1 / 53

2011 Commissary Council

2011 Commissary Council. Issue Oriented . . . Solution Driven Driving Sales. 2011 Commissary Council. Collaboration n  (often followed by on, with, etc ) 1. the act of working with another or others on a joint project 2. something created by working jointly with another or others

ugo
Télécharger la présentation

2011 Commissary Council

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. 2011 Commissary Council Issue Oriented . . . Solution Driven Driving Sales

  2. 2011 Commissary Council Collaboration n  (often followed by on, with, etc ) 1. the act of working with another or others on a joint project 2. something created by working jointly with another or others 3. the act of cooperating as a traitor, esp with an enemy occupying one's own country Every Sin is the result of collaboration L.A. Seneca Strength is derived from Unity. The range of our collective vision is far greater when individual insights become one. A. Carnegie Collins English Dictionary

  3. 2011 Commissary Council Council Mission: Enhance and Ensure the viability of the Commissary benefit for the most deserving customers in the world • Partner with DeCA to: • Drive Sales • Increase Patron Awareness • Drive Patron Transactions • Promote Health & Wellness

  4. 2011 Commissary Council Chris Burns Cindy Dulik CAT Greg Kochuba Jim Frost Chair:Bob Hybki Consumer Trends Industry Trends Innovations Outreach Ops/Systems Eric Swayzee Chair:Ron Ritchie Data Accuracy System Changes System Updates VCM Automation Cat. Management Michelle Frost Chair:Randy Hardee Cat Reviews Training Standards – Templates Perishables Brad McMinn Chair:Joe Kovac Meat Produce Freeze/Chill Dairy Deli-Bakery Store Support Joyce Chandler Chair:Steve Lamkin Directorate of Operations issues Promotions Charlie Dowlen Chair:Frank Glotfelty Club Packs Displays Shippers Compliance New Items Co-Chair: Ginesa Madar Co-Chair: Lauren Elkin Co-Chair: Randy Meador Co-Chair: Jim Herring Co-Chair: Mike Hatfield Co-Chair: Tommie Draper

  5. Manufacturer - 8 Tim Atwood – P&G Frank Glotfelty – General Mills Jim Herring – John Morrell Bob Hybki – Conagra Kathleen Snydstrup – Kellogg’s Mark Orzolek – Pepsi Kurt Hall – Unilever Randy Meador – Kraft Distributor - 3 Ron Ritchie – MDV Craig Murphy – SuperValu Al Oliver - MPG 2011 Commissary Council Composition Broker - 9 Steve Lamkin – Dunham & Smith Don Goetz - Highplains Randy Hardee – Elite Foods Chris Lee - Acosta Lauren Elkin – L&M Marketing Joe Kovac – Alder Foods Mike Hatfield – S&K Tommie Draper – OSC Kent Blue - Webco Media/Data - 2 Tom Fehily – CommEx Tim Brown - EmpowerIT Process for 2011 Council Make up: 2011 - 6 departing (attrition). Six new members added 2012 - 8 original members depart/8 new added 2013 - 8 original members depart/8 new added

  6. 2011 Commissary Council Consumer Awareness Committee

  7. 2011 Consumer Awareness Team (CAT) Committee Members Industry Bob Hybki – ConAgra Foods John Bradbury – Military Media Ainsley Everhart – Dunham & Smith Joe Forrester – Seafood America Mike Goeztmann – General Mills Kurt Hall – Unilever Mike Hatfield – S & K Michelle Harthill – Harthill Marketing Steve Hazlett - Merck Christine Huie-Roy – Kraft *Ginesa Madar – Nestle USA Kris Plum – ConAgra Foods Joe Proudfoot - Clorox Steve Stella – Maxi Saver Lori Stillman – Webco GP Carla Williams – P & G Nadja Stein - Nielsen DeCA Jim Frost Sallie Cauthers Alan Flowers Greg Kochuba Karen McComas ALA Russ Moffett *Co-chair in 2011

  8. American Logistics Association ALA Commissary Consumer Awareness Team Mission Statement Strengthen DeCA’s outreach and marketing efforts with the goal of bringing in new customers who may not be using their shopping privileges along with educating young service members about the commissary benefit and making them lifelong commissary shoppers.

