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Private Label Congress and Exhibition Retailer Demands

Private Label Congress and Exhibition Retailer Demands. Jim Cook Commercial Director. Running Order. Overview of the Whyte & Mackay Group Growing demands of sophisticated retailers Summary. 16 th May 2007 Whyte & Mackay acquired for $1b by United Breweries India.

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Private Label Congress and Exhibition Retailer Demands

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  1. Private Label Congress and ExhibitionRetailer Demands Jim Cook Commercial Director

  2. Running Order Overview of the Whyte & Mackay Group Growing demands of sophisticated retailers Summary

  3. 16th May 2007 Whyte & Mackay acquired for $1b by United Breweries India Part of the worlds largest spirits company.... Whyte & Mackay becomes part of Worlds largest spirits company (USL). 115m cases a year with 15 brands selling 1M+ cases a year 4 whisky brands in Top 10 fastest growing brands in the world Whyte & Mackay the No1 Scotch Whisky Private Label supplier in the world

  4. Selection Of Our Customer Base Our customers; the worlds most sophisticated retail operators……

  5. Retailers demand that Scotch Whisky suppliers control the supply chain……. Fully Integrated Warehousing Bottling Facility Dalmore House Headquarters Malt Distilleries Dalmore, Isle of Jura, Fettercairn and Tamnavulin malt distilleries Invergordon Grain Distillery

  6. Whyte and Mackay have direct control of the supply chain…… Spirit production, bottling, maturation warehousing Packaging elements sourced indirectly

  7. Wide retailer demands on two fronts……. • Front end process (retail customer facing) • Production/manufacturing legislative compliance • Product appearance; visible perfection • Distribution excellence • Precision logistics • Environmental controls • Back end process (shopper facing) • Differentiated products • Packaging design creativity • Innovation/pioneering NPD • Zero tolerance to in-store out of stocks

  8. Operating to exacting standards…… • Front end process (retail customer facing) • Legislative compliance: • (BRC) Global food standard accreditation • Audits by industry compliance specialists • Two production facility visits per year. • Random customer audits. Zero tolerance based audits • Product appearance; visible perfection • Internal quality control measures; zero tolerance. • Immediate corrective action • Customer led random checks

  9. Operating to exacting standards…… • Front end process (retail customer facing) • Distribution excellence • Dedicated customer service assistant for each major customer • Back hauling (customer collection) • 24hour/365 days service • Precision logistics • 98.5% in-bound delivery compliance (on time and in full) • Penalties for non-compliance • Environmental controls • Packaging waste reduction targets • Carbon foot print (20% packaging weight reduction target over three years)

  10. Innovation and creativity…. • Back end process (shopper facing) • Differentiated products • Unique product recipes /taste flavours for each customer • Compete favourably with leading brands • Capable of industry award winning accolades • Packaging design creativity – creating a design shift • Challenging category convention • Compete with international brands From this To this

  11. Innovation and creativity….. • Back end process (shopper facing) • Innovation/Pioneering ideas • Stimulate consumer interest…..lead not follow • Vintage products, extra aged products, use of maturation technology • Events led products (Christmas, Fathers Day, national celebrations etc). • Merchandising advances (shelf-ready selling units, malt whisky prestige tray units etc) Maturation technology Master Blender Innovative Products

  12. Summary…… • The retailing environment is fiercely competitive • Retailers in search of differentiated products and services • This search places increasing demands on suppliers • Suppliers need to be agile and responsive to changing conditions • Close collaboration of retailer and supplier is a pre-requisite for success • Selection by the retailer of their Private Label supplier is vital • Both retailer and supplier must aim for a long term, enduring relationship

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