Increased market share by 3pp in fragmented
trade through an innovative customer segmentation and route-to-market approach.
Mature and highly-sophisticated beverage
market. Channels dominated by a few strong players with high presence of
exclusivity agreements. While historically focusing on key accounts and
improving efficiency, the client had neglected a significant part of the
fragmented market and failed to capture the full market potential. In addition,
changing demographics had made it very difficult for the client to address
evolving market requirements.
A joint effort with the client was used to
manage the project’s high complexity. In-depth market analysis, which included
customer and distributor interviews and sales force and delivery route-ridings,
provided clear insights from the market, especially into its specific mechanics
and requirements. The outside-in approach made it possible to perform a
pertinent customer-oriented segmentation and to provide comprehensive
recommendations on how to capture a significant part of the market potential.
A new segmented route-to-market system was
implemented, including newly-defined service levels for each customer segment
as well as new processes to be followed regarding sales development,
merchandising, order taking, point-of-sale fulfillment, and administrative
tasks. Key delivery aspects were also addressed, including a reviewed minimum
drop size policy and the newly-defined role of third-party
distribution. In addition, all relevant enablers, including organizational
structure, IT system requirements, trade marketing support, performance
indicators, etc., were clearly outlined in the final plan.