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Promotions & Marketing

Promotions & Marketing

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Promotions & Marketing

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  1. Promotions & Marketing Breakout Session D & I Productions May 2012

  2. Promotions & Marketing • Focus of Today’s Breakout Session • What DeCA and Industry are Doing Well • Mike Pfister, Maryanne Sullivan, Tim Brown and Tom Fehily • Why we Promote? • Charlie Dowlen and Ron Maxey • Why Marketing? • Sallie Cauthers and Mike Hatfield • Areas of Opportunity • Michelle Frost and Leah Gardner 2 2

  3. Promotions & Marketing • Did Someone Say Fun??????? • Lights • Camera • Action 3 3

  4. Promotions & Marketing • Fun Cast – Take 1 • Theme – What we are Doing Well • Starring • Mr. Michael Pfister, DeCA/Store Operations • Ms. Maryanne Sullivan, Advantage Sales 4 4

  5. Promotions & Marketing • DeCA and Industry do a Good Job of Partnering to Execute Published Promotional Plans • Display Compliance • Display Activity • -Ensuring Enough Inventory is on Display to Meet Patrons Needs • -Full End Caps From Start to Finish • -Mass Displays 5 5

  6. Promotions & Marketing Post Re-Org Improvements 6 6 Source: CommEx

  7. Promotions & Marketing Why Focus Items Matter…. • Power Buys, Manager Specials and Primaries Account for: • 4.3% of the Items in the Promo Package, and • 21% of the Promo Package Dollar Sales Source: Empower IT 7 7

  8. Why execution on focus items matters…. Focus Items Compared to Total Grocery As compliance on the focus items has increased, so has their $ contribution to Grocery Source: Empower IT

  9. Promotions & Marketing • DeCA and Industry doing a Good Job of Partnering to Execute Published Promotional Plans: • DISPLAY ACTIVITY!! • Keeps Product in Stock and Available for Duration of Display Period. • 2. Creates a “WOW” Factor to Enhance the Shopping Experience. • = Execution at its Finest 9 9

  10. Mass Display Creativity (Themed)

  11. Promotions & Marketing • Compliance + Display = Execution • Greater Patron Savings • Sell More/ Save More • Greater Overall Sales Performance & Sales Lift • On Average 30-50% • 3. Executed Promotional Plans Generate Opportunities for Additional Manufacturer Funds!! • $$$$$$$$$$$$$$ 21 21

  12. Promotions & Marketing • Fun Cast – Take 2 • Theme – Why we Promote • Starring: • Mr. Charlie Dowlen, DeCA/Sales – Promotions • Mr. Ron Maxey, Procter & Gamble 22 22

  13. Why do we Promote? • Deliver the Promise of the Lowest Price to Military Patrons! • Promotional Differences: DeCA vs Retail • Non-Profit vs Profit • Number of Mandated Items Promoted Every Month • DeCA: 124 items (Managers Specials-Power Buys-Primary) Average Per Mandated 2 Week Period (250/month). • Retail: On Average Retail will have 500 Mandated Items Promoted each Month. Many Different Types of Promotions-- Hourly, Daily, Weekend, Weekly, Bi-Weekly, Monthly. Displays Change Often at Retail. • Challenges • Loss Leaders • Cannot Market to the Highest Bidder 23 23

  14. Why do we Promote? • Why the Same Items all the Time? • Top Selling Items (Destination Categories) Drive Promotional Frequency. • DeCA Items Selected are on Similar Timing as Retail. • DeCA Follows a Promotional Matrix by Category Which is Reviewed Annually • Matrix Example: CANNED/BOTTLED FRUIT • Based on Sales Canned/Bottled Fruit will not be Promoted May-June or July. 24 24

  15. Why do we Promote? • Why are there Mandated Qty’s/How are They Arrived at? • Top Selling items/Categories • (Examples: Snack--Laundry Detergent) Drive Category Growth • Many Times These are Seasonal Items • Historical Sales Data From Past Promotions 25 25

  16. Promotions & Marketing • Fun Cast – Take 3 • Theme – Why We Market • Starring: • Ms. Sallie Cauthers, DeCA/Sales – Marketing • Mr. Mike Hatfield, S & K Sales Company 26 26

  17. Promotions & Marketing • Promote In-store Sales Periods, Special Events, Guard/Reserve On-site Sales, and Department of Defense Partnerships. • Generate press releases • Coordinate campaign promotion plans • Provide Web content • Create social media and e-newsletter postings. 27 27

  18. Promotions & Marketing • May – Family Fun Fitness Festival (Partnership with Exchanges and MWR) • June – Your Pet, Your Family (Industry Demos and Pet Festivals) • July – Farmers’ Markets (Month-long, Outdoor Produce Markets) • August – Back-to-School (Cross-promotion Tactics with Exchanges) 28 28

  19. Promotions & Marketing • Serve as Marketing/Creative Consultant for Special Event Planning. • Assists in Local Marketing of Celebrity Visits. • Develops Radio Spots and Social Media Postings for Large Partnerships/Community-wide Events. • Serve as a Sounding Board on any New Ideas you May have in Enticing Young and/or Newly-joined Military into the Commissary. 29 29

  20. Promotions & Marketing • Fun Cast – Take 4 • Theme – Areas of Opportunity • Starring: • Ms. Michelle Frost, DeCA Promotions & Marketing Division • Ms. Leah Gardner, Kraft Foods 30 30

  21. Areas of Opportunities • Current State • Mandate Package is Large/Difficult to Execute • Manager Specials, Power Buy, Primary’s, Shippers • Secondary's, One Time Buys, Features, Line Extensions • Promotional Matrix Complexity • Opportunities • Execute Display for Entire Display Period • Clear Direction on Required Displays • Patron Savings Focus 31 31

  22. Areas of Opportunity • Future State • Promotional Goals/Expectations • Savings, Sales Potential, Display Effectiveness • Streamlined Promotional Package • Simplify Display Definitions and Compliance Needs • Promotion Matrix Refinement Based on Military & Total US Consumption Data • Category Consolidation • Reduction in Frequency of Promoted Categories • Push Quantities to Stores 32 32

  23. Promotions and Marketing • Questions? 33 33

  24. Promotions and Marketing • That’s A Wrap – Thank you for attending today’s event. 34 34