品类管理流程英文3

CATEGORYMANAGEMENTSessionObjectives:DefineCategoryManagement(CM) DescribeCategoryManagement asaBusinessProcess DiscussCriticalIssuesRelatedto SuccessfullyDevelopinga CategoryManagementSystemCategoryManagementProcessCategoryManagementIssuesDefineCategoryManagementDefinitionBringingBetterValuetotheConsumeristhe

PrimaryFocusofCategoryManagement.“ARetailer-SupplierprocessofmanagingcategoriesasStrategicBusinessUnits,producingimprovedsalesandprofitresultsbyfocusingonsatisfyingconsumerneeds

anddeliveringconsumervalue.”Source:ECRBestPracticesReportCategoryManagementhasexpandingintodurablegoodsandservices.IsCategoryManagementjustforthegrocer? DurableGoodsAutoIndustry-GMPontiac&Ford ServiceIndustryPhoneServiceFinancialServices/BanksDefinitionTheECRSystemTimely,accurate,paperlessinformationflowSupplierDistributorRetailStoreConsumerHouseholdSmooth,continualproductflowmatchedtoconsumptionDefinitionEfficientPromotionEfficientStoreAssortmentDefinitionCategoryManagementisattheatthecoreofECR.CMprovidesaprocess&frameworkforcollaboration.EfficientNewProductDevelopmentEfficientReplenishmentCATEGORYMANAGEMENTCategoryManagementasaBusinessProcessiscomprisedofinterrelatedcomponentsbothwithinandoutsideoftheorganization.WhatisCategoryManagement?DefinitionInformationTechnologyStrategy&BusinessProcessScorecardCollaborativeRelationshipsOrganizationCapabilitiesCoreEnablersEnablersCATEGORYMANAGEMENT:

