Category Archives: Insights & whitepapers


Unser CPM-Automotive Experte Heiko Rogge über den Einfluss von alternativen Antrieben auf den IAM.

 

 

Nicht zuletzt durch den politischen Druck auf Grund der öffentlichen Dieseldiskussion wurde die Entwicklung alternativer Antriebe forciert. Die Teilestruktur im Independent Aftermarket wird sich dadurch jedoch nicht kurzfristig ändern. Es ist damit zu rechnen, dass die Auswirkungen der neuen Antriebstechnologien auf den Aftermarket eher mittel- und langfristig, dann jedoch massiv ausfallen werden.

 

Abhängig von der Antriebsart werden ganze Teilegruppen vom Markt verschwinden. Hauptsächlich betrifft dies Motoren-, Abgas- und Kupplungsteile. Dem gegenüber erwarten wir einen enormen Bedarfsanstieg an hochtechnisierten Elektronikbauteilen und modernster Batterie-, Speicher- und Energierückführungstechnik. Bremsenteile hingegen unterliegen hingegen künftig ebenfalls einer sinkenden Verschleißbeanspruchung. Zusätzlich beeinflussen intelligente und automatisierte Fahrsysteme die Halbwertzeiten von Verschleißteilen positiv. Die Folge ist eine deutliche Veränderung der Bedarfsstruktur im Teilesegment.

 

Somit ist es für Unternehmen der Teileindustrie schon jetzt elementar wichtig, eine loyale Werkstattbasis aufzubauen, um im zukünftig noch härteren Teile-Wettbewerb langfristig bestehen zu können. Diese loyale Werkstattbasis ist am ehesten durch einen intensiven persönlichen Kontakt mit den Werkstätten zu erreichen.

 

Die CPM Germany Bad Homburg bietet spannende Ansatz- und Lösungsmöglichkeiten zum Thema „Aktive Marktbearbeitung und Face-to-Face-Kontakte in freien Kfz-Werkstätten“. Gerne stehe ich Ihnen für ein Gespräch über dieses entscheidende Zukunftsthema zur Verfügung. Ein Anruf genügt: +49 6172 805 377

Outsourced Field Sales Team – What happens at night….

 

This month’s Expert Speak comes from Bastiaan van Houten, MD, CPM Netherlands.  In 2001 Bastiaan started his CPM career with a field sales job at Diageo and in 2004 moved into CPM’s Dutch head office for a role in direct sales. After various roles and positions Bastiaan started Cosine Benelux in 2011 and merged this business in 2015 with CPM Netherlands.

 

Innovation
In this article we would like to showcase a new solution for our logistic process and the path we followed to get there. We all know the challenges in our Industry, clients asking us to improve ROI by driving efficiency whilst on the other side we experience increasing prices and a tight labour market. Let’s take you to the situation that triggered this new business innovation.

 

The challenge
Imagine yourself; a client with an outsourced field sales team, the sales representatives are working on a maximum workload (#locations and #tasks per store). The client wants to expand the number of locations, without budget for extra resources. They ask CPM for a solution. We all know these challenges, drive efficiency and improve ROI.

 

On the other side the project manager has the same challenge. The labour market is tight, suppliers are raising their prices on a yearly base and we’ve already implemented several efficiency plans with this client. Expanding stores means expanding the team or downsizing the tasks.

 

The bottleneck
CPM organised a brainstorm and investigation session and it became clear: the big bottleneck in the efficiency was the time the team spent driving to the storage location and then to the first appointment. We knew if there was a way we could do things differently we could create more time in-store, which would result in achieving an increase in ROI.

 

The solution
Now that we had identified the bottleneck we were close to the solution. How can we improve? What is not used yet…..? Exactly, the night! Yes, we can do an overnight car delivery and forget about our traditional storage! Whilst the team sleeps we can get all materials delivered to their cars, so when they wake up they can go straight to their first address, eureka!

 

But would this be cost efficient? We put all the elements in a calculation module. The cost for cost calculation ended up equal, but we were able to increase in-store coverage by 6% to 8%. By switching to overnight car delivery we found a cost and time efficient solution. We managed to expand the stores, using the same quantity of people and tasks, without raising the costs. Case Closed!

