumer oriented, customer oriented, builds on our strength
Principles: Consumer focused Data based Collaborative Openness & trust Total system approach
Joint project Why Detergents? Why P&G? Why Carrefour?
Detergents category: Big number of SKUs Limited shelf space Frequent OOS High turnover Traffic builder
P&G: The biggest supplier in this category Category expertise
Carrefour: The leader in hyper format Consumer oriented Strategic partnership
Objective: Reduce out-of-stock in the category Increase turnover for the category Make the shopping decision easier for Carrefour shoppers
Provided by Carrefour: Resources: Provided by Carrefour: Raw data - Sales and Turnover per item In-store implementation Provided by P&G: Shopper study/shopper profile Shelf technology/expertise
Steps of the process: Category definition/analysis: Detergents: Structure: auto, handwash, special Assortment classifying Volume/value share vs. market Category scorecard
Category scorecard- example Steps of the process: Category scorecard- example Sales Margin Share Detergents Auto 9 kg 6 kg Manual 450g 600g
Steps of the process: Category strategy: Build traffic – increase the number of purchases Build transactions –increase the size of the average transaction Key Measure: Volume share
Steps of the process: Category tactics: efficient assortment Determine the SKUs accounting for 80% of the sales and turnover. Determine the SKUs that are “unproductive” in terms of both sales and turnover
According to shopper decision tree/shopper psychology Steps of the process: Category tactics: efficient shelving According to volume share - determine the right shelf share per category, per size and per SKU According to shopper decision tree/shopper psychology Powered by planograms
Streamlined assortment 15% less SKU’s Out-of-stocks < 7% It really works…!!! Category Streamlined assortment 15% less SKU’s Out-of-stocks < 7% Turnover increase 14 % 60
It really works…!!!
Long term joint business plan Continuous process: efficient pricing Margin Mix efficient promotions Long term joint business plan