Ms. Bonnie Kanitz Director, DeCA East Ms. Bonnie Kanitz Director, DeCA East.
DeCA East
description
Transcript of DeCA East
![Page 1: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/1.jpg)
DeCA EastDeCA East
Mr. Randy ChandlerDirector, SalesMr. Randy ChandlerDirector, Sales
Sales UpdateSales Update
![Page 2: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/2.jpg)
TOTAL SALES ALL 11 ZONES UP
GROCERY SALES ALL 11 ZONES UP
PRODUCE SALES ALL 11 ZONES UP
MEAT SALES 6 OF 11 ZONES UP
TRANSACTIONS 9 OF 11 ZONES UP
TOTAL SALES ALL 11 ZONES UP
GROCERY SALES ALL 11 ZONES UP
PRODUCE SALES ALL 11 ZONES UP
MEAT SALES 6 OF 11 ZONES UP
TRANSACTIONS 9 OF 11 ZONES UP
YTD East Zone Sales YTD East Zone Sales
Thru April 2008Thru April 2008
![Page 3: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/3.jpg)
* Indexed to Region Average
* Indexed to Region Average
DepartmentDepartment ZoneZone Percent Percent ChangeChange Index*Index*
Total SalesTotal Sales 2626 +5.9%+5.9% 145145
Grocery Grocery SalesSales 2929 +5.9%+5.9% 144144
Produce Produce SalesSales 2626 +11.6%+11.6% 183183
Meat SalesMeat Sales 2929 +4.9%+4.9% 397397
TransactionsTransactions 2121 +3.4%+3.4% 237237
East Zone Leaders - SalesEast Zone Leaders - Sales
Thru April 2008Thru April 2008
![Page 4: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/4.jpg)
ZoneZone Dollar IncreaseDollar Increase PercenPercent t
2121 $98,069.26$98,069.26 70%70%
2323 $91,399.50$91,399.50 73%73%
2525 $80,042.38$80,042.38 14%14%
2626 $114,570.59$114,570.59 21%21%
May Case Lot SaleMay Case Lot Sale
![Page 5: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/5.jpg)
Store Dollar Increase Percent
Hanscom $28,206.83 110%
McGuire $55,928.29 111%
Fort Buchanan $31,141.86 100%
Carlisle Barracks
$19,653.94 198%
Fort Meade $89,462.70 66%
Fort McCoy $26,659.13 162%
Ft. Ben Harrison
$20,187.29 150%
May Case Lot SaleMay Case Lot Sale
![Page 6: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/6.jpg)
![Page 7: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/7.jpg)
![Page 8: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/8.jpg)
![Page 9: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/9.jpg)
End of Cheap Food? End of Cheap Food?
Healthcare costs
Oil price surge
Weak dollar
Weather• Drought in Australia
• Flooding in Argentina
Demand• China beef consumption has doubled
Impact of ethanol
Healthcare costs
Oil price surge
Weak dollar
Weather• Drought in Australia
• Flooding in Argentina
Demand• China beef consumption has doubled
Impact of ethanol
![Page 10: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/10.jpg)
WaterWater
It takes 450 lbs of
corn to produce enough
ethanol to fill an SUV gas tank
It takes 800
gallons of water per person per
day to produce
daily food intake
CornCorn
1,500 gls water = 1lb beef
7 lbs corn = 1lb beef
2.5 lbs corn = 1lb poultry
Sustainability? Sustainability?
![Page 11: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/11.jpg)
Consumer Impact Consumer Impact
FMI Trend Reports
• 71% increase in home cooking frequency
• 67% buying fewer luxury items
• 60% buying more store brands
Value will be focus
Fewer trips to secondary stores
Fewer trips = STOCK UP
FMI Trend Reports
• 71% increase in home cooking frequency
• 67% buying fewer luxury items
• 60% buying more store brands
Value will be focus
Fewer trips to secondary stores
Fewer trips = STOCK UP
![Page 12: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/12.jpg)
Retail Shift Retail Shift
New outlets
• Supercenters, 70%
• Dollar stores, 64%
Losing ground
• Drug channel, -3%
• Grocery, -6%.
Same store dollar sales declined as well
New outlets
• Supercenters, 70%
• Dollar stores, 64%
Losing ground
• Drug channel, -3%
• Grocery, -6%.