  9. 2011 Consumer Awareness • Consumer Outreach • Military Spouses – May 5, 2011 • CAT Team provided 5 DeCA Gift Certificates for $100 Each • Consumer Awareness Month – September 2011 • Project Leads - K. Plum @ ConAgra / K McComas @ DeCA • CAT Team provides $100 for each organization groups competing • Total of 6 winners with Prize Money totally $3,925 • Army 10 Miler – October 8-9, 2011 • Project Leads - / S. Cauthers @ DeCA • 2 Day Event @ the Pentagon • DeCA is securing Tent & Location • CAT Team will provide funds for DeCA & Industry T-Shirts • Send letter in July to industry for support • ALA volunteers for event • Contributions - Trial Size Samples (Warehouse)

  10. 2011 Consumer Awareness • Consumer Outreach • DeCA’s 20th Year Anniversary Celebration • Project Lead – Michelle Hartill • Shop your Commissary and Win • 360 Marketing and Advertising campaign • Consumer Awareness Golf Outing– September 12, 2011 • Project Leads – Ainsley Everhart / Ginesa Madar • Golf Club of Petersburg • Social Media Outreach • Project Leads - M. Goetzmann/L. Stillman/K. Hall • Assist DeCA in efforts to reach young military members and retirees through Social Media • Competitive landscape evaluated – activation within DeCA next steps

  11. 2011 Commissary Council May 12, 2011 Operating Committee

  12. Operating Systems Committee 2011 Members Industry Lauren Elkin* – L&M Marketing Ron Ritchie* – MDV Joanne Boutelle – Deloitte Consulting Tim Brown – EmpowerIT Mike DiFilippo – S. Schwartz Sales Jerry Fox – ASE Smithfield Erica Ford – Highplains Marketing Mike Hatfield – S&K Jan Hellmann – Dunham & Smith Terri Klein – P&G Larry Lemma – Advantage Sales Military Craig Murphy – Supervalu Mark Orzolek – PepsiCo Phil Richardson – Coca-Cola Mike Skinner – ERUPAC Nadja Stein – AC Nielsen Ron Smith – Coastal Pacific Distributors Brenda Steinberg – Nash Finch Distributors Don Stickles – Bisek & Company Rob Whitmore – Empower IT DeCA Eric Swayzee * Gordon Jones ** Ivey Beres Cheryl Brown Ron Freeman Larry Hahn Lisa Jones Lou Kennedy Beverly Kenney John Madar Shirley Marshall Jack McGregor Del Myrick Tom Owens Larry Peck Robert Robin Eric Stegmann Fredrich Stein Terry Sorrell Wayne Webb Chairman * Co-Chairman ** MBU Advocate

  13. Operating Systems Committee Working Groups: Provide technical expertise to Operating Systems Committee. Global Data Synchronization Container Redemption Value Electronic Data Interchange Financial Systems Radio Frequency Identification Systems Standards & Technology Operating Systems Committee 2011 Structure

  14. Systems: DIBS, DIBS-DOORS, Warehouse Management System (WMS) DSD, DSD-S, FDS, CAO EDI, WEB Pricing, Price Locking, CARTS 2011 Initiatives: Global Data Synchronization (GDS) - Target July for test Container Redemption Value (CRV)’s initiative – May start up Forms Management – Revised 40-15’s Price Locking Data dictionary & business rules Data quality & standardization Standardizing Price Look Up Codes (PLU’s) Vendor Credit Memo (VCM) automation DoD (E-verify, Wide Area Workflow, RFID, CCR, NIST standards, TWIC) Security & Food Protection (Contractor portal, facility, systems) Enterprise Business Solution Operating Systems Committee Key Objectives for 2011

  15. Price Locking: DeCA will be releasing a notice to the trade advising industry prices will now be “locked” once the presentation has been accepted. Payments for items on the promotional package will only be paid at the price on the presentation form. Price Look Up (PLU’s): DeCA has finalized the price look up listing an stores have a tentative August 30th date to insure the front end system, store scales, and store files only utilize the standardized PLU’s. Computer Assisted Ordering: A test to evaluate the benefits of CAO in the produce department is currently being staffed. Expectation is produce department will see similar benefits to grocery department. Random Weight: Once validation of the data quality of random weight items has been completed, DeCA will determine when random weight data will be available to data providers. Operating Systems Committee Initiatives

  16. Global Data Synchronization: Create “H” code for holiday items in addition to “O” codes Establish delete date to automatically drop item from DIBS Establish seasonal start and stop dates to revert RSL code and department code to status prior to holiday. Automatically archive holiday items for reactivation for next holiday Produce Ordering & Accounting: Establishes unified system Enables great control over pricing and ordering Increased ability to analyze trends, inventory, sales Distributors: Increase lead time notice 30 days to clear inventory ECA PKI certificate for to provide source load container data Operating Systems Committee System’s Initiatives

