Understanding Sales & distribution channel of Nestle India through beat round

2. NESTLE PRODUCT PORTFOLIO

4. BEVERAGES
Nescafe bottle 25gm 50gm 100gm
Nescafe packet 1gm 10gm 50gm 200gm box 500gm box
sunrise bottle 25gm 50gm 100gm
Sunrise Packet 1gm 10gm 50gm 200gm box 500gm box

5. Maggie Noodles
Maggie Masala 36 gm 72 gm 144 gm 320 gm
Maggie Curry 36 gm 72 gm 144 gm 320 gm
Maggie Aata 36 gm 72 gm 144 gm 320 gm
Maggie Chicken M. 36 gm 72 gm 144 gm 320 gm

9. 8 plants across
India
Manufacturing
plant
Carrying &
Forwarding
Agent (C&FA)
Super
Stockiest
Re-distributor
Retailer Wholesaler
Distributor
Retailer Wholesaler
Sales & Distribution

10. C&FA
(Maharastra)
Distributor 1
(Mumbai)
Distributor 2
(Pune)
Super Stockist
Re-distributors
(Nagpur)
Re-distributors
(Akola)

11. (Individual contributors)
Territory
(Individual contributors)
Area
(Managers of work)
Regional
(Managers of work)
Zonal
(Managers of mangers )
National
(Functional managers )
National
Sales
manager
Zonal sales
manager
North
Regional
Sales
Manager
Sales
Admin.
Executive
Area sales
manager
Territory In
charge
Sales
officers
Distributor
Salesmen
Zonal sales
manager
South
Zonal sales
manager
East
Zonal sales
manager
West
Zonal sales
manager
Central

12. Distributors requirement
• Capital investment for distributors comes to around 1 cr.
• Monthly working cap requirement is around 40 - 50 lacs.
• Monthly turnover is around 50 - 60 lacs.
• Minimum Holding Stock : For 15 days
• Weekly Delivery to distributor.
• Infrastructure Requirement
• 2 Trucks (Medium Size)
• Storage space
• Refrigeration for chocolates
• Salesman Requirement
• 6

13. • One C&F agent for Mumbai at Bhiwandi
• 1300 distributors in India
• 41 distributors Under C&F agent at Bhiwandi
• One specialised distributor for Railway stations
• Malad West
• 31 Wholesalers under Maimoon (Malad) Distributor

14. Distributors Under C&F Agent Bhiwandi
MUMBAI&SUBURBS
1)Colaba ,Mumbai central,
Bandra, Andheri etc
10
2)Dahisar, Virar, Dahanu
,Borivali etc.
12
3)Sion, Matunga,
Chembur, Ghatkopar,
Mulund etc.
13
4) Thane, Vashi, Airoli,
Panvel etc.
6

15. Categories of stores
• Tier 1
• Food bazaar
• Big bazar
• Sahkari bhandar
• Tier 2
• D-marts
• Hyper city
• Tier 3
• Key accounts
• Grocery stores
• Big
• Small
• Convenience stores
• Pan plus
• OOH ( Out of home )
• Petrol pumps
• Cinema halls

16. Factory
C & F Agent
Distributor

17. Mulund

18. Factory
C & F Agent
Distributor
Wholesaler

19. Distribution to Tier 1 & Tier 2 outlets

20. Sample price at various levels
Product Distributor
DLP
Wholesaler Retailer
PTR
Consumer
MRP
Maggie (1 unit) 8.70 (5%) 8.89 (3%) 9.16 (8.4%) 10
Munch (1 unit) 4.275 (5%) 4.36 (3%) 4.5 (10%) 5
Munch
(48 unit Box)
200 (7.4%) 209 (3%) 216 (10%) 240

21. Monday
Tuesday
Thursday
Wednesday
Friday
Saturday

22. G
O
R
E
G
A
O
N
S
T
A
T
I
O
N
B
E
A
T
P
L
A
N

24. Area Selection
Store lists

29. G
O
R
E
G
A
O
N
S
T
A
T
I
O
N
B
E
A
T
P
L
A
N

31. Wednesday

34. Displays
• Chocolate Dominos
• Visi coolers - 5% payback on chocolate sales (Compulsory)
• Dispenser - Depends on negotiation (max- 5%)
• Nestle Displays
• 1800/ quarter
• 3% payback on sales

35. Displays

36. Training program for C&F agents
• Modules
• Nestle quality system
• Good warehousing practices
• Good distribution practices
• Major aspects of training
• Stocking as per norms
• Good warehousing practices
• Accounting Handling of bad goods
• Temperature control for chocolates & dairy products

37. Nescafe
Bottle 25gm
Nescafe
Bottle 50gm
Nescafe Bottle
100gm
Maggie
noodle 72gm
Maggie
noodle
144gm
Maggie
noodle
320gm Munch ₹5/-
Munch
₹10/-
Munch
₹35/- Munch ₹50/- TLSD
5
productive
call
Ganesh
store * * * * * * * * * * 10 *
Ravi store * * * * * * * * * 9 *
Deepak
store * * * * * * * * * * 10 *
Om
medicals * * * * 4
Prasant
medicals * * * * 4
simran
medicals * * * * 4
president medicals * * * * 4
Kiran store * * * * * * * * * * 10 *
kamya
medicines * * * * 4
shanti store * * * * * * * * * 9 *
TLSD 5 5 3 5 5 5 10 10 10 10 68 5
Width 50% 50% 30% 50% 50% 50% 100% 100% 100% 100%
Avg LPC 6.8
48
Avg LPPC 9.6

38. Sources
• Sales officer
• Mr. Ashish (Borivali)
• Mr. Siddesh(Malad)
• Distributor
• Maimoon Distributor(Malad)
• Shri Siddhivinayak Distributor(Mulund)
• Salesman
• Mr. Patil
• Mr. Balwant
• Mr. Mangesh
• Retailers
• Samrat Medical
• Prasant Medical
• Wholesaler
• M/s. Sakti agency (Goregaon)

39. Group 7:
Vivek Mehta 04
Afreen Akhtar 11
Aniket Gupta 20
Sejal Pradhan 23
Bijon Kanabar 24
Sumit Schitole 29
Jophy Thomas 38