ROLE OF TRADE Act as a Bridge for the Manufacturer to deliver Products to end consumer. By Selling / Merchandising the Products, It helps the manufacturer to promote brands.
TRADE STRUCTURE / TRENDS Better Educated & Knowledgeable Professional Attitude Demand Quality products because of Globalization Emerging of Retail Chains ( IMT/LMT) Non-Distributive Channel is growing Rural Trade is expanding W/s dominance is diminishing Share of Channel
CHANNEL SHARE PERIOD WHOLESALE RETAIL Decade Back 70% 30% Current Cont 40% 60% Expected Future Share Decline Growth THE PENDULUM OF POWER Power is shifting from supplier to trade. Trade Margins / Terms / Incentives. Enhanced Services. Automated ordering system according to need.. Credit terms. Special Merchandising Sanctions - SBM
SUPPLIER TRADE
JUMP SHIFT IN SELLING STANDARDS SALES MANAGEMENT CHANGE IN PENDULUM OF POWER D E M A N D TRENDS IN SALES MANAGEMENT FROM TO Tell, Not Sell Consultant Individual Teams Sales Volume Sales Productivity Transaction Relationships Management Leadership Manipulative Motivational Deal Focus Strategy Focus Inflexibility Flexible but Measured Short Term Short & Long Term Local Global TRENDS IN MARKETING Description Old New Future Focus Product Customer Way of doing business Strategy Telling & Selling Integrated Marketing Mix Knowledge & Experience End Profit Value Mutually Beneficial Relationship Marketing is Selling A Function Everything CHANGING CONSUMER
Consumers are Changing : - Disposable Income - Shift in lifestyles - Health awareness - Consumer democracy
USP Purchasing Excellence Marketing & Sales Excellence Manufacturing Excellence BUSINESS EXCELLENCE UNPRODUCTIVE CALLS DISTRIBUTION COST EXPENSES DEPENDENCE ON DEALS
COVERAGE PRODUCTIVITY SALES MERCHANDISING PROFIT ERC GROWTH MARKET SHARE LESS MORE LESS & MORE SYNDROME MANAGING THE FUTURE Inspire (to do something creative)
Evolve (Develop gradually) Empower (Give Power / Authority to do something) THOUGHT LEADERSHIP Challenge the Status Quo Break Thinking Barriers Push the Limits - Raise Bar Capitalize on Strengths 10 % New innovative ideas - Unique & Thought Provoking 20 % Value addition in regular task 70 % Regular tasks Secret Formula of Success Business Trends
Role of Trade Pendulum of Power Sales Management Marketing Trends Changing Consumer Business Excellence