  17. 2011 Commissary Council May 12, 2011 Category Management Committee

  18. 2011 Category Management Committee Members Industry Randy Hardee – Elite Brands Chris Lee – CLJ Acosta Don Goetz – Highplains Larry Thomas – ConAgra Diane Maxwell – S&K Mark Orzolek – Pepsi Tim Brown – Empower IT Bob Peacher – P&G Randy Meador – Kraft (Co-Chairman) Nadja Stein – AC Nielsen DeCA Michelle Frost Steve Arland Angel Ramos Bill Wood LaRue Smith Chairman

  19. 2011 Category Management Committee Goals • Review Store & Category layout to include: • Category Adjacencies • Merchandising Synergies • Club Packs to include • Best location for merchandising • Impact on Category Sales

  20. 2011 Category Management Committee Goals • Review Store & Category layout to include: • Category Adjacencies • Merchandising Synergies

  21. Thought Process – Objectives Address categories that are declining in Share of Wallet (SOW) at DeCA based on panel data. Using Cross-Interaction Indices, look at categories that have high interaction with each other AND also considered major retailer’s aisle alignments. Observation: Re-aligning select sample of DeCA’s grocery categories/aisles to increase the likelihood of retention and conversion of Patron’s spending at Commissaries. 21

  22. Shopping Basket Cross Category Purchase Grid Basket Analysis: % Likelihood of Product Y being in the basket • When Product X is in the BASKET, Product Y is ALSO in the basket XX% of the time. Cross Purchase Analysis: Dollar Share index of Product Y versus all Households • Household’s that buy Product X index at XXX% versus all households for dollars spent on Product Y Source, IRI Symphony, Total US Foods A household that purchases JELLIES/JAMS is 15% more likely to purchase FRESH BREAD than an average household.

  23. South Central Chain - Layout #1 23

  24. 2011 Category Management Committee Goals • Club Packs to include: • Best location for merchandising • Impact on Category Sales

  25. Observations for the 52 Week Period Ending 4/16/11: • Club pack show the highest sales around May, and the lowest Oct-Dec • Club Pack $ sales up almost 7% vs. YAG • Total DeCA $ down -1.5%, however, non-club pack items down slightly more at -1.8% • All DeCA departments increased club pack $ vs. YAG, with the exception of Chill(-2.3%) • Total $ sales in all DeCA departments were down, with the exception of Chill (+2.9%) • The largest decline in total $ sales occurred in Grocery Non-Food, where non-club pack sales declined -3.9%, despite an 11.4% increase in club pack $ • Club packs contribute 46% more to total store sales in stores with dedicated club pack sections, despite carrying the same number of club pack items. • However, total store sales are down slightly more (-1.5%) in stores with dedicated club pack sections vs. stores w/o club pack sections (-1.1%) • In the Grocery and HBC depts, total $ declined at a greater rate in stores that generated fewer $ sales from club packs than stores that did a greater percentage of sales from club packs • In the Grocery-Non Food department, stores where club packs contribute less to total sales are trending better than stores that do a greater percentage of sales via club (-1.8% vs. -3.3%) • Club Packs contribute much more to total stores sales in Groc NF (14.1%) than they do in Grocery (5.4%), negatively effecting overall sales. 25

  26. Total Volume Trends Highest Volume in May timeframe Trough in Oct/Nov timeframe Volume By 4-Week Period Source: Empower IT - 52 w/e 4/16/2011 - Worldwide 26

  27. Total Volume Trends Total Dollar sales by Department Chill Dept up almost 3%, but sales of club items are down. Non-Club pack sales in Groc Non-Food down the most at -3.9%, despite club pack increases of 11% Frozen club packs had the biggest gains over 24% Source: Empower IT - 52 w/e 4/16/2011 - Worldwide 27

  28. Store Sales Club Pack Contribution to Store Sales Comm/Ex Audit on Presence of CP # of stores 15 73 24 49 • Stores without a dedicated Club Pack Aisle appear to stock as many CP items as stores with dedicated space, but those items provide less impact to overall store sales. • Stores that disperse CP into more than a single aisle have the highest contribution to sales and stock assortment. Source: Empower IT – ConUS DeCA, 52 w/e 4/16/2011 28

