Optimizing Your Package Mix at Retail
The retail landscape, particularly for beer distributors, is one marked by complexity. Every sales rep juggles an immense range of tasks, from handling sales across multiple stores to navigating the needs of numerous suppliers. With such an intricate dance of products, prices, and pitches, the opportunity for maintaining the status quo is high, and the clarity of decision-making can sometimes get clouded.
Enter the era of Artificial Intelligence (AI), and suddenly, the picture changes.
The Current Sales Challenge
Consider a beer distributor sales rep. Their day comprises running their route to over 18 stores, both chain and independent, and handling sales for 40+ suppliers across over 1,200 SKUs. It’s not just about pushing products onto shelves, but about understanding which product suits which outlet the best. Herein lies the real challenge – optimizing their sales mix.
Traditional methods have often oversimplified the task, emphasizing sheer volume or revenue. This approach overlooks the inherent differences in profitability between different cases of beer. It’s a scenario crying out for data-driven guidance, and this is where the AI built into VXP steps in.
The Opportunity in the Independent Channel
The independent retail channel offers an incredible opportunity for beer distributors. Unlike large chains with standardized sets, independent retailers present a flexible environment. However, with this flexibility comes complexity. Each independent retailer has unique preferences, customer demographics, and sales trends. For sales reps, this means tailoring their approach to each store – a challenge when managing numerous SKUs and suppliers.
Enter AI with VXP: Immediate, Actionable Insights in Your Pocket
AI has transformed the way sales reps navigate the intricate world of retail. But what if we told you that all the remarkable capabilities of AI are already integrated and ready to deploy? The VXP app is not a vision of the future; it’s a tool available today, designed with the sales rep in mind.
Let’s break down how VXP, infused with AI, streamlines decision-making for beer distributors:
- Recommendations to Sell: Drawing from historical sales data, seasonality, local events, and retailer types, VXP instantly recommends which products a rep should prioritize. This feature ensures reps present not just the products likely to sell, but those that promise optimal margins.
- Recommendations to Remove: Every store has its unique dynamics. VXP’s AI detects underperforming SKUs in specific stores, offering insights for reps to swap them out with alternatives that are more likely to thrive.
- Sales Projections: Introducing a new product? VXP analyzes placement data and predicts its performance in targeted retail environments. Reps can confidently make product introductions, backed by data-driven insights.
- Out-of-Code/Loss Tracking: Expired products can dent profits significantly. VXP’s AI not only anticipates when products might go out-of-code but also provides strategic solutions – be it inventory management, promotional suggestions, or stock rotations.
The real transformation of the VXP app lies in its holistic approach. By giving sales reps a panoramic view of gross profit, volume, and product loss, they are empowered to make decisions that resonate with the broader objectives of organizational growth. The power of AI, with all its advanced capabilities, isn’t just on the horizon – it’s in your hands right now with VXP.
A Day in the Life of an AI-Empowered Sales Rep: Bridging Strategy and Action with VXP
In the world of beer distribution, strategies conceived in corporate boardrooms and management meetings must translate seamlessly to the stores and on shelfs were the sales happen. And it’s in this dynamic environment that VXP shines, embodying the bridge between AI strategy and frontline action.
Imagine a sales rep, John, gearing up for his day. Gone are the times when John had to juggle spreadsheets and decipher manual reports. Today, he simply taps into his VXP app. Within moments, the AI-driven platform points him to a seasonal brew set to resonate with independent retailers due to a looming local festival. Simultaneously, it alerts him about a batch approaching its expiration at another venue, nudging him towards a timely promotion.
As John navigates his stops, VXP continually offers AI-fueled insights. At one store, it flags a craft beer that’s lagging behind expectations. Leveraging local demographics and prevailing trends, VXP suggests an optimal replacement. John, trusting this data-driven recommendation, makes the switch, fine-tuning the product lineup for that retailer.
Throughout his route, VXP becomes John’s AI sidekick. It molds his sales pitches, tailors his approaches, and above all, ensures that every case he is selling boosts sales and is firmly aligns with the distributor’s profitability targets.
But the magic of VXP isn’t confined to John’s routine. For every sales rep in the trenches, VXP acts as a formidable ally. Its daily insights, feeding directly from the route accounting system, empower reps with pinpoint intelligence. It transcends the mere pursuit of lofty sales figures, delving deep into market intricacies and prompting reps to recalibrate strategies on the fly.
At its core, VXP demarcates a clear line between outcome and process. Outcome goals—like targeting gross profit and volume—paint the big picture. In contrast, process goals chart the nuanced roadmap, detailing every twist, turn, and tactic. And as seen in John’s day, this blend of broad vision and minute detail is what propels VXP into a league of its own.
In an industry that demands both strategy and swift action, VXP isn’t just an option—it’s the future in the palm of your hand.
The Proof is in the Profit
The efficacy of any tool or platform is ultimately gauged by its impact. VXP’s impressive first-year results speak volumes:
- A tangible increase in gross profit, as much as +10 to 20 cents in GP/CE growth over trend
- Up to 50% reduction in Out of Code (OOC) and Close to Code (CTC) costs.
These results are not mere one-offs but are sustainable benefits that continue to enhance business growth and profitability year after year.
Words from the Wise
“The impact of our partnership with VXP on our sales reps has been overwhelmingly positive. The ease of use of the app has not only made looking at our business on a daily basis enjoyable but has also instilled in our team an infectious sense of enthusiasm. Our reps are now more than ever, fired up to tap into this new tool’s potential and drive their individual growth. I have to say, seeing this newfound excitement makes the decision to switch to VXP a no-brainer.”
- Matthew Mumme, Vice President of Sales/GM, Stokes Distributing
Final Thoughts
The retail landscape, particularly in the beer distribution sector, is ripe for transformation. AI-powered platforms like VXP offer a fresh, data-driven lens to view the market. For sales reps, it’s a beacon in a sometimes chaotic environment. For organizations, it’s a strategic tool that aligns efforts with real-world profitability.
In a world where staying ahead is the only way to survive, VXP isn’t just a choice; it’s the way forward.
Ready to Transform Your Sales Strategy?
Discover the power of AI-driven insights and optimize your retail mix like never before. With VXP by your side, make every decision data-driven, and every sale more profitable. Don’t just keep pace with the market – redefine it.