Everglades Seasoning for Costco Wholesales A Sales Presentation By: Brittany D. Nickerson July 7/14th, 2009
Seller Profile Everglades Seasoning for Costco Wholesales July 07/14, 2009
Personal Profile: Brittany Nickerson Expected Graduation: December 2009 Major: General Business w/ Concentration in Marketing and Management Areas of Interest: Entrepreneurial Opportunities, Real Estate, & Agriculture Industry Career Aspirations: Farm Manager, Real Estate Agent, & Business Owner Work Experience: August 2004- August 2005: Assistant to the Director of Main Street Wauchula in Wauchula, FL August 2006- November 2007: Real Estate Sales Associate at You WIN Realty in Sheridan, WY May 2003- Present: Administrative Assistant at Nickerson Brothers L.L.C. Dairy Farm in Zolfo Springs, FL Contact Information: Email: firstname.lastname@example.org Cell: 863.446.2735
Company Profile: Everglades Foods Inc. Everglades Foods Inc. is a small company located in Sebring, Florida that produces a wide range of spices, marinades, and sauces. Everglades Foods purchased Everglades Seasoning in 1992, and has since grown at an impressive rate through the rapid spread of both new and existing products. Everglades Foods is currently sold in more than 25 states in more than 150 locations- not including major distributors such as Sam’s club, Publix, and Wal-Mart.
Competitive Analysis Everglades Seasoning for Costco Wholesales July 07/14, 2009
Competitive Analysis Company Information Costco Wholesale Costco Wholesale is the largest membership warehouse club chain in the world based on sales volume. Costco is the fifth largest general retailer in the United States. Costco focuses on selling products at low prices, often at very high volume. Costco is headquartered in Issaquah, Washington, United States and was founded in Kirkland, with its flagship warehouse in nearby Seattle. Costco's Canadian operations are based in Ottawa, Ontario. Competitive Analysis Costco’s main competitor is Sam’s Club, who currently has more warehouses, however Costco has a higher total sales volume. Buyer Needs Selling products at low prices and high volumes. Competitive Purchasing Discount Plans Maintain wholesale mind set through minimizing cost and maximizing volume
FAB Assessment Everglades Seasoning for Costco Wholesales July 07/14, 2009
FAB: Features of Everglades Seasoning Working with a smaller company which creates the opportunity to maintain a closer, more personal relationship between retailer and supplier. No minimum or maximum order sizes Specialized packaging for wholesale merchandising Larger size bottles exclusively distributed through wholesale retailers (16oz. Vs. 8oz.)
FAB: Advantages of Everglades Seasoning Everglades Seasoning creates an “all-in-one or all-purpose” seasoning to offer to customers rather than stocking and combining multiples seasonings. Everglades Seasoning allows for the flexibility to appeal to multiple customer markets because of its versatility, which allows for both household users and for a wide range of food services to both use the product and frequent stores. Low Price (Low MSRP)
FAB: Benefit of Everglades Seasoning Everglades Seasoning’s specialized packaging for wholesale merchandising creates easier storing & stocking, and less labor in moving and displaying the product. Increase in Customer Satisfaction through larger bottles at a low price Increase in market penetration through increasing Costco’s product mix as Costco currently does not stock seasonings of this genre.
Implementation Everglades Seasoning for Costco Wholesales July 07/14, 2009
Implementation Promotion Advertising Everglades foods will contribute free seasoning for all in-store food displays & samplings. Sales Promotion Everglades foods will issue exclusive Costco coupons to distribute to customers during the launch of this new product.
Implementation Place If Costco decides to purchase Everglades Seasoning and stock the product at all stores, Everglades Foods will contribute one pallet per store in order to launch the new product in each store. Everglades Foods’ sales team will maintain a close relationship with Costco’s inventory monitoring unit to ensure a full product stock at all times.
Implementation Price Through competitive discount plans Everglades Foods is offering the following: 7% discount for each order over 30,000 bottles 15% discount for each order over 50,000 bottles Additional discount plans can be negotiated as more Everglades Foods products are incorporated into Costco stores.
Profit Forecast &Cost Analysis Everglades Seasoning for Costco Wholesales July 07/14, 2009
Profit Forecast & Cost Analysis Everglades Seasoning 10,000units 23% of gross margin 30,000 units 28% of gross margin 50,000 units 34% of gross margin