 

Overnight car delivery
How it works: The driver picks up the materials at a dropping point. The cars are equipped with a high tech GPS system that allocates the cars they need to supply and directly calculates the most efficient route. The car boot can be opened with a smart lock, which locks again automatically. Returns can be picked up by the driver at the same time. A flexible solution, that’s scalable when needed.

 

At this moment we’re rolling this out with our first client and expect many to follow.  Overnight delivery is a cost effective solution for areas with a high density and raising salaries, small countries with many inhabitants or the bigger urban area’s in low density countries.

 

What’s next…..
As an outsourced sales agency we need to keep looking to the future and what the future is bringing us. The time we live in is very exciting; of course clients & employees are more and more demanding. However on the other side the world is changing so rapidly there are innovative solutions everywhere. Let’s explore them, find out how we can use and implement these new solutions in our daily business. Embrace new technologies and continuously be that innovative and flexible partner that looks one step ahead.

 

Contact us to find out more 

Outsourced Field Sales Team

Bastiaan van Houten, MD CPM Netherlands

 

 

Unser CPM-Automotive Experte Heiko Rogge über eine Vielzahl wichtiger Einflussfaktoren auf den Independent Aftermarket und sich daraus ergebende Chancen für die Teileindustrie.

 

 

Aktuell erfährt der IAM einen Wandel seiner Struktur durch eine Vielzahl von Firmenfusionen und -übernahmen; sowohl auf nationaler aber auch internationales Ebene. Ein Beispiel dafür ist die Übernahme von TROST durch Wessels Müller und deren Aufstieg zum deutschen Mega-Distributor mit nationaler Vorrangstellung. Auch die Übernahme des deutschen Großhändlers Stahlgruber durch die US-amerikanische LKQ Corporate sorgte für großes Aufsehen in der Branche. Es ist davon auszugehen, dass osteuropäische und asiatische Anbieter ihre Präsenzen im deutschen Aftermarket massiv ausbauen werden. Der Preisdruck auf die Teileindustrie wird somit durch die Ausnahme- und Vormachtstellung der Handels-Grossisten weiter zunehmen.

 

Ein weiterer Einflussfaktor im IAM ist die zunehmende Digitalisierung der Fahrzeuge. Die Fahrzeuge sind nicht nur miteinander, sondern auch mit den Fahrzeugherstellern vernetzt. Visionär erstreckt sich diese Vernetzung über den Nutzer bis hin zur Werkstatt. Autos werden zukünftig in der Lage sein, anstehenden Service- und Teilebedarf automatisch zu ermitteln und anschließend zu versenden. Eine entsprechende Werkstattsteuerung der Fahrzeuge sowie die Terminkoordinierung erfolgen ebenso autonom. Gleiches gilt sowohl für die Ermittlung des Teilebedarfs als auch die Teilebestellung.

 

Die Speicherung und Verwendung der Fahrzeugdaten und somit auch deren Nutzer stehen im Fokus. Ehemals branchenfremde Unternehmen werden auf Grund des Interesses an den Daten auf den Fahrzeug- bzw. Aftermarket drängen.

 

Auch die künftigen Ansprüche an Mobilität und Verkehr verändern sich aufgrund von Megatrends wie Demographie, Klimawandel und Ressourcenknappheit sowie Globalisierung und Liberalisierung zusehends. Dies fördert das Entstehen unterschiedlicher Mobilitätskonzepte und Dienstleistungen: Carsharing und nutzungsabhängige Bezahlmodelle lassen potentiell die Volumina im Aftermarket sinken.

 

Mit Blick auf die öffentliche Dieseldiskussion und den dadurch entstehenden politischen Druck, werden alternative Antriebe den Teilebedarf in den Werkstätten und somit im gesamten Aftermarket mittel- bis langfristig beeinflussen. Auch wenn es nach wie vor Verbrennungsmotoren gibt und mittelfristig geben wird, drängen Hybrid- und Elektrofahrzeuge verstärkt auf den Markt. Dadurch sehen sich ganze Produktgruppen (Motoren-, Abgas-, Bremsenteile) mit einer veränderten Nachfragesituation konfrontiert. Dagegen wird der Bedarf an Elektronikteilen und Batterietechnik überproportional stark ansteigen. Wasserstoffgetriebene Motoren sind ebenfalls auf dem Vormarsch.