HOWISITDIFFERENT?Category/Brand/SKUManagementunderoneDecisionMakerConsumer-FocusedStrategiesData-basedDecisionMakingProactiveBusinessPlanningCollaborativeWorkProcessManageCategoryAsBusinessUnitFocusedonCategoryROI -NOTSalesorGrossMarginDefinitionSKILLSNEEDEDTOBUILDBUSINESSTHROUGHCATEGORYMANAGEMENTDataanalysisandtechnicalmasteryShopperandconsumerunderstandingStrategydevelopmentFinancialandlogisticsexpertiseInnovationTotalSystemsFocusDefinitionDefinitionWhyisitbeneficialforRetailersandManufacturerstoInvestinCategoryManagement?HelpsRetailers-DefinecustomerneedsDeterminestrategicissuesEnhancecategoryandstoreprofitsDefinitionWhyisitbeneficialforRetailersandManufacturerstoInvestinCategoryManagement?HelpsRetailers-DefinecustomerneedsDeterminestrategicissuesEnhancecategoryandstoreprofitsHelpsManufacturers-PositionthemselvesascategorycaptainsforretailersBecomeanindispensableresourcefortheretailerEnhancebrandprofitsRoadMapCategoryManagementasaBusinessProcessCategoryManagementIssuesDefineCategoryManagementProcessCategoryManagementasaBusinessProcess.CategoryDefinitionCategoryRoleCategoryAssessmentCategoryScorecardCategoryStrategiesCategoryTacticsPlanImplementationCategoryReviewSource:ThePartneringGroupWhatisaCategory?Adistinct,manageablegroupofproducts/servicesthatCONSUMERSperceivetobeinterrelatedand/orsubstitutableinsatisfyingtheirneed(s).ProcessCategoryDefinition-criticalindeterminingtheproductsthatmakeupthecategoryandinestablishingthesegmentationstrategy.WhatisaCategory?Adistinct,manageablegroupofproducts/servicesthatCONSUMERSperceivetobeinterrelatedand/orsubstitutableinsatisfyingtheirneed(s).ProcessCategoryDefinition-criticalindeterminingtheproductsthatmakeupthecategoryandinestablishingthesegmentationstrategy.Howdoesdefiningacategoryhelp?Producesbetterretailer/manufactureralignmentwiththeconsumerCreatesbettermanufacturer-retaileralignmentGivesnewperspectivesonhowtoviewaproductand/orcategoryProcessJuices&drinksShelfstableRefrigeratedFrozenGlass/PlasticAsepticReadytoServeConcentrateCategorySub-CategorySegmentSub-SegmentDefiningaCategorybyUsageSegmentLemonJuiceSegmentation:Source:Borden,Inc.ProcessCategoryRole(orpurpose)defineshowtheconsumerviewsthecategory.PossibleCategoryRoles:DestinationConvenienceRoutineSeasonal/OccasionalProcessCategoryAssessmentCategoryAssessmentinvolvesconductingacompleteanalysisofthecategorybyinvestigatingit’’ssub-categories,user-segments,brands,andSKUs.Suchananalysismustbebasedoncurrentconsumer,distributor,supplierandmarketinformation.ProcessOneexamplemightbeidentifyingthegapbetweenthecurrentsalesandthepotentialsalesofacategory.Source:Borden,Inc.ProcessKeyQuestionsinConductingaCategoryAssessmentWhoismytargetcustomer?Howimportantisthiscategorytothatcustomer?Whatarethecategorytrends?volume,share,profits?Whatarethekeyproductsegments?WhataretheleastandmostimportantSKUs?ProcessKeyQuestionsinConductingaCategoryAssessment(continued)HowwellisshelfspacealignedtoSKUmovement?Howdoconsumersviewbrands?BrandnamesversusstorebrandsWhentheymakeapurchase,Howlargeisit?Whatelsedotheybuy?Howdoesthecategory’spricingcomparetotherestofthestore?ProcessKeyQuestionsinConductingaCategoryAssessment(continued)Howdoesthecategory’spricingcomparetothemarket?Whatpercentageofvolumeissoldonpromotion?Whatistheimpactoffeaturinganddisplay?Whatbrandsandsizes““define”and/orbuildthecategory?ProcessTheCategoryScorecardmeasuresandmonitorstheprogressandperformanceofthecategorybusinessplan.Targetsorhurdleratesmustbeclearlystated.RevenueMarketShareConsumption(Equiv.Volume)Out-of-stocksProfitTargetConsumerShareROIProcessCategoryStrategiesdefinethemarketing,productsupply,andinstoreservicerequiredtomeettargetsorhurdlerates.TransactionEfficiency/TrafficBuilderShopping/InformationEntertainmentTypesofstrategies:Source:RobertC.Blattberg,1996ProcessCategoryTacticsaretheactionstakentoimplementthecategorystrategies.Transactionefficiency/TrafficBuilder>Lowprice/convenience>Categoryshop-abilitySource:RobertC.Blattberg,1996ProcessCategoryTacticsaretheactionstakentoimplementthecategorystrategies.Transactionefficiency/TrafficBuilder>Lowprice/convenience>Categoryshop-abilityShopping/information>Uniqueofferings/highservice>EasyaccesstoproductinformationSource:RobertC.Blattberg,1996ProcessCategoryTacticsaretheactionstakentoimplementthecategorystrategies.Transactionefficiency/TrafficBuilder>Lowprice/convenience>Categoryshop-abilityShopping/information>Uniqueofferings/highservice>EasyaccesstoproductinformationEntertainment>Stimulation/excitement>Creativemarketing/broadassortment>ChangingvarietyofproductsSource:RobertC.Blattberg,1996ProcessCategorymanagementplansareoflittlevalueunlesstheyreceivehighqualityimplementation.KeyComponentsofPlanImplementation:CommonLanguageBuy-inatALLlevelsClearApprovalProcessClearAssignmentofResponsibilitiesImplementationSchedulePredeterminedIndicatorsofSuccessProcessCategoryReviewistheongoingmeasurementoftheprogressoftheplanandmodificationwherenecessary.StagesofCategoryReview:OpportunityanddiscoveryprocessInput,analysis&implementationMeasurement,adjustment&learningCATEGORYMANAGEMENTReviewingtheCategoryTargetingConsumersPlanningMerchandisingImplementingStrategyEvaluatingResultsProcessRoadMapCategoryManagementProcessCategoryManagementIssuesCategoryManagementDefinitionCategoryManagementisasourceofcompetitiveadvantage.Ifitissoeasytodoandeveryoneisdoingit,whereistheadvantage?CategoryManagementisaboutstrategicchoices.Thequalityoftheimplementationandexecutionwilldeterminethedegreeofcompetitiveadvantagegained.IssuesCategoryManagementisadynamic,evolvingpractice.Isthereoneapproach?…no.Fundamentalprinciplesandprocesses.Implementationdependsuponthecapabilitiesandcurrentpracticesoftheorganizations.Today’spracticesaretomorrow’sfoundationsforimprovement.IssuesSuccessfulCategoryManagementhelpstodefineapartnership.AbilityandcommitmenttodevelopthecategoryAvisionofthepotentialofthecategoryAdequateinformationtechnologycapabilityandsharinginformationMultifunctionalteamsupportcapabilitiesBuy-infromtopmanagementClearlydefinestheroleofthemanufacturerwithregardtoCategoryManagementTrustIssuesHowtodevelopasuccessfulCategoryManagementrelationship.DevelopacommonlanguageforCategoryManagementTranslatethegoalsofthepartnershipintoausableandmeasurableplantheutilizesfact-basedCMdecisionsandpractices.Educateeveryoneinvolved,buyersandsuppliers,ontheapproachbeingtakenforgrowingthecategory.Developfact-basedpresentationsrepresentingtheentirecategory.Developasystemofre