Kraft’s ‘Wall-to-Wall’ Sales Strategy Helps Boost Sales
Wall-to-Wall, a unique way Kraft sales reps work with retailers, has helped boost sales. With the Wall-to-Wall program, Kraft sales reps can be at the store everyday and is responsible for almost the entire portfolio of Kraft products. Kraft sales reps make sure shelves are stocked with Kraft products, and work with store manager to promote specific products. Kraft uses this model in more than 15,000 stores and sales as these Wall-to-Wall stores showed an additional 1 percentage point increase in the year ended April 30 compared to stores where this program was not in place.
Will Other Brands Adapt A Similar Strategy?
They should. If a brand does not have the scale and man power to do what Kraft is doing, then they should hire a third party.
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Starbucks to Focus on Customer Value
Year after year, Starbucks has seen growth in traffic to their stores. For the first time in Starbucks history, this year, they have seen an overall decline in traffic. The decrease in visits is being linked to consumers not having as much disposable income as they did years past. In order to save money to pay for higher gas and food prices, customers are cutting out the latte.
Howard Schultz, CEO of Starbucks, says that his company will have to innovate and provide more value to the customer. He feels that customers do not come to Starbucks just for coffee, but for the sense of community, and the sense of humanity in their stores. He describes Starbucks as the third place between home and work.
Although 50 million customers a week are coming through Starbucks stores, this represents only 8% of the total U.S. coffee market in terms of cups that are consumed. Starbucks still has room for growth and one key competitive advantage they do have is the unique customer experience and sense of community inside Starbucks.
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Starbucks to Open Stores in European Travel Markets
Starbucks formed a strategic licensing partnership with SSP, a beverage and food concessions leader for travelers in Europe, to open more than 150 Starbucks stores over the next three years in key European markets.
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