Trade Marketing Focus: Empower Key Influencing Factors

By PA Basheer BSc. MA MBA

Businesses need to create a great product, but they also need to produce it in the right quantity and make it visible to right consumersand thats why in-house marketing is critical.

In this guide, Basheer P.A, a successful business strategist, walks you through, how to create promotional plans and how to execute it, with excellence. The strategies and best practices will help you quickly capture the attention of consumers.

He shares insights on key marketing topics, including:

ways to maintain a feeling of warmth and connection with customers;
elements you must track when observing competitors;
tips on using minimum resources to achieve maximum results; and
strategies to maximize the value of consumer feedback.

Whether youre a business management student, business professional, business owner, distribution, sales or marketing professional or consultant, you can easily take what you apply to overcome common business obstacles and achieve success.

Improve the efficiency of yourself, your employees and/or coworkers, and your entire organization with the lessons in Trade Marketing Focus.

• Language: English
• Publisher: Partridge Publishing India
• Release date: Mar 31, 2017
• ISBN: 9781482889048

PA Basheer BSc. MA MBA

PA Basheer, BSc., MA, MBA earned a bachelor’s degree in physics, a master’s degree in social science, and the Academic Excellence Award for MBA studies from the MG University Off-Campus Center at Dubai Academic City. He worked with British American Tobacco as a consultant for their Global Travel Retail business and also handled some of the company’s key trade marketing functions. He spearheaded the renowned Electronics Group in the Middle East as CEO—Flexy Electronics & Home Appliances.

Book preview

Trade

Marketing

Focus

Empower Key Influencing Factors

PA BASHEER, BSC., MA, MBA

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Copyright © 2017 by Basheer P.A.

All rights reserved. No part of this book may be used or reproduced by any means, graphic, electronic, or mechanical, including photocopying, recording, taping or by any information storage retrieval system without the written permission of the author except in the case of brief quotations embodied in critical articles and reviews.

Because of the dynamic nature of the Internet, any web addresses or links contained in this book may have changed since publication and may no longer be valid. The views expressed in this work are solely those of the author and do not necessarily reflect the views of the publisher, and the publisher hereby disclaims any responsibility for them.

Partridge India

000 800 10062 62

www.partridgepublishing.com/india

Contents

Preface

About the Author…..

How does this book help business?

The Basics

Chapter 1 What is Trade?

Chapter 2 Marketing element in Trade Marketing

Chapter 3 What is Trade Marketing?

Chapter 4 FMCG Product Market

Chapter 5 The Evolution of TM

Chapter 6 Business environments & Retail format

Chapter 7 The role of TM & TM Philosophy

Chapter 8 Components of TM & its Process

Chapter 9 Scope of TM Department

Strategic

Chapter 10 Pareto principle & its Relevance in Trade Marketing

Chapter 11 Importance of brand positioning in TM

Chapter 12 Identify the Right Outlet

Chapter 13 Market Universe & Circle of reach

Chapter 14 Advocacy

Chapter 15 Negotiation

Chapter 16 Key Performance Indicators (KPI)

Chapter 17 Trade Marketing ROI

Chapter 18 Best Practices

Chapter 19 Social Responsibility, Ethical and Environmental values

Chapter 20 Time Management

Chapter 21 Change Management

Chapter 22 Importance of training

Chapter 23 Job Description

Chapter 24 In-Store Investment Strategy and Consumer Behavior

Chapter 25 Relationship management & Customer satisfaction

Operational

Chapter 26 Elements of Trade Marketing

Chapter 27 Category management

Chapter 28 Order Management

Chapter 29 Journey Plan & Control Mechanism

Chapter 30 Manage the Field visits & Call steps

Chapter 31 Space Management & Revenue

Chapter 32 Target settings

Chapter 33 Pirated stock and illegal routes

Chapter 34 Market Audit

Executional

Chapter 35 Importance of Distribution network

Chapter 36 Excellence in execution

Chapter 37 Instructions, Evaluations & Reviews

Chapter 38 Budget allocations

Chapter 39 Merchandising

Chapter 40 Sales Management & TM

Chapter 41 Client perceptions

Chapter 42 Customer and Consumer Grievance & TM Intervention

Chapter 43 Promotions and Loyalty programs

Chapter 44 Sampling

Chapter 45 Events and Parties

Chapter 46 Social Media and Trade Marketing

Conclusion

Bibliography

Glossary

PREFACE

The business model has been transformed over the period of time. The Market equations have been changed from consumer centricity to customer focus. Empowering the key influencing factors has become crucial at this point of time. The influencing people must be the target point and they are the best people to convey your story.

In an FMCG/SMCG market scenario, identifying those key elements -KSF (Key success factors) are extremely important.

How to identify those key factors? How to apply the 80/20 rule in the business?

