categroy management ppt
TRANSCRIPT
Category Management
Mahander Awana Roy Joseph kalayilSajith KunninmelSudeep Thakkar
Definition of Category Management
“The strategic management of product groups through trade partnerships which aims to maximise sales and profit by satisfying consumer and shopper needs” (IGD)
Category Management Process
Organise
Develop
Monitor
Model Review
Ref - http://www.ups-scs.com
Merchandising & Space Management
Performance Indicators for Merchandising:
1)ABC Analysis (80 – 20 concept)
2)Sales through Analysis
3)GMROI indicator
GMROI = Gross Margin
Avg. Inventory Cost
less product- centric and more consumer-centric:
Loyalty card programme. RFID data. Aisle management and department
management. frequent shopper programmes
Education and training The category management process is
moving from a one-person focus to a team approach.
ECR
process less product- centric and more consumer-centric:process less product- centric and more consumer-centric:process less product- centric and more consumer-centric:
Planogram Sample
Case Study - Sainsbury
Facts- UK Food Market
• UK food industry is worth• 75% of the UK population is concerned
about their fat intake (Leatherhead Food Research)
Issues - More & more customers demanding for
healthier food
Case Study cont..
Solution
- Launched new healthy food product
range called “Be Good To Yourself” in
1998 & re launch in 2006 with low price new
products and ‘apple’ stamp logo.
- Joined ENFRU Ltd (The English Fruit Company)Ref – www.sainsburys.co.uk
Recommendations
- Small retailers can also set up food counter in
store and serve healthy food.
Advantages of Category Management
1) Optimise Category
2) Improve Inventory Management
3) Enhance customer loyalty
4) Keep Sustainable competitiveness
Disadvantages of Category Management
1) Costly & complicated in terms of implementation
2) Organisations might come across skill shortage
THANK YOU
Trends in Category Management
High Market Growth Low
High Winners Sleepers
Opportunities Questionable
Low
Market
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