  29. Store Sales Store Dollar Trends Comm/Ex Audit on Presence of CP $ % Chg # of stores 15 73 24 49 • Overall store sales down slightly less in audited stores where there is no Club Pack Aisle compared to those where there is dedicated space • Non CP items performing better in these stores • Stores with dedicated space for CP show the most growth on CP items but these stores experience slightly greater declines in total store volume Source: Empower IT – ConUS DeCA Inc AK/HI, 52 Week End 4/16/2011 29

  30. Store Sales Grocery Department Stores sorted by $ % Contribution from CP Bottom 15 Stores Grocery - CP % Contribution Top 15 Stores Grocery - CP % Contribution Excl Keesler -3.2 -2.9 • The top Grocery Dept stores, on average, are stocking considerably more CP items than the stores that have the lowest portion of Grocery sales from CP • Top stores are clustered in the west • Excluding Keesler, stores in the bottom 15 are down -3.2% while CP’s are down -2.9%., underperforming against the top club stores Class 3-5 Stores Source: Empower IT – ConUS DeCA, 52 w/e 4/16/2011 30

  31. Store Sales Top & Bottom 15 CP Stores HBC Department % Contribution Top 15 Stores HBC - CP % Contribution Bottom 15 Stores HBC - CP % Contribution On average, dollar and package declines are trending worse in stores where club sales contribute less Class 3-5 Stores Source: Empower IT – ConUS DeCA, 52 w/e 4/16/11 31

  32. Store Sales Top & Bottom 15 CP Stores Grocery Non-Food Department % Contribution Top 15 Stores Grocery NF - CP % Contribution Bottom 15 Stores Grocery NF - CP % Contribution • Club pack contributions to total sales are greater for Groc – NF, and significantly higher in the top club stores • Overall, sales in the stores in the bottom 15 are trending better than those in the top 15 Class 3-5 Stores Source: Empower IT – ConUS DeCA, 52 w/e 4/16/2011 32

  33. 2011 Commissary Council May 12, 2011 Perishable Committee

  34. FY 2011 Perishable Committee Members Industry Members Joe Kovac - Alder Foods - chair Jim Herring – John Morrell – co chair Ainsley Everhart – D & S Randy Meador – Kraft Julian Stovall – S & K Keith Eubank – Sara Lee Kent Blue – Webco Rob Denecke – Elite Foods Paul Blocker – General Mills Rusty Crenshaw – OSC Rick Jones - Acosta Bob Hill – Sarvis Dave Linder – Produce Group Chris Obst – Land O Lakes Andi Mash – Nestle Sharon Slettebo—Dixon Steve Ganzert—First Wave Sales Steve Patterson –ConAgra Ed Klien—Chiquita Brands Bonita Moffett—Alder Foods Max Goldfarb – MGCI Milt Ackerman –Global Chris Moore --Dixon DeCA Members • Brad McMinn • LaRue Smith • Leslie Simpson • Craig Cleaveland • Regina Johnson • Bridget Bennett • Randi Robinson • Kay Blakley • Karen Hawkins • Lou Kennedy

  35. FY 2011 Perishable CommitteeFocus Areas Elevate Perishable Promotions Investigate increasing perishable Power Buys, Primaries and Manager Specials and recommend the best mix for effectively increasing sales. Seek to improve perishable promotions and categories to Patrons. Club Pack & Case Lot Promotions Will recommend perishable club pack promotional structure. Seek opportunities to increase perishable participation in case lot sales Explore Opportunities for Sales Advances The Committee will suggest to DeCA opportunities to achieve their 2011 dollar goals and objectives. Examine Current Retail Trends The Committee will examine current retail trends and report findings to DeCA by category and make suggestions to keep pace.

  36. FY 2011 Perishable Committee Focus Areas Industry Promotions/Cross Merchandising Group will research available industry funding for promoting perishable categories and recommend how DeCA can take advantage of these industry programs. Group will look at how we increase DeCA’s participation in industry merchandising contests to increase sales and promote these categories. Group will also research ways to formalize cross merchandising efforts between perishable & semi perishable categories. Merchandising Investments Group will research ways for DeCA to improve the quality and quantity of perishable display cases. Group will use financial discipline in order to qualify any possible recommendations.