 

Wie in der Studie „Einkaufsverhalten von Werkstätten im Spannungsfeld zwischen IAM & OES“ der Wolk Aftersales Experts eingehend beleuchtet, drängen OES-Teile verstärkt in den IAM. Begleitend dazu bieten diese Teilegroßhändler einen erheblich besseren technischen und informativen Support als die Teilegroßhändler des IAM. Dadurch könnten die Werkstattbasis in Zukunft geneigt sein, einen signifikanten Preisunterschied zu Lasten des OES doch zu akzeptieren.

 

Ein weiterer Faktor der Zukunft wird das Thema „Autonomes Fahren“ sein, welches einen gravierenden Rückgang des Bedarfs an Karosserie- und Verschleißteilen nach sich zieht. Durch die verwendeten Techniken ist mit Umsatzeinbußen von 52% bis 2030 bei Karosserieschäden (gemäß KPMG) zu rechnen. Gesteuert von entsprechender Fahrzeugtechnik leistet das „intelligente Fahren“ einen deutlichen Beitrag zur Bedarfsreduktion von Verschleißteilen.

 

Der am ehesten zu steuernde Einflussfaktor des IAM ist die deutlich veränderte Eigenwahrnehmung der freien Werkstätten. Hieraus entstand in den vergangenen Jahren ein klarer und selbstbewusster Anspruch an Industrie und Teilehandel. Ein eindrucksvolles Statement gab Herr Achenbach, selbst Inhaber einer freien Kfz-Werkstatt in Bochum, als er auf dem diesjährigen Wolk Aftermarket Forum in Essen sagte: „Dem eigentlichen Kfz-Ersatz- oder Verschleißteil muss noch etwas anderes folgen. Wir brauchen wieder mehr Informationen!“

 

Die deutsche Aftermarket-Industrie steht also vor großen Herausforderungen, wenn sie sich nicht von den aufgezeigten Faktoren dirigieren lassen möchte.

 

Ein Schlüsselfaktor ist aus unserer Sicht die Loyalität der freien Werkstätten sowie der direkte Kontakt der Industrie zur Werkstattbasis. Eine gelebte, aktive Beziehung auf direktem Weg zwischen Werkstatt und Industrie wird in Zukunft eine herausragende Stellung im Kampf um Marktanteile und Marktpositionierung haben.

 

 

Den nächsten Artikel zum Thema “Einfluss von alternativen Antrieben auf den Independent Aftermarket” finden Sie hier!

 

Die CPM Germany Bad Homburg bietet spannende Ansatz- und Lösungsmöglichkeiten zum Thema „Aktive Marktbearbeitung und Face-to-Face-Kontakte in freien Kfz-Werkstätten“. Gerne stehe ich Ihnen für ein Gespräch über dieses entscheidende Zukunftsthema zur Verfügung. Ein Anruf genügt: +49 6172 805 377

The Means Matter – Improving Sales

 

Our latest CPM Expert Speak comes from Mandeep Singh; MD & CEO, CPM India

 

The process of closing a business at CPM India is akin to any other business pitching to win. Upon receiving the requirements, we prepare extensively by discerning the pain points of our prospective client, strategise masterfully the exact method of execution, and present stunningly to secure the client and win the business.

 

Moments of celebration later, a conventional business would begin the process of delivering on the promised key performance indicators and commence the execution of the won project. This is the output phase where a company gets lost in the daily grind of achieving the end results of increasing the share of shelves, improving sales numbers, etc.

 

A vacuum is created between these two phases which is what separates CPM India from the conventional business. We, at CPM India, believe that ‘the means matter’ and we put the same amount of efforts in this input phase as any other phase. How do we do that?

 

improving sales

 

 

 

 

 

We do it through PERFORMICS which is nothing but performing retail execution by building better insights and capabilities for improving sales. We essentially integrated CPM’s brand essence to create a product that puts us on the retail intelligence map.