Same store dollar sales declined as well
![Page 13: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/13.jpg)
Defining TrendsDefining Trends
Four trends will shape the retail operating
environment the remainder of this decade: Aging population
Increasing ethnic diversity
Need for speed
Health & wellness concerns
Opportunities products, alterations to the
store (lighting, store set) accommodate
older shoppers’ limitations
Four trends will shape the retail operating
environment the remainder of this decade: Aging population
Increasing ethnic diversity
Need for speed
Health & wellness concerns
Opportunities products, alterations to the
store (lighting, store set) accommodate
older shoppers’ limitations
![Page 14: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/14.jpg)
The Three PsThe Three Ps
Manufacturers trying to keep pace with new
items
• Portability
• Preparation simplicity
• Preparation time
New product concepts must respond to
speed-of-life issues without sacrificing flavor
Manufacturers trying to keep pace with new
items
• Portability
• Preparation simplicity
• Preparation time
New product concepts must respond to
speed-of-life issues without sacrificing flavor
![Page 15: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/15.jpg)
Fastest-Growing CategoriesFastest-Growing Categories
1. Drinkable yogurt
2. Fresh fish/shellfish & seafood
3. Alcoholic cider
4. Ready-to-eat salads
5. Baby formula
6. Dairy-based drinks
Source: executive news report from nielsen global services,
december 2006
1. Drinkable yogurt
2. Fresh fish/shellfish & seafood
3. Alcoholic cider
4. Ready-to-eat salads
5. Baby formula
6. Dairy-based drinks
Source: executive news report from nielsen global services,
december 2006
>$1 Billion>$1 Billion
![Page 16: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/16.jpg)
New Team Members New Team Members
Michelle Frost – Chief, Semi-Perishable
Division
Brad McMinn – Chief, Perishable
Barbara Merriweather – Category Manager,
Local/DSD
Michelle Frost – Chief, Semi-Perishable
Division
Brad McMinn – Chief, Perishable
Barbara Merriweather – Category Manager,
Local/DSD
![Page 17: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/17.jpg)
Promotions Promotions
Total items published reduced 21%
• Dollar Sales Per SKU + 5%
• Units Per SKU + 7%
Increase Pallets/Shippers
Incorporate Club Packs
• Averaging $6.8 million per month
• $2 million per month increase
Seasonal Programs + $9 million
Total items published reduced 21%
• Dollar Sales Per SKU + 5%
• Units Per SKU + 7%
Increase Pallets/Shippers
Incorporate Club Packs
• Averaging $6.8 million per month
• $2 million per month increase
Seasonal Programs + $9 million
![Page 18: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/18.jpg)
Front End RacksFront End Racks
Fixtures have been selected
Currently
• Developing stock assortment
• Surveying stores select type of fixtures
60 days to manufacture equipment
Phased implementation - September
Fixtures have been selected
Currently
• Developing stock assortment
• Surveying stores select type of fixtures
60 days to manufacture equipment
Phased implementation - September
![Page 19: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/19.jpg)
![Page 20: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/20.jpg)
![Page 21: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/21.jpg)
![Page 22: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/22.jpg)
Check It OutCheck It Out
Shoppers choosing self-checkout:• Wal-Mart (45%)
• Kroger (43%)
• Target (40%)
• Publix (28%)
• Costco (26%)
• Whole Foods (14%)
• Safeway (13%)
• Meijer (11%)
• Albertson’s (11%).
Shoppers choosing self-checkout:• Wal-Mart (45%)
• Kroger (43%)
• Target (40%)
• Publix (28%)
• Costco (26%)
• Whole Foods (14%)
• Safeway (13%)
• Meijer (11%)
• Albertson’s (11%).
![Page 23: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/23.jpg)
Space Allocation – Bragg North Space Allocation – Bragg North
Today little variance in plan-o-grams
• Based on historic sales data
• Sets based on class of store
• No factor for lost sales or promoted volume
Reduce space in declining categories
• Fewer items = IN STOCK
Reconfigure flow to maximize allocation
efficiencies
Today little variance in plan-o-grams
• Based on historic sales data
• Sets based on class of store
• No factor for lost sales or promoted volume
Reduce space in declining categories
• Fewer items = IN STOCK
Reconfigure flow to maximize allocation
efficiencies
![Page 24: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/24.jpg)
Organic OptionsOrganic Options
Organic food sales represent just 2.5%
Organics grew 30% in 2007
Grown roughly 20% per year for past five years
Grocery annual sales grew 3–5% overall
Organic food sales predicted to double as early
as 2009
Organic offerings in personal care, nutritional
supplements, household cleaners, and pet food
Organic food sales represent just 2.5%
Organics grew 30% in 2007
Grown roughly 20% per year for past five years
Grocery annual sales grew 3–5% overall
Organic food sales predicted to double as early
as 2009
Organic offerings in personal care, nutritional
supplements, household cleaners, and pet food
![Page 25: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/25.jpg)
Organic Products• Items up 39% in last 12 month – from 460 to 641
• Sales up 40% (Apr–Mar over prior year) to 33.5m
Environmental Initiatives Reusable grocery bags
sold starting 10/30/2007• Over 1,007,000 sold thru 05/14/2008
Compact fluorescent light (CFL) bulbs, FY 08
Goal: 1 Million • Over 733,000 sold FYTD – thru 05/14/2008
Organic Products• Items up 39% in last 12 month – from 460 to 641
• Sales up 40% (Apr–Mar over prior year) to 33.5m
Environmental Initiatives Reusable grocery bags
sold starting 10/30/2007• Over 1,007,000 sold thru 05/14/2008
Compact fluorescent light (CFL) bulbs, FY 08
Goal: 1 Million • Over 733,000 sold FYTD – thru 05/14/2008
Focused on “Green” EffortsFocused on “Green” Efforts
![Page 26: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/26.jpg)
Expand Benefit - Access G/R Expand Benefit - Access G/R
Developing staff office for support Serve as single POC for store support
• Logistics
• Communication
• Transportation
• Equipment
Develop “Virtual Solution”• Internet ordering – on site payment
• Develop total solution to include payment
• Expand – self fulfillment
Developing staff office for support Serve as single POC for store support
• Logistics
• Communication
• Transportation
• Equipment
Develop “Virtual Solution”• Internet ordering – on site payment
• Develop total solution to include payment
• Expand – self fulfillment
![Page 27: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/27.jpg)
Retail PerspectiveRetail Perspective
Consumers are plugged into technology
Logging on to plan trips search for
restaurants and socialize
Top 15 web domains
• eBay.com, 1st
• Amazon.com, 5th
• Target.com, 12th
• Wal-Mart.com, 15th
Consumers are plugged into technology
Logging on to plan trips search for
restaurants and socialize
Top 15 web domains
• eBay.com, 1st
• Amazon.com, 5th
• Target.com, 12th
• Wal-Mart.com, 15th
![Page 28: DeCA East](https://reader034.fdocuments.us/reader034/viewer/2022051316/56813c8a550346895da62bf2/html5/thumbnails/28.jpg)
Mr. Randy ChandlerDirector, SalesMr. Randy ChandlerDirector, Sales
Thank You!Thank You!