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Examples of how Retail Providers have adapted to COVID-19

As we mentioned in our previous publication, both individuals in general and companies have had to adapt and reinvent themselves in order to move forward in times of crisis.

Today we want to share with you an angle of vision from the supplier's own experience, understanding the change in behavior that, although it is true that it affects everyone, it impacts in different ways depending on the category or industry in which it is found. 

Embotelladora Metropolitana S.A.

One of these companies, and perhaps a very relevant category in these times, is Embotelladora Metropolitana S.A, a company dedicated to the manufacture and marketing of beverage products, among which are its craft beers Volcanes del Sur, soft drinks, energy drinks, water, isotonic drinks, among others, for mass consumption, where Carolina Durán (KAM Supermercados), tells us that indeed the product mix has undergone changes, which are reflected mainly in the fall of some categories, but they have also seen how others have had significant growth in sales, such as the water category.

Similarly, the format of these products has also changed in terms of consumer preferences, according to Carolina, where they have migrated from small to larger formats.

These behavioral changes have been reflected in the fact that retail chains have adopted measures such as the temporary blocking of certain products. Carolina reaffirms this, commenting that "in general, supermarket chains have focused on the products that are most important to consumers today".

Daily Foods

However, for Daily Foods, the experience has been a little different. 

Daily Foods S.A. is a food company dedicated to the production and marketing of products free of added sugar in different categories: sweeteners, instant desserts, liquids, dairy products, among others. Sebastián Silva, KAM at Daily Foods, tells us that in his case the product mix has expanded, mainly due to the cataloging of his products in a greater number of stores, "we also had some new product inclusions in March, the only thing that has slowed us down is the launching of new products". 

This makes us understand that although the mix impacts everyone, it is affected differently depending on the category of the products in question. 

Turning now to the topic associated with the field sales force, we also find interesting background information. Sebastián points out that this is a difficult issue for Daily Foods, since its categories do not qualify as basic food basket products and sweeteners are a very complex category that requires constant adjustment. "Today the chains have become more restrictive, and are requesting plant replenishers (not routers) for their stores, which generates great difficulties in the replenishment routes for companies that work mainly with merchandisers who serve several stores in a day". 

Likewise, for on-site management of inventory adjustments and suggested purchases, Carolina Durán affirms that the use of technological tools has been key for them, helping them to have better visibility of what is happening in the store. "Today we have a point-of-sale management tool and the truth is that it has been a great help. For example, we have been able to easily check inventory management in the showrooms and focus on products with problems".

Sebastián also states that the use of this type of tool "helps us to understand what is happening in the stores, especially when reviewing products that are not sold in stock, since we have more and more restrictions on the number of stores we can enter. We have been very helpful in gathering information in the stores and in having, for example, clear tasks for supervisors".

Conclusion


We can see that the market has adapted quickly to new realities and it is very important to have the agility and flexibility to react to these changes. Having clear information and a goal aligned with our and our customers' needs can help us to overcome this crisis in the best way.

If you want more information about the tools used by Daily Foods S.A. and Embotelladora Metropolitana S.A., please write us in the form below!

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