Since 1996, We’ve Been Helping Food Manufacturers Increase Revenue and Decrease Costs
Our work serves to create a solid link between Sales and Marketing decisions and Supply Chain realities. Too often, the people working in these disciplines speak a different language, move in different circles, and make decisions which make life miserable for one another. Once everyone gets on the same page, the steps to improved profitability become clear.
For example, we can help you to:
TRIM DOWN YOUR PRODUCT LINE
The Problem:
New products and line extensions are introduced far faster than products are discontinued. Everyone gets excited by the prospect of new Sales revenue, but most people are blind to the Costs associated with an overly-broad product portfolio. The pain is felt in Operations and Supply Chain, but the solution rests with Sales and Marketing.
But as one client put it, “every time we try to do a SKU-Rationalization project, it turns into a SKU-Justification project!”
The bloated product line makes inventory management more difficult, reduces sales and marketing focus, and adds costs in the form of downtime and changeovers in the plant. Your Sales Managers and Broker Agencies aren’t sure what to sell, and your customers aren’t sure what to buy. And out-of-stock service issues are commonplace.
The Franklin Foodservice Solution:
You will follow a proven, orderly process which combines financial analysis with marketplace realities to weed out the problem products. Each underperforming product will be designated for an orderly discontinuation, or assigned an Action Plan and short Timetable to fix the problem. Your decisions will be supported by all Departments, and you will have a repeatable process to use in your annual planning cycle.
The Result:
A simpler, more profitable product line which is easier to produce, distribute, market, and sell.
The Proof:
"Dave brings a clear end-to-end system which incorporates both hard data and the needs of Marketing and Sales so we can attack this issue and move on, instead of getting bogged down." - VP Foodservice
(Click for Case Study)
TIGHTEN UP YOUR PRICING PRACTICES AND ORDER POLICIES
The Problem:
Marketing and Sales make pricing and program decisions without understanding the Cost to Serve various customer types and order sizes. Lacking knowledge of Transportation and Warehousing Costs, they can lock the company into contract pricing programs which drain profits. Or they can lead customers to use order patterns which drive up your logistics costs.
The Franklin Foodservice Solution:
We help you see the actual full cost to manage and fill orders of various types and sizes.
The Result:
Price bracket structure, distributor allowances, contract prices and special programs can be based on reality, not a wild guess.
The Proof:
"Dave's work gave us a great new understanding of our costs and pricing opportunities. With his extensive foodservice background, he was able to help us develop a winning price strategy that has significantly boosted profits." - CEO, Mid-Sized Foodservice Manufacturer
(Click for Case Study)
TUNE UP YOUR REDISTRIBUTION PROGRAM
The Problem:
Manufacturers sometimes negotiate redistribution programs, but fail to understand and document the underlying cost-avoidance benefits. They often are unclear about which customers should be served via redistribution. And they can get lulled into “putting the program on autopilot,” failing to take advantage of the volume-building opportunity. Over time, the value of the redistribution program comes into question.
The Franklin Foodservice Solution:
After documenting your cost-to-serve for various order sizes, we look at revenue factors and develop a clear picture of your program’s financial impact. We then analyze customer purchase behavior to show you what is really going on.
The Result:
We recommend adjustments in pricing practices, target customer definition, marketing programs and allowance structure to improve profit and get your entire organization aligned behind redistribution.
The Proof:
"Dave has a broad and deep understanding of the manufacturer/redistributor relationship. His work has brought new focus to our redistributor strategy, and greatly increased the value of our redistribution programs." - VP Sales and Marketing
(Click for Case Study)
CUSTOMIZED SOLUTIONS FOR YOUR BUSINESS ISSUES
In addition, we’ve worked with a wide variety of Food