 

PERFORMICS is a tool-aided process to synergize the efforts of different silos and smooth the flow of information from the top to bottom and vice versa. It enables the client teams to plan activities such as merchandising activities, target tracking, and route planning through a customized web portal, the information from which directly flows to the android applications available with the field sales force which can use it to easily capture data and carry out the planned activities and also provide the client sales teams access to real time information. PERFORMICS includes compliance and analytics modules to audit the work and transform the available data into actionable retail insights. The whole process accelerates the performance and improves the sales manifold.

 

PERFORMICS has been a great enabler for us to look at the quality of inputs and focus on some data points to ensure that the end results are achieved. All in all,

 

PERFORMICS is a way to fill the void that existed in a client-agency relationship and has opened the doors for CPM India to venture into the retail intelligence space and make a huge impact. More importantly, PERFORMICS lets CPM India work more effectively for its existing clients to create insights that create the influence to drive sales.

 

Contact us to find out more 

 

improving sales

 

 

Unser CPM-Automotive Experte Heiko Rogge über Herausforderungen in der Vertriebsstruktur des Independent Aftermarkets und welche Chancen sich für Teilehersteller hieraus ergeben.

Der deutsche Independent Aftermarket unterliegt einer klaren Vertriebsstruktur. Auf dem Vertriebsweg der Kfz-Ersatz- und Verschleißteile, von der produzierenden Industrie bis in die verbauende Kfz-Werkstatt, sind unterschiedliche Vertriebsstufen und -kanäle zwischengeschaltet.

Über Handels- und Einkaufskooperationen (CARAT, TEMOT, GroupAuto) sowie Distributionskanäle (≈ 30/700Outlets; WM-TROST, Stahlgruber, Matthies), über den klassischen Fachgroßhandel bis hin zu mittleren und kleineren Jobbern oder auch zunehmend über den Online-Teilehandel, gelangen die Produkte in die ca. 34.000 Werkstätten. Diese Werkstätten wiederum gliedern sich in freie, meist Inhaber geführte Kfz-Werkstätten (≈ 20.000), systemgebundene Werkstätten (≈ 12.000; z.B. 1A-Auto Service, Bosch Car Service usw.), Autoglas-Outlets (≈ 1.420; Carglass, Scheiben-Doktor) und Smart-Repair (≈ 440; Clever Repair) sowie Reifenhändler mit Service-Werkstatt (≈ 4.400; Premio, Euromaster), Fachmarkt- und Fachhandelssysteme (≈ 700; A.T.U.) , Lack- & Karosseriebetriebe/Ketten (≈ 3.400 5-Star, Identica). Hinzu kommen Online-Shops und -Plattformen wie kfzteile24.de, tyre24 und ebayMotors. Nicht betrachtet wurde hier die OES-Schiene der Automobilhersteller.

 

Wie eingangs erläutert, existiert in Deutschland eine flächendeckende Versorgung des Kfz-Teilebedarfs durch verschiedenste Handels- und Outlet-Modelle. Dabei werden die Werkstätten im Durchschnitt drei- bis viermal pro Tag seitens der Handelsbetriebe mit Teilen beliefert. In Ballungsgebieten teilweise mit deutlich höherer Frequenz. Der Branchenumsatz aus Arbeitsleistung- und Teileverkauf summiert sich auf über 30 Mrd. Euro pro Jahr.

 

Oftmals finden originäre Vertriebs- und Informationstätigkeiten lediglich auf der Handelsebene statt. Nur wenige Aftermarket-Teilehersteller leisten sich einen direkten Werkstatt-Außendienst. Trainingsaktivitäten für die freien Werkstätten werden auf Handelsebene organisiert und durch die jeweiligen Teilehersteller realisiert. Ein direkter Zugriff durch die produzierende Industrie auf die Werkstattbasis ist, von wenigen Ausnahmen abgesehen, nicht vorhanden. Obgleich die direkte Informationsverteilung in die Kfz-Werkstatt eine der wichtigsten Einflussfaktoren für den künftigen Erfolg der Teile-Hersteller sein wird. Bereits eingesetzte Informations- und Trainings-Plattformen im Internet können diese Aufgabe nur sporadisch erfüllen, denn auch dieser Weg ist erklärungs- und informationsbedürftig und trifft derzeit noch nicht die methodischen Anforderungen der selbstständigen Werkstatt-Eigentümer.

