Category management strategy for global groceries chain

Case study:

Category management strategy for global groceries chain

  • Leading international groceries chain sought to review its non-food category offering
  • Aimed to enhance innovation, promote cross-country centralization and improve multi-channel propositions
  • Objective was to optimize the non-food category strategy, improve sourcing efficiency and enhance customer experience
  • Performed comprehensive benchmarking against competitors and specialist retailers
  • Analyzed various aspects including product assortment, pricing, merchandising and customer experience
  • Identified best practices and gaps in the client’s current offering
  • Identified country-specific characteristics and built clusters of comparable countries considering factors such as consumer preferences, competitive positioning and strategic importance of the non-food business
  • Defined strategic roles for each non-food category group – margin drivers, local accentuation, or drive-to-store
  • Explored sourcing/procurement models like full category management, catalogue buying and supplier bundling and feasible approach per international country cluster
  • Assessed the feasibility, advantages and risks of each model in the client’s specific context
  • Built a comprehensive business case with expected savings from improved conditions and operational efficiencies
  • Developed a detailed implementation plan
  • Secured management endorsement for the proposed non-food strategy on central an country level
  • Achieved organizational alignment around a common non-food category vision
  • Delivered a compelling business case highlighting financial benefits from improved sourcing conditions and stronger assortments
  • Kicked-off staffing of new central non-food organization with with necessary skills and expertise
  • Initiated global implementation of the non-food strategy
  • Developed a phased roll-out plan for smooth adoption
  • Established a governance structure and performance metrics for progress tracking

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