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Category Management Case

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1 Category Management Case

2 Six Core Elements of Anheuser-Busch’s Category Management Program...
Focused Resources…a sales team focused on your business needs. Objectivity…we will focus on your goals and your shopper’s needs, driving total beer category sales and profits. Best of Class Category Management Process…our team will work with you to deliver results through industry leading category management practices. Data Resources and Insights…we have invested in the best consumer information in the industry, enabling our team to make better business decisions. Execution…we have the finest wholesaler system in the industry, capable of executing category plans at store level, better than any other supplier. Business Results…we will focus on innovation to deliver “breakthrough results” for the entire beer category. The Foundation of Anheuser-Busch Category Management Initiatives

3 Anheuser-Busch Team Resources
Senior Management Sales Director/ Team Leader Wholesaler Organization Key Account Manager Micromarketing Marketing & Consumer Research Managers Geo Marketing Retail Customers Cross Functional Department Managers Retail Marketing IRI, Spectra & ACNielsen On-Sites Information Technology Business Analysts Category Managers Electronic Commerce Category Space Manager An Anheuser-Busch Team, Ready to Address Your Beer Category Needs

4 Anheuser-Busch Vision & Mission
To Be the First Choice of Customers Everywhere Vision Through all of our products, services and relationships, we will add to life’s enjoyment. Mission Be the world’s beer company; enrich and entertain a global audience; deliver superior returns to our shareholders. Category Management Vision & Mission To be the most sought after internal and external retail industry consultant by exceeding customer needs and expectations. Create customer / consumer satisfaction that builds customer loyalty. Anheuser-Busch Corporate and Category Management Vision & Mission Statements

5 Category Management Something Old and Something New
Promotional Plan Retail Pricing Merchandising Space Management Product Mix Consumer Behavior Competitive Environment Category Goals Category Management Program Category Management Program Category Management Takes Your Traditional Retail Activities and Funnels Them Through Overall Strategy

6 Category Management Consumer Equity = Retailer Equity plus Brand Equity Consumer Retailer Equity Category Management Manufacturer Brand Equity The Overall Purpose of Category Management… Building Consumer Equity

7 A-B Category Management Process
Understand retailer goals, objectives and current market position Uncover opportunities and provide solutions Communication and tracking The Anheuser-Busch Category Management Process Consists of Three Major Steps

8 A-B Category Management Process
Understanding Retailer Goals, Objectives and Current Market Position Profile, Category Roles & Strategies In-Store Review Definition S.W.O.T. Behind each process step, are the traditional industry Best Practices, along with modifications designed to meet specific needs of the Beer Category. Uncover Opportunities/Provide Solutions Category Assessment Industry Consumer/Shopper Market/Retailer Assortment/Space Assessment & Solutions Promotion Assessment & Solutions Pricing Assessment & Recommendations Communication & Tracking Communicate and Execute Category Plan Scorecard / Measure Results

9 A-B Category Management Process
Before any Category Management work starts, there are many Step I questions that must be addressed, such as: From a consumer perspective, how is the Beer Category defined? What is the retailer’s overall corporate mission and strategy, and how important is beer to the retailer? What is the key role of the Beer Category? What are the current in-store conditions? What are the retailer’s Strengths, Weaknesses, Opportunities, & Threats (SWOT)? I. Understanding Retailer Goals, Objectives and Current Market Position Definition Profile, Category Roles & Strategies S.W.O.T. In-Store Review

10 A-B Category Management Process—Step I
I. Understanding Retailer Goals, Objectives and Current Market Position Profile, Category Roles & Strategies Definition S.W.O.T. In-Store Review The S.W.O.T. concept may be simple, but at Anheuser-Busch, we’ve found this technique to be a very effective way to tap the knowledge and insights of all focused on your objectives…

11 SWOT is Old Fashioned Yet Effective
Retailer Resources HQ Div Offices District Stores AB Resources HQ Field Wholesaler Retailer Goals & Objectives The S.W.O.T. process, not typically found in industry Category Management practices, allows all partners to concentrate on key factors to insure success in achieving your overall Goals & Objectives…

12 Strengths Weaknesses Opportunities and Threats
Market Level Strengths Weaknesses Opportunities and Threats Merchandising Display & Ad / Features Space Management Pricing Market Positioning Competition Store Characteristics / Culture Operations Back Room Delivery / Service Frequency Market Level S.W.O.T.’s Focus on Identifying Opportunities in the Areas of Merchandising, Operations and Market Positioning

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