 

Eine Veränderung der Kfz-Teile-Vertriebsstruktur ist, obgleich bereits öffentlich geäußert, wenn überhaupt ein Zukunftsthema in weiter Ferne. Da das Kerngeschäft des Handels im gewinnbringenden Vertrieb der Kfz-Teile bei kleinstmöglicher Produktverweildauer im eigenen Lager liegt, besteht hier ein Interessenkonflikt bezüglich der wichtigen Aufklärungs- und Informationsarbeit in den Werkstätten. Seitens der freien Werkstätten wird genau diese detaillierte Informationsversorgung nicht nur gewünscht, sondern gefordert. Dies untermauerte eindrucksvoll das Statement von Frank Achenbach, Inhaber einer freien Werkstatt in Bochum, als er vor dem ‚Who is Who‘ des internationalen IAM forderte: „Dem eigentlichen Kfz-Ersatz- und Verschleißteil muss noch etwas anderes folgen. Wir brauchen wieder mehr Informationen!“ Während unserer intensiven Arbeit an der Werkstattbasis, begegneten uns derartig gelagerte Forderungen mehrheitlich.

 

Unserer Meinung nach ist die direkte und weitsichtige Marktbetreuung durch effiziente Face-to-Face Kontakte zu freien Werkstätten ein Schlüssel, um dem anstehenden Strukturwandel im IAM nicht nur zu begegnen, sondern sogar aktiv für sich nutzen zu können. Jedoch sehen wir dabei den „First-Move-Advantage“ als entscheidenden Faktor zur Steigerung des eigenen Marktanteils.

 

Den nächsten Beitrag in unserer Serie finden Sie hier!

 

Die CPM Germany Bad Homburg bietet Ihnen zu diesem Thema spannende Ansatz- und Lösungsmöglichkeiten. Gerne stehe ich Ihnen für ein Gespräch über dieses entscheidende Zukunftsthema zur Verfügung. Ein Anruf genügt: +49 6172 805 377

The Key to Delivering a Successful Regional Sales Activity    

 

Delivering Success Across the Region

Our latest CPM Expert Speak comes from Martin Ryan; Chief Development Officer at CPM Group of Companies Asia Pacific.  Martin has worked for CPM for eighteen years and has over twenty five years industry experience. He has overseen numerous regional projects, experienced great success, but also some crushing disappointments.

 

Here’s his candid overview of how to deliver regional success based on personal hard lessons learned.

 

Delivering Regional Success  

Winning regional business across a diverse geography is a special thrill. Within the space of a few hundred miles, languages, cultural norms, and currency can morph into something wholly different. Navigating across regions is always tricky and although better communication tools may have made distance seem smaller, the secret of successful regional sales activity lies in how we combine the efficiency of modern technology with other more human tools.

 

The Starting Line

Start by defining your team’s purpose. When CPM Singapore embarked on a regional project with a leading tech client we spent time completing a detailed analysis of their particular vision of success. What were the common threads applicable to all countries? What were the precise elements of measurement?

 

If possible, look for insight to those who are already delivering. A major factor in CPM Singapore winning a regional project with another tech giant was the time invested in understanding how the established Australian team delivered their strong track record of success. They were hugely generous in sharing their knowledge and we made substantial effort to join the dots so we could apply their established procedures across the region. This knowledge also gave us deep insight into the client’s culture and their expectations of an outsourced field sales agency. I believe this was a significant differentiator between CPM and our competitors, and a critical part of our successful bid.

 

You Need a Detailed Contract

Once the team’s purpose is clearly defined, time must be taken to draw up a robust contract.  Of course, it’s always hoped that everyone will play fair, but when crossing country boundaries it is crucial to state any legal liabilities, payment terms, and other obligations. Painstakingly outlining these clauses is something I learned the hard way. Relationships built on trust are important, but when other departments and countries get involved you need an unambiguous written agreement that balances transparency with what you may normally be take on trust.

 

You also need a clear process to manage billing and currency fluctuations. Having this in place in advance makes billing seamless and revenue easier to forecast. Outlining obligations when the contract ends is also important as different employment laws exist in different countries and you don’t want to be exposed to large redundancy payments.

