Achieving Competitive Advantage to Accelerate Retail Growth
A large multi-national CPG company with several cooperating companies struggled with variable retail execution across its operating divisions. As a result, missed opportunities and uncompetitive retail costs crept in. In need of an outside partnership to deliver a revitalized vision and plan for unlocking a roadmap for sustainable growth, the company asked TPG for help. As challenges were discussed, it became clear that TPG would need to create a cross-divisional retail execution organization that would increase revenue and reduce overall operating costs.
We began by utilizing our proprietary Assessment, Design and Implementation model to develop a highly productive retail execution organization. Upon first-hand engagement with the company and extensive deconstruction of the opposition areas, we constructed a cross-divisional organization and business case, in addition to a single-facing retail customer model. Leveraging this momentum, we executed a comprehensive design, test and implementation phase, followed by Innovative Financial Models to significantly reduce SG&A. At the conclusion, we created a Best Practice to deliver a long-term competitive advantage at the point of sale.
The outcome was celebrated as being an innovative approach to retail coverage, thus becoming the company’s Best Practice organization globally. Success continued with +38% increase in customer contact time, +60% reduction in administration & travel time, and 1.5-1.8% incremental volume growth realized. Overall achievement resulted in the lowest known industry cost for retail coverage at significantly less than 1% of net sales.