You are more than just a cost price!
FMCG Insight: Springboard your Retailer Stories?
Part one: Welcome new supplier!
We often hear suppliers state that they want to be listed in retailer X and retailer Y. We actively encourage suppliers to think about which retailers they would like to work with and fully discuss and dissect their expectations. Most frequently, we are often asked how small to medium FMCG suppliers can get their products listed in retailers? How does it work? Is it simply a phone call, a big meeting and a massive PowerPoint deck?
Spoiler alert: No magic formula
We don’t have a magic wand or a secret formula to guarantee a full distribution listing. The good news is that we truthfully advise suppliers that getting your product on shelf in grocery retail is not always that difficult. Many retailers are keen to embrace innovation specifically if you have a credible, creative category development story backing up your proposal.
Several retailers now even have innovation hubs to help smaller suppliers gear up for potential listing, these include ‘Tesco red door’ and ‘Morrison’s Growing British Brands’ to name but two.
A really great story is key
Even without access to official innovation programmes, there are some key steps you can take to succeed in retail. Showing your retail partner that your products and ranges are underpinned by FMCG insight and creativity is the first step. FMCG insight can come in many forms, data providers such as Kantar, IRI and Nielsen can cater to large and smaller budgets. When considering the purchase of this insight, it is very important that you know what to ask for and what you will do with the data after purchase.
Collective Stories work with SME businesses to bring their category development stories together in a succinct and creative way.
The human touch
FMCG insight directly from your customers is also often a brilliant, cost effective way to generate retailer interest. This can take the form of focus groups, questionnaires, panels and video diaries. Your customers telling their story is one of the most powerful pieces of FMCG insight you can generate. Humans like other humans. Retailers hearing about your product through the lens of a customer is incredibly effective (this is relatively cost effective too!).
Strategic partnership
Finally, you must ensure that you as a business (and as a representative of your business) are completely aligned to the retailer strategy. Retailer strategy is rarely a secret, much of the information is open domain information and can be found in FMCG magazines like ‘The Grocer’ and ‘KamCity’. Another huge tip is to comb through the corporate accounts of your retailer, look for customer information, community information and sustainability credentials/plans. Retailers do not expect you to repeat their strategy verbatim but knowing this information and threading it through all activity is the first step towards a long term and mutually beneficial relationship.
Ready? Set? Go!
Once you are listed, the hard work really begins. FMCG insight is a constant focus, we describe it as a constant flow, not a drenching or a dribble. To maximise your retailer relationship, you should develop a category management mindset.
Join us for part two of this blog for further details.