 

This is also the time to set some ground rules for communication and response times, and all KPIs should be stated. Clearly outlining these before the activity starts will set realistic expectations and avoid mission creep.

 

Build Credibility by Building Key Relationships

 

A regional team must ooze credibility and to do this they must be capable. Some of the leadership attributes required include a good dose of self- confidence, the ability to think clearly and make decisions, being self- driven when remote, endowed with brilliant communication skills, technically astute, and not scared to present both to groups and in front of the camera. An underrated skill is the ability to communicate over the telephone, both one to one and in a conference call.

 

To make regional activity fly you also have to be a relationship ninja.

 

Start by knowing the client’s country by country structure. How does it differ? Who are the key people and what do they do? Have a clear understanding of which relationships to concentrate on and then put the time in to make them work.

 

Part of this includes an attitude of transparency and openness which can go beyond your working life. Trust people and give them access to your calendar, include details like holidays and children’s events at school. We live in a time when the boundaries between work and life are blurred and a regional role means you will be working outside of your own time zone’s conventional working day. This is the new norm so embrace it and make it part of your life. Inject a genuine and vigorous enthusiasm.

 

Once you have established this human connection and built key relationships at a local level you will know who to contact in each market, you will build respect, save time and avoid potential misdirection.

 

Make Your Field or Contact Centre Team the Most Important Aspect of the Activity

 

Your most important customers are the team delivering results. They’re the ones generating sales and smashing targets. They’re also spread over a large geography and making them feel part of a unified, emotionally connected team is a critical priority. Involve them, talk to them face to face whenever possible and painstakingly understand their needs and frustrations. Take the time to really listen and make sure you paraphrase what they are saying to prove you have heard them.

 

Creative Solutions

A regional sales project requires a global vision to set the strategy, but management of it needs to be carried out regionally utilising a deep insight into local processes. It takes dogged determination and patience to unravel and understand each step of the data collection process and collation of reporting. Acquiring this knowledge ensures a strong foundation, and facilitates informed decision making. Applying this rigor along with an understanding of where existing CPM solutions can fill gaps means you can make informed and creative decisions on what to adopt, or if it almost works, what to adapt, and only as a last resort do you revert to reinvention.

 

Grow Your Capabilities and be Innovative

Regional sales activity is not rigid; it is an iterative process that requires a solution that’s nimble and responsive. Knowing how to leverage existing solutions and apply the best of what is available locally is a fine balance, as giving teams too much freedom can compromise results. You need to know what’s non-negotiable and apply a rigorous application of continuous improvement. When you spend time understanding how people work you will know when it’s time to use the carrot, and when use of the stick is more appropriate.

 

Summary

To summarise, here’s what I’ve learned about running a successful regional sales activity. Start by really knowing your purpose, both regionally and in each country. Once you have clearly defined your objectives, assemble the reporting structure around them. Adopt processes that work elsewhere in your business, adapt them to give local relevance, and only reinvent as a last resort.  Make sure you have a detailed contract and include clauses that define liabilities.

 

Build key relationships. Success stems from open human trust. When possible be available across the region’s working day but also let people know when you are not available. Embed yourself into your client’s organisation and become indispensable without being arrogant.

 

Build credible and capable teams, culturally adaptable and results focused.  Understand and connect with your sales team. Make sure they feel you are involving them and understand their needs and frustrations.  Grow your capabilities. Solutions are iterative and constantly evolving. Be energetic and responsive and don’t become complacent.

 

Finally

Branching out from the local to the regional can be bewildering and at times maddeningly frustrating, but it can also be richly rewarding and joyous, transforming your understanding of both yourself and the hyper connected global world we inhabit. Fully embracing a deep knowledge of your client and becoming a trusted indispensable regional partner is one of the best things in our business.

 

 

 

 

 

 

 

 

 

 

 

Contact us to find out more 

 

 

Aus über 10.000 Werkstattbesuchen in den letzten drei Jahren haben wir zahlreiche Anregungen und Wünsche freier Kfz-Werkstätten in der Beziehung zur herstellenden Industrie sammeln dürfen.

