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1
2009 NEGOTIATIONPrepare, Lead and Follow-up negotiations
MASS MARGIN
X
=
SALES
Contract
SIMPLE EQUATION
Check out
Cashier TG, Coolers
Display
Main
promotion
display
Secondary
display
TG+
TG
Podium
Promotion Table
On-shelf promotion
Mini stand
Auto walk
Sidekick
Pillar
Cross Merchandising
Only
%
Fix
Fix or %
FEES TRANSFER FOR ALL SUPPLIERS
4
Priority on sales and CM Margin value increase
2009 ambitious investments plan will accelerate sales growth
Accelerated Sales Growth will bring additionnal Mass of Margin
Simplification of national contract is required
Focus on % rebates is required
Negotiation strategy must be adapted to supplier cluster
Good preparation is key for success
The preparation of negotiation will bring more professionalism in our demand
The application of training will allow us to better anticipate the suppliers reactions
Intro : Key points of the 2009 negotiation project
5
Identification of Supplier Cluster
Profitability
Sales Share
Identification of Supplier Cluster
TOP 10 – LIAONING - SUNDRY
7
Supplier relations Strategy
JBP : “Win Win” : Sales and Mass Target
All initiatives focused on sales (VIP Items, specific promotion mechanism, shortages follow-up, etc.)
Traditional Nego for improvement of “Back Margin”
2009 Nego approach / JBP is possible
.
8
NEGO CLUSTER 1
TG FEES TRANSFER
+
IMPROVEMENT OF BM PRIOR TO ANY SALES DEVELOPMENT DISCUSSIONS
BASIC OFFENSIVE NEGO
9
NEGO CLUSTER 2
Market share
Carrefour support
Negotiating levers:
TG FEES TRANSFER IN %
Level of profitability
Delivery Services
COMPETITION between SUPPLIERS
10
NEGO CLUSTER 3
TG FEES TRANSFER
+
IMPROVEMENT OF CAT. PROFITABILITY MIX
11
NEGO CLUSTER 4
STILL NEGO BUT LESS TIME IN NEGO , MORE ON SALES FOCUS
FOCUS ON SALES AND MASS MARGIN APPROACH
12
VALIDATION OF 2008 LANDING
13
Objective : Identify the basis of 2009 Negotiation
Validation of 2008 Landing : clear base for 2009 Nego 25’
2008 Purchases Landing forecasts
Appending / TG Fees landing (the s
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