  37. FY 2011 Perishable CommitteeCurrent Projects Sub Committee Frozen Chill Meat Produce Healthy Eating Campaign Perishables in future store designs Frozen / Chill Truck Load Sales July Farmer’s Market Trends

  38. 2011 Commissary Council May 12, 2011 Store Support Committee

  39. 2011 Store Support Committee Members Industry Steve Lamkin – Dunham & Smith Rob Wilson – P&G Tommie Draper – Overseas Tom Fehily – Commex Mike Hatfield – S&K Craig Murphy – Supervalu Kathleen Snydstrup – Kellogg’s DeCA Joyce Chandler Herb Winchester Chairman Joyce Chandler Herb Winchester Steve Lamkin Co-Chair Mike Hatfield

  40. 2011 Store Support Committee Initiatives • Item Transition Implementation • Understand the process • Get new item on shelf without loss of sales • Item Upgrade Implementation • Understand the process • Get upgraded items to the shelf quicker • Execution – Improved Store Support Merchandising • OTB / Shipper Promotions – Work with stores on case commitments. • Plan-o-gram Implementation – Develop Process: • Set Sections Quicker • Execution of Scorecard and 60 day implementation policy • Maintenance of Sets Is Essential • CAO Implementation • GS1 Data Bar Coupon – DECA Implementation

  41. 2011 Commissary Council May 12, 2011 Promotions Committee

  42. 2011 Promotions Committee Members Industry Frank Glotfelty – General Mills (Chair) Tommie Draper – OSC (Co- Chair) Tim Atwood – P&G Tim Brown – Empower IT Jason Burnett – MDV Nash Finch JD Fenessy – Del Monte Sandi Ferguson – Acosta Jeff Mitchell – ConAgra David Morgan – Nestle Craig Murphy – Supervalu Sharon Slettebo – DMI Steve Sones – Alder Foods Nadja Stein – Nielsen MaryAnne Sullivan – Sarvis David Waybright – Heinz Randy Hardee– Elite Brands Phil Kerry– D&S Randy Meador – Kraft Diane Maxwell – S&K Sales Lance Batson – Hershey Jim Glynn – Unilever DeCA Charlie Dowlen

  43. 2011 Promotions Team Initiatives • Next Generation Shelf Media Sign Project • Status: • DeCA NTT 11-37 Published February 25, 2011 • Program Outline, Specs/Sign Content, 6/1/11 Req. Conversion Comp. Date • DeCA Marketing Campaign Being Executed. • Will work through any potential issues as they come up. • Once New Signs are in Place…Possible Next Generation Sign Objective: • Score DeCA items…which Items fit FDA requirements to be considered “Healthy” • Example: Green Sign that indicates an Item is Organic, All Natural, Low in Sugar or Low Salt. • Savings Measures on signs-% vs Cents Off • Investigate DeCA Savings vs AVG Grocery Retail Price

  44. 2011 Promotions Team Initiatives • 2012 Promotional Matrix • April ‘11 NTT to Trade requesting input • POC Russ Moffet (ALA)—Feedback Due Back by May 30, 2011 • NTT Targeted FINAL Release Date (Late June ‘11) • 2012 Promotional Calendar with New Themes • Adjust Promotional Display/Pricing Timing • Annual Easter Shift • Leap Year for 2012 • Minimize 45-Day Pricing Periods (3 vs 7 LY) • Major Theme Events—DeCA Requests Industry Input • POC Tim Atwood • NTT Targeted Release Date (June ‘11) Rev 7/19/10

  45. 2011 Promotions Team Initiatives • Mandates • Do the Mandated Packages have too many items in them? • Some Stores reporting having difficulty executing all mandatory Mandated Items (PB, P, Mgr Spc) • What is a reasonable amount of Mandatory Promoted Items in Each Package? • Power Buys, Primary, Manager Specials • How does Retail “Competition” Operate? • Are they Reducing Promoted Item Count?...or are they increasing this #? • Ads: Hourly, Daily, Weekend, Weekly, Monthly • If you Reduce the Package size (lower the bar for all stores)…Will you get less? • Do you lose sales at those Stores that can stretch…and want to do more? • How do you get to $6 Billion in Sales if you lower the bar?

  46. COMPLIANCE PER PROMOTION CODE

  47. AVERAGE NUMBER OF ITEMS SCANNED IN EACH DeCA STORE - 2010

  48. AVERAGE NUMBER OF ITEMS SCANNED IN EACH DeCA STORE – 2011 YTD THROUGH PERIOD 6

  49. AVERAGE NUMBER OF ITEMS IN DeCA PROMO PACKAGE 2007 2008 2009 2010

  50. 2010 – TOTAL AVERAGE NUMBER OF ITEMS IN DeCA PROMOTION PACKAGES

More Related