As the time grows and business sets its pace and gaining momentum, the players in the game falls into comfort zone. They do not hunt for excitements, innovations and do not ride another mile to find a new challenge and capitalize it and which brings opportunity loss to the company. Many untapped resources and unexploited talents are there in many SMEs & MLEs (small, Medium and Large Enterprises) and it will remain the same on the floor of organizations unless you do not tweak it.

The missing element is the Focus, people are tempt ‘to beat around the bush’ and passing through the time for the sake of completing the period to meet their means.

Management studies proclaims that there is always a better way to do things, for which we need to hunt for exciting elements with a global thought, adaptability for innovations and to get along with the wave.

The success story of big business is all about their approach, determination and the strategic way!

What are the SMEs/MLEs suffering from, in the business scenario? They are unable to follow an organized PoA (Plan of action) and SoP (standard operating procedure), the human resources not been utilized /exploited optimal and the absence of a professional control mechanism and eventually it leads to opportunity loss and revenue loss!

Long years of experience in the professional and corporate circle, extended me the privilege of knowing and to get acquainted with the term ‘Trade Marketing’. During those days I was trying to find out some books related to the segment at various book shelves, searched in many book shops, but there was nothing available as such.

Later I was searching on the net for the same, some bits and pieces of knowledge was available here and there whereas a comprehensive reference was not available at all, and found something in French language where the trade marketing approach is more prominent, language barrier stopped me to take it further.

This has been inspired me to write a relevant book, sharing my life experience to support the trade and marketers, also to leave the kind of information for the future generations.

This book is trying to shed light to the core subject –Business development through trade marketing approach. Or it can be called as applying Pareto principle in business. It is trying to guide how to implement 80/20 principle in your business.

It is a humble attempt to bring the thoughts of many people too from all corners of the world on this particular subject, which are put together with my kind of introduction and perception to it, for your reference.

Let me take this opportunity to thank my beloved wife Anisa and my sweet boys Afthab and Ansaf for their meticulous support throughout, also to push me to go for such a remarkable attempt and to continue my professional studies.

Let me express my sincere gratitude to Mr. Nissar Syed who inspired me to publish this book.

Many thanks to Mr. Sainudheen Cheleri who introduced me to many people from media industry.

Thanks Mr. Pratheesh Cherian and Mr. Mohammed Riyas for your kind support.

Many thanks to Mr. Sreekanth Karath for his guidance and advice to associate with right people from the segment.

Thanks to Mr. Amit Menon who helped me in the initial proof reading and thanks to Mr. Anunath who supported me with the graphical job and beautiful cover design.

All thanks to Mr. Soumen Gosh – (Author of many books) who guided me to associate with Patridge for publishing this book.

Thanking from bottom of my heart, Mr. Kabeer PK my dearest friend and brother for his outstanding support during all my struggling periods in life, and my friend Mr. TN Krishna who supported me every single day without fail, to keep me back on rail during my difficult days.

Sincere gratitude to the glorious country United Arab Emirates to help me to find my bread and butter, gave me opportunity to live in a country with all luxuries are accessible, a country with a big heart to tolerate all cultures and to become a true cosmopolitan.

Many thanks for the support and guidance from the team Patridge.

Thanks for the prayers of my mom, brothers, their family, friends and allow me to remember my deceased father here.

Thank God for giving me longevity to publish this book!

ABOUT THE AUTHOR…..

PA Basheer, BSc., MA, MBA.

P A Basheer did his Bachelor’s Degree in Physics and Masters in Social Science in the year 1989 and 1991 respectively. He presumed studies after a break of 16 years and received, Academic Excellence Award for MBA studies during 2007-2009 from MG University Off-campus center at Dubai Academic City.

Basheer worked with British American Tobacco as a consultant for their Global Travel Retail business and earlier handled various key positions of Trade Marketing department including Zonal in-charge, Trade Marketing Representative, Trade Marketing Executive, Key Accounts Executive etc. ….

Basheer spear headed the renowned Electronics Group in the Middle East as Chief Executive Officer – Flexy Electronics & Home Appliances, a regional company based in the United Arab Emirates.

With 2 Decades of versatile Gulf Experience, Currently Basheer holds many key portfolios and extends his expertise and renders his services with various companies such as…

Along with this book a Trade focus, business development and control mechanism Application also going to be launched in the name of ‘Biz Watch’.

• Managing Director – Biz Technologies FZE, Dubai Silicon Oasis, Dubai - Business Consultants - Technology, Training & Text

• Managing Director- BizBeez Honey –Hill Garden, Kerala, india

• Director - Angel Care – Infant Care Solutions – Ajman, UAE.

• Consultant at Asia vision – www.asiavisionadvertising.com, Dubai, UAE.

