cencosud day brasil ingles v3 pdf -...
TRANSCRIPT
Supermarkets BrazilCorporate Presentation
Brazil
2
Agenda
1. Highlights per banner
2. Clients
3. Trends
4. Profitability
5. Mid-term vision
Brazil
3
Highlights per banner
GBarbosa: Gained share in food & electro Strong double digit growth in electro CD Format double digit growth
Bretas: 7 store closings (June and July) Changed commercial business strategy (July) Gradual increase in transactions (tickets) Gradual recovery in share 3 Cash&Carry stores positive operational ebitda
Prezunic: Market still tough Very gradual recovery in sales
Transversal Increase in price competitiveness with no
margin impact Nominal SG&A reduction Important deflation in food (commodities).
01
Jornal - O GLOBO - 22/09/2017 (fuente IGBE)
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Status principales proyectos 01
PRICING
CATEGORY MGMT
SUPPLY CHAIN
FIDELITY CRM
Tool development
Macro Layout Exposition Guides
Regular replenishment
Tooldeveloment
PROMO PROCESS
2016 2017 2018
Implementation
Assortment Management
Planogram
PromoPurchase Analytics
Targeted sales initatives
PromotionalFlow
Regularreplenishment
5
Agenda
1. Highlights per banner
2. Clients
3. Trends
4. Profitability
5. Mid-term vision
Brazil
6
Clients 02
A. Final Client
B. Employees
C. Community
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Clients 02
A. Final Client: Changes in purchase patterns
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02Growth of Cash & Carry segment
29,6%
9,1%
Super27,0%
32,6%37,2%
2012
Hyper
C&C
2016
Convenience
Discount1,6%
29,7%
1,2%
23,1%
8,8%
Distribution of sales x format modern market
13 vs 12 14 vs 13 15 vs 14 16 vs 15 CAGR16 vs 12
Convenience 29,2% 27,1% 6,2% 12,4% 14,9%
Discount 16,1% 10,3% 0,9% 12,3% 7,7%
Supermarket 10,5% 4,6% 4,0% 5,2% 4,6%
Cash & Carry 20,5% 13,4% 14,4% 14,2% 14,0%
Hypermarket 6,4% 6,8% 6,1% 1,3% 4,7%
Market 12,0% 8,4% 7,2% 7,1% 7,6%
Sales growth per format from 2012 to 2016 Brazil
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02Growth in Cash & Carry
• NIELSEN HOMESCAN| ANO MÓVEL ATÉ PER06
AUTOSERV + C&C HYPERMARKETS SUPERMARKETS CONVENIENCE CASH&CARRY
MOV'16 MOV'17 MOV'16 MOV'17 MOV'16 MOV'17 MOV'16 MOV'17 MOV'16 MOV'17
PENETRATION 100 100 43 40 54 55 25 26 51 54
FREQUENCY 103 107 10 10 19 19 8 11 9 10
AVERAGE TICKET 50 51 76 74 67 70 46 58 142 139
Stock up201433%
42 41 40 37 42 39 32 39
67 65
52 52 53 55 51 53 61 54
32 33
6 7 7 9 6 8 6 7 2 3
MOV'16 MOV'17 MOV'16 MOV'17 MOV'16 MOV'17 MOV'16 MOV'17 MOV'16 MOV'17
T. AS+C&C T.HIPERMERCADOS T.SUPERMERCADOS T. VIZINHANCA T.CASH&CARRY
EMERGENCIA
REPOSICAO
ABASTECIMENTO
Shopping trip
EMERGENCY
STOCK-UP
REPOSITION
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02Growth of Cash & Carry segment
Strategy1. Recover/defend stock-up shopping trip
Improve price perception Gain sales in the 1st fortnight Competitiveness and price perception Assortment / availability Adjustments in promotional dynamics Layout adjustments
2. Strengthen our differentiation : Perishables Shopping experience Private Label Niche/trendy categories (ex. Healthy)
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Clientes 02
A. Final Client: Changes in purchase patterns
B. Employees Continuous improvement on the GPTW index Turnover reduction
C. Community: Sustainable Brand Launch of “hiring experienced talent” campaign.
Target : reach 15% of our employees older than 50 years in the next 12 months
12
Agenda
1. Highlights per banner
2. Clients
3. Trends
4. Profitability
5. Mid-term vision
Brasil
03Trends
A. Advances of the digital world
B. Consumption changes: healthy, pets, ready-to-eat and organics
C. CRM and data mining/ analytics
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Advances of the Digital world 03
EVOLUÇÃO DE FATURAMENTO DO DIGITAL COMMERCE 2012/2016
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Advances of the Digital world 02
PARTICIPAÇÃO DAS VENDAS POR REGIÃO
1er sem 2017
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Advances of the Digital World 02
28,1%
50,7%ELECTRO
ELECTRO
CATEGORY SHAREREQUESTS SALES (R$)
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Avances of the Digital World 02
Omni-channel Strategy of Cencosud Brasil
ElectroGbarbosa, start with electro in Q4-2018 or S1-2019 Participate in Marketplaces (B2W, “Mercado Livre”, etc.) Develop e-commerce website Focus on Northeast of Brazil Leverage the 79 hyper-supermarkets + 77 electro shows (click and collect)
Food Monitor the market evolution (penetration and models) Possible 1st entrance in Rio with Prezunic in 2019
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Tendencias 02
Healthy food
Organic Products
Ready-to-eat
Pets
Mundo saludable
Keep accelerating these market segments with high performance
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CRM and data mining/analytics 02
CRM: Started with Dotz in Prezunic in November 2015 65% tickets penetration with associated sales to the client Many incentive programs implemented Riding the learning curve
Data mining / Analytics 2017 data base preparation for ticket and sales analysis 2018 tools implementation and build analytics team Focus on main analysis
Promotional effectiveness and cross sale Clients flow and cashier productivity Assortment effectiveness, macro and micro layout
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Agenda
1. Highlights per banner
2. Clients
3. Trends
4. Profitability
5. Mid-term vision
Brazil
21
Main priorities
A. Sales : Growth SSS Stock-up Mission Keep improving the clusters in AB and CD stores Accelerate stores remodeling
B. Margin : increase cash margin more than sales Maintain the cost negotiation Continue increase logistics changes Continue reducing shrinkage
C. Cost: increase less than inflation
D. Cash Flow
04
22
Agenda
1. Highlights per banner
2. Clients
3. Trends
4. Profitability
5. Mid-term vision
Brazil
23
Visión a Medio Plazo 05
Gradual recovery of consumption as of Q4 2017. Rio remains a risk. Good year for electro due to the world cup 2018 Gradual return for stock up shopping trip in Supermarkets
CONSUMPTION
Capture 100% benefits of new Pricing / Supply 2.0 platforms Prepare analytics tools for S2 2018 Start up preparing e-commerce Electro GB in S2 2018
CAPABILITIES DEVELOPMENT
Maintain priority in remodeling and maintenance of stores Keep focusing on A-AB and CD stores STORE MIX