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Intro to Wholesale with Peter Chapman
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Intro to Wholesale with Peter Chapman

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Transcript

  • 1. You love to grow it, Now let’s sell it
  • 2. You love to grow it, now let’s sell it Retail landscape Must have Nice to have Behind closed doors Getting organic in the cart
  • 3. Retail landscape
  • 4. Retail landscape-1980’s 10% 70% 20% Large store Traditional Discount
  • 5. Retail landscape-1990’s 15% 60% 25% Large store Traditional Discount
  • 6. Retail landscape-2000’s 20% 50% 30% Large store Traditional Discount
  • 7. Retail landscape-2013 25% 40% 35% Large store Traditional Discount
  • 8. Retail/other landscape-2013 Specialty    CSA        Farm   Markets   Food service Drug
  • 9. Linear footage Dairy 495 712 690 704 Frozen 495 1,800 1,710 1,080 2,574 3,592 5,292 3,524 Water/pop 1,176 Chips/snacks 1,844 1,454 1,068 Household 1,680 1,692 1,376 880 144 504 852 320 6,564 10,144 11,374 7,576 Core groc Imported Total
  • 10. 380 Wal Mart stores 222 Wal Mart Super Centers Annual sales $466,100,000,000 14.2 x Loblaws 27.3 x Sobeys 36.9 x Metro 6.3 x Target 4.6 x Costco
  • 11. A changing customer More focus on value
  • 12. A changing customer More focus on value National business
  • 13. A changing customer More focus on value National business Blurring of channels
  • 14. A changing customer More focus on value National business Blurring of channels U.S. share
  • 15. What do you need?
  • 16. Must have when selling to retail Confidence
  • 17. Must have when selling to retail Food safety/ certification
  • 18. Must have when selling to retail Consistent execution
  • 19. Must have when selling to retail Technology/EDI
  • 20. Must have when selling to retail Packaging & labels
  • 21. Nice to have when selling to retail Promotion
  • 22. Weekly ads “36% of sales and 48% of tonnage are items with a temporary price reduction” A.C. Nielsen “State of the Industry report”
  • 23. Nice to have when selling to retail Nice labels
  • 24. Nice to have when selling to retail Assortment
  • 25. Nice to have when selling to retail Volume
  • 26. Behind closed doors
  • 27. Organic to a retailer 1 of 50,000 skus Your item to build… not mine
  • 28. Behind closed doors What we like
  • 29. Point of differentiation
  • 30. Premium price per unit
  • 31. Your passion
  • 32. A committed consumer
  • 33. Control label organics
  • 34. Assortment
  • 35. Behind closed doors What we don’t like
  • 36. Herding cats
  • 37. Resistant to change
  • 38. Inconsistent supply
  • 39. Shrink
  • 40. Front end
  • 41. Different method of doing business
  • 42. Behind closed doors A few numbers
  • 43. Produce margin Shelf  G.P.   45.0   Ad  investment   5.0   Shrink   7.5   Labour   12.0   Supplies   1.5   Contribu<on   19.0  
  • 44. Retailer profitability Shelf  G.P.   Ad  investment   27.0   5.0   Shrink   Labour   Fixed  exp.   Variable  exp.   Distribu@on   Total  expenses   2.0   7.5   2.5   1.5   7.0   25.5   Profit   1.5  
  • 45. Shrink 10%-15%
  • 46. Penetration 5%-8%
  • 47. Selling more organic
  • 48. Getting started
  • 49. Getting started
  • 50. A plan
  • 51. Growing sales
  • 52. Persistence
  • 53. New items
  • 54. Different items
  • 55. Control label
  • 56. Relationships
  • 57. Thank you