• Consultant - Innovative Media Group (www.img-mena.com), Dubai.

• Consultant & Trainer: Polyfab Plastic Industries LLC, Ajman, UAE

• Consultant with www.imsuae.com Media Research and Survey company, Dubai, UAE

• Consultant at –Kimatsu corporation, www.kimatsu.com, Mumbai, India

Basheer PA, Pokkakillath House, Hill Garden

Kechery, Kerala, India,+ 91 9645590242 &

Techno Hub, Dubai Silicon Oasis,

Dubai, UAE, [phone]

[e-mail], [e-mail]

www.biztalkworld.com

HOW DOES THIS BOOK HELP BUSINESS?

In a product selling network, there is a system to supply for the distribution of stock, which MNCs are religiously following, whereas no concrete plans are established with SME or MLE companies to ensure the availability of those distributed stock to consumers in an easily accessible manner.

This is not an ultimate reference for Trade Marketing but it sheds light on the behavioral pattern of trade marketing scenario. It could help to construct a possible and positive mind set towards the handling of the trade in favor of you!

This book talks about how to ensure the availability of product, where it is supposed to be available and in what quantity? Where it should be visible?

The distributed stock is normally kept somewhere as per the convenience of the trader, it may not have given the importance what it deserves or it is to be given, this book talks about how that importance to be given and how to grab that importance with a favor from the retailer.

In-house marketing is very important in the off take of products, how those activities are formulated, you may refer this book to check how it takes place, and it talks about promotional activity management along with the promo material installations – which is the tactical way to grab the quick attention of consumers, shoppers or window shoppers

Competition Activity Surveillance: To survive in the market you need to have a close watch at your competitors, this book advises how those elements are tracked.

Customer Relation Management: Keeping a warmth of relation with your customer is the key for the success of your business model, how do you take it ahead?

Consumer Contacts and Feedbacks: Understanding the perception of your consumer will give you the opportunity to grow and take you to a further level.

By the end of reading this book, it will come handy and it could support all Business Management Students, Business Professionals, Business Owners, Distribution, Sales, Marketing & Trade people and Consultants who can easily access this book for their reference to understand how the product supply market environment looks like and how one can tackle the issues and how to formulate strategies in a trade marketing environment.

In a nutshell this book helps to improve the efficiency of the staff and effectiveness in the job performance, through which it shows how to improve the quality of the job, eventually it leads to a greater end result.

It gives a vision, how to capitalize and exploit the opportunity prevailing in the trade arena.

This book is dedicated to all SME TRADE people (Distribution, Sales, Marketing and Trade Marketing), Business professionals & students who wish to learn, improve and professionalize the system.

The Basics

Chapter 1

WHAT IS TRADE?

Trade is the activity of exchanging goods or services, that exchange process is called buying and selling. The transfer of goods may occur at a one to one or personal level, person to organization, organization to organization, nation to nation. In the process both the parties are voluntarily involves into it for their mutual or others’ benefits. Ultimately the ownership of the property changes whether it is small or big.

The place where the transactions of exchanging goods happening can be called as the Trade point. It could be at international level, national level, and regional level or at virtual.

At a distant level, the process may happen through auctions, by communication and confirmation of ordering. The payment terms like LC, or other similar means of payment.

But exchanging goods for money (cash or credit) happening at retail level like groceries, super markets, hyper markets, other retail and wholesale shops which runs at different level for the process of reaching the goods to the hands of end users. Any such goods exchange whether it is globally or locally will be considered as Trade.

There are virtual trade place grooming at this point of time. A hub that can control trade with or without having a single product on hand, but in reality the transfer of goods happening from one point to the other, the payment terms and delivery terms are decided through the virtual platform.

The era is moving into cashless economy, all thanks to the internet technology!

Trade brings the transfer of the ownership of goods or services from one person or entity to another in exchange for other goods or service or for money. A platform that allows trade is called a market. If it is related to finance it will be called as financial market and related to commodity it is called as commodity market. Commodities exchanged at bigger quantities considered as wholesale market whereas goods exchanged at smaller quantities considers as retail market.

At supermarket or hypermarket or even at groceries different kind of payment system is available, plastic money is also applicable and not necessary to have cash on hand. The plastic money means either a credit card or a debit card which is paid by bank through online transactions, which is more or less a recent phenomenon developed through the growth of technology and telecommunication.

There will be trade terms in all trade activities and those will be negotiated at different levels. There are Fair trade laws followed internationally. Adequate laws are need to be in place as the violations could occur at any point of time. To protect consumer interests there are consumer courts around the world. There are laws in practice to control adulteration and malpractices.

There are fixed price shops and bargain shops available at retail level. There are shops with all items having the same price. All item for 1 Dollar, 1to 5 or 1-