 

Hierzu starten wir eine begleitende Videoserie. Heute das erste Video: “Heiko Rogge stellt sich vor!”

 

Seit über 25 Jahren dreht sich sein berufliches Leben um das Thema Automobil…..

 

 

Seit Mai 2015 ist er bei CPM tätig und startete als Projektleiter für unsere Federal Mogul Außendienstmannschaft. Heute verantwortet er als Vertriebsleiter Automotive die Kundenakquise und -betreuung in dieser Branche.

 

„Als Herausforderungen des IAM und freien Kfz-Werkstätten, sehe ich die aktive Kundengewinnung und -bindung auf beiden Seiten, das Erlangen detaillierter Marktinformationen sowie die zunehmende Digitalisierung der Werkstattprozesse.“

 

Im nächsten Video sprechen wir über die Struktur im deutschen Aftermarket.

 

STAY TUNED!

Welcome to our latest edition of Expert Speak, ”How about we tell you how much we can accelerate your sales?” which comes from Véronique Motte, President CPM Group of Companies in France

 

How about we tell you how much we can accelerate your sales?

 

sales demonstrations

A few weeks ago, our teams organised a conference during the 2018 edition of the MPV trade show which took place in Paris. The title of this conference was “The 4 drivers which really influence sales demos performance”. CPM France teamed up with L’Oréal France to present real-life feedback from this innovative approach.

 

True fact: sales demonstrations are a sell-out driver for brands

Deployed on a large scale over 40 years ago, at the same time as mass-market retailing, demonstration days are one of the most popular marketing drivers for brands and also one of the most outsourced. Interestingly, according to a study done by EY in France, it is also one of the most preserved media spends:

 

  1. Because it is easier to cut incrementally into a demonstration days budget
  2. Brands want and need to stay connected to the field and their shoppers.

For a long time in France, sales demonstrations were a sell-in incentive. Nowadays, being a media in its own right, it is therefore central to the concerns of marketing and sales departments.

 

Measuring sales demonstrations performance: an innovation on the market

Using sales data provided by L’Oréal and a mathematical equation defined by CPM France’s Business Intelligence team, we were able to build a robust statistical model based on linear regression. That’s how the ROI-focused approach for L’Oréal Consumer Products Division came into life.

 

We found out that in order to achieve a specific ROI, four drivers that can influence performance must be taken into account: the product display, the store environment, the promotion and the ambassadors themselves. This proved that when all the right drivers are aligned, the sales demonstrations performance can be accelerated by over 300%.

 

Reaching new heights…

I cannot express how proud I am of the teams at CPM who have made this possible. We are reaching a brand new level: we were famous for the quality of the field work execution we provided, which has never and will never be easy, but the right people with the right tools help… we are now able to measure for our clients the performance of the activities they outsource with us.

 

In other words: at CPM, we make demonstration days work. Oh, and by the way we also measure the performance of our other solutions too…

 

Véronique Motte

President CPM Group of Companies in France

 

Contact us to find out more 

sales demonstrations

 

Welcome to our first edition of Expert Speak for 2018, ‘Storytelling’ which comes from Mike Hughes, Chief Executive Officer, CPM International Group.

 

STORYTELLING

Last year we lost a client – something I am not used to, something I take personally and something that bothers me. Since then I have spent time reflecting on what went wrong and how we need to be better next time.

 

Part of this process led  me to reflect on the current trend for ‘storytelling’. Storytelling, we are told, is the best way to create chemistry with people, to get you more airtime with customers, colleagues and leaders; apparently, that’s because a great anecdote hooks people, takes them on an emotional journey and conveys a memorable message……stories that resonate with people inspire them to take action.

 

I completely buy all this and successful pitch meetings need to do all of those things but I think there is one word that is missing which is particularly important in challenging economic times…and that word is ‘true’….because  stories need to be true stories backed by evidence, fact and testimonials. Donald Trump has introduced the world to fake news and the blurring of fact and fiction and in a world where performance pressure has never been greater, where the sales director’s door revolves ever faster and where experience is at a premium, it is easy to believe the hubris of a new supplier pitch.

 

Ideas are easy but execution is difficult and the stakes are high when execution falls below the required standard. I hear increasing numbers of stories where clients are on the receiving end of over promising and under delivering suppliers, for example, thinking they are getting a state of the art reporting system from day one only to find it doesn’t work or where they are told they should not worry because their sales team will transfer to the new supplier only to find out that they have lost 50% within the early months because promises are not matched by delivery. This matters because poor performance stains the image of our industry as well the individual company delivering it and the short term pressures our clients are under means they can’t afford to lose a single sale.

 

Clients need partners who are going to do what they say they will and this year if you ask CPM to pitch for your work, you can rest assured our stories will be true stories.

 

Contact us to find out more 

Veronique Motte, CPM France CEO discusses Sales Outsourcing in our latest CPM Expert Speak. The obvious choice for some but less well-known to others, sales outsourcing lets brands be more agile and keep ahead of the pack.

To adapt to situations, seasonality and new trends…
The modern consumer is multichannel. Their new needs and new ways of consuming are prompting brands to adapt, revise or even recast their marketing and sales strategies. This is having an impact on the efforts required of their salespeople in the distribution networks. Or rather it should. When a manufacturer’s sales force is given the task of concentrating on the French hypermarket network, it remains focused on the relationships it has built and maintained with each store. These sales representatives, who drive for miles along the roads of France for early morning appointments with department managers, do not have the “bandwidth” to absorb what we in our lingo call a new sales front. So, for a manufacturer who fully intends for its strategy to include the new network that is so popular with consumers, the convenience stores – Carrefour City, Franprix, G20, Intermarché Express, etc. – there is an alternative: the outsourced sales force.
In France, the new “convenience” sector accounts for over 8,500 outlets and 30% of growth in consumer products in 2015, according to Nielsen. In recent years, consumers have been using them with increasing frequency and in response, retailers have increased the number of outlets and thus the number of possible points of contact with these consumers.
In 2014, when French manufacturers were asked about the new challenges facing their sales force in 2016, they cited the improvement in coverage of the new distribution territories – corner shops, drive-thru, etc. When they were asked if they were using or planning to use outsourced sales forces, 55% of them answered “yes!”(PBMO study). The figures published by our French professional association, SORAP, also speak volumes. The outsourced sales force market grew by 9% between 2014 and 2015. Outsourced merchandising grew by 18.5%. This growth phenomenon is expected to continue.
Manufacturers measure the value that outsourced sales or merchandising forces sales teams can create as backup to their employees, by targeting stores that are not visited by them, such as neighbourhood or village mini-marts, but also beachside supermarkets and mountain grocery stores on a more seasonal basis. The importance of the phenomenon transcends our borders, with the same trends being observed in the United Kingdom, Germany and Italy. Outsourcing one’s sales force, or its merchandising or activation – the three main business lines of sales and field marketing agencies – is nothing new. What is new is the discovery of the many opportunities that this offers to brands in the current consumption environment, which many might describe as “complex” or even “confusing”.

… and to try new things, innovate and stay competitive
In order to benefit from a qualified sales team whose activities adapt to the year’s various high points, the brands are ready to team up with partners specialising in sales and field marketing campaigns, and try out new and original, even radical, commercial solutions. Like the outsourced shared sales force: shared between two manufacturers, these sales representatives can better and more efficiently cover a sales front in a more economical manner for each of them. In this case, the external service provider makes the relationship between the two companies much easier: part arbitrator, part advisor, it acts as a genuine facilitator while the brands retain complete freedom in defining their strategies.
Because in 2016, the sharing trend is bigger than ever! This is plain to see in the consumer services sector. On the B to B side of things, start-ups are increasingly taking it on board, with fab labs and co-working spaces. Sharing is thus becoming a true entrepreneurial philosophy that major manufacturers are embracing on their own scale with growing enthusiasm.
Other innovative mechanisms, such as e-merchandising (optimising product visibility on e-commerce or drive-thru sites) or crowdsourcing (data collection micro-tasks assigned to paid private individuals) also complement more traditional sales strategies.
For in addition to our local trends, players from further afield – Amazon, Alibaba, Costco, etc. – these names that are used to proclaim that competition is healthy, are transforming the distribution landscape. The status quo is definitely not an option.

For further information on this topic, please Contact Us today.



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