Optimizing Your Product Pitch to Retailers

SESSION

5-Week ProgramOptimizing the Retail Pitch

This session: Getting the House in Order

www.retail-path.com | www.buyerly.com

Session 1: Class Overview

Getting to Yes: Optimizing the Retail Pitch

SESSION 3Building the Pitch

SESSION 1Getting the House

in Order

SESSION 4 Putting it All

Together

SESSION 5After the Pitch

READY FOR RETAIL!

Retailer Types, Strategies for scaling up, selecting retailers to go after, when to hire a sales rep & what to look for/ask, Know Your Numbers exercise.

Overview of buyers and retailer expectations on pricing, product positioning, marketing, packaging

How to research a retailer, how to analyze an assortment & draw implications for your business, how to add value, instilling urgency to buy your product.

Walk through Pitch Deck Template, Pitch Cover Letter, How to get an appointment & what to expect when you do, How to use the Pitch Deck

Pitch to a real life retailer! Debrief and lessons learned. How to follow-up and nurture the buyer relationship, What to expect when you win business.

Speak to buyers with confidence!Open new retail doors!

SESSION 2Building a Strategic Roadmap


Session 1: Today’s Agenda


Getting the House in Order

1. Class overview 2. The role of a buyer3. Retailer Expectations

A. PricingB. Product positioning/BrandingC. PackagingD. Marketing

This week’s goal: Making sure

your products meet minimum thresholds for

retailers


Session 1: The Role of a Buyer


Retail Buyers…a day in the life

1. What does a Buyer do?2. Responsibilities?3. Background?4. Motivations?5. What do they look for in a

good vendor?6. How do I use this knowledge

to my advantage?

(1:48) http://youtu.be/pZ5RxwF4UKs


Session 1: Retailer Expectations - Pricing


Bad Pricing = #1 Reason Buyer’s Say No…

1. Retailer mark-up (margin)2. Wholesale cost, therefore SRP, is not aligned

with product value3. Bottoms-Up Retail Pricing4. Tops-down Retail Pricing5. Good-Better-Best Pricing6. Pricing by channel

Tip: Consider price per oz or piece count in benchmarking SRPs


Tip: Strong branding creates value, differentiation, speaks to your consumer target and makes it hard to knock-off

Session 1: Retailer Expectations – Product Positioning


A “good product” is additive to the buyer’s assortment…

1. Differentiated benefits2. Un-imitable (patents, proprietary)3. Branding (distinct, memorable)4. Specific consumer target

A. Not just demographics, psychographics too

5. Competitive claims (Reason to Believe)

6. Value proposition fits the SRPwww.retail-path.com | www.buyerly.com

Session 1: Retailer Expectations - Packaging


Pretty packaging is great. Smart packaging is better…

Pretty Packaging

1. Pass the 5-second test2. Differentiated & disruptive3. Consistent with and conveys

your branding4. Easy to read/understand

Smart Packaging

1. Fits on shelf2. Long re-stocking cycles3. Easy to stock4. Considers logistics

Tip: Test your prototype packaging with consumers & retailers. Get their feedback.


Session 1: Retailer Expectations – Marketing Programs


Retailers want assurances your product will sell…

• Provide a marketing calendar with your upcoming marketing and PR activity

• Offer marketing programs that build brand awareness• And those that direct consumers to buy your product in their

stores• Programs range from advertising and PR to more retailer-

specific programs:• Coupons redeemable at those stores• Online marketing (your website, Facebook)• Marketing lists, social media lists• Point of purchase displays and materials


Next Class: Session 2


SESSION 3Building the Pitch

SESSION 1Getting the House

in Order

SESSION 4 Putting it All

Together

SESSION 5After the Pitch

READY FOR RETAIL!

Retailer Types, Strategies for scaling up, selecting retailers to go after, when to hire a sales rep & what to look for/ask, Know Your Numbers exercise.

Overview of buyers and retailer expectations on pricing, product positioning, marketing, packaging

How to research a retailer, how to analyze an assortment & draw implications for your business, how to add value, instilling urgency to buy your product.

Walk through Pitch Deck Template, Pitch Cover Letter, How to get an appointment & what to expect when you do, How to use the Pitch Deck

Pitch to a real life retailer! Debrief and lessons learned. How to follow-up and nurture the buyer relationship, What to expect when you win business.

Speak to buyers with confidence!Open new retail doors!

SESSION 2Building a Strategic Roadmap


Session 2 Homework: Assignments


1. Week 2 reading2. Identify Retailers

a) List the primary and secondary uses of your product. b) Beside each use, list ALL the types of stores that sell

products for that particular usec) Make a list of geographical cities that over-index in your

consumer and product usage.

3. Goal setting


Session 2 Homework: Identifying retailers


Homework #2 Example:

Product: All Natural Gummy vitamins

Primary uses: To eat for nutritional value

Secondary uses: To eat as a sweet snackTo give a child as a rewardDenverLos AngelesNew York CityEtc.

Vitamin store, health foods store, pharmacy/drug store, grocery store, mass merchandiser

Candy store, Convenience store, Kids Boutiques, Toy stores

Geographical regions (Cities with parents that are concerned with all natural ingredients and health):

Kids Educational stores

Store Types:

1. List the primary and secondary uses of your product.

2. Beside each use, list ALL the types of stores that sell products for that particular use

3. Make a list of geographical cities that over-index in your consumer and product usage.


example

Session 2 Homework: Goal Setting


Uses your sales history to forecast your goals

2012 History 2013 Goal Setting

2012 YTD Sales Units 1000 Goal: UPSPW Sales 2# of retail outlets 15 Goal: # retail outlets 302012 YTD - Weeks of selling 38 Goal: Weeks of selling 52

Average Unit Sales Per Store Per Week 1.754386 Goal 2013 Sales Units 3120(=sales/stores/weeks) (=UPSPW * stores * weeks)

Projected 2012 Sales Units (52 weeks) 1368(=UPSPW*52*15)

Step 1 Step 2

TIP: Use goals to measure your success from this program


example

any questions?

Optimizing Your Product Pitch to Retailers

Business