Inform, Cajole, Coerce - Field tips for CPG distributor sales executives to sell their brands to Mom and Pop retail outlets in emerging markets
A distributor or a CPG company sales executive is an important element in ensuring penetration of CPG brands in the traditional mom and pop stores retail channel, especially in emerging markets. With as many competing brands within each product category and the peculiarity of each mom and pop retailer, the sales executive's task is complicated.
We present a few field tips for the sales executive to improvise and sell to the traditional retailer. These tips along-with sales history, inventory forecast, recommended order quantity, brand sku prioritization and "what if " margin calculation enabled by mobile technology and product training will enable the sales executive to achieve targets in an efficient manner.
In emerging markets, a mom and pop retailer purchases Consumer goods based on a host of factors such as perceived credibility of the sales executive, time, space, working capital, consumer demand, margin and credit period, attractiveness of competing brands, distrust in a new brand or brand extension etc..
While considering all these factors, the distributor or CPG company sales executive has to engage the traditional retailers in a sustainable and profitable relationship and juggle with the entire portfolio of brands keeping in mind the retailer preference, store size and location, consumer profile, retailer working capital, schemes, new products, competing brand offerings.
Sales executive woes and tips to overcome them
"Retailers demand for extended credit period in next ordering cycle, as product movement has been slow..."
"Unable to sell some of the price variants"..." Almost impossible to sell less popular brands or brands with Low Retailer preference...."Retailer is willing to stock but only as a pilot and on consignment basis...."
"Appeal by Retailer to not push for payments as other payments with higher priority have to be made first...."
"Focus is always on few key Retailers, hence less chances and time to play around with the trade budget or stock to develop other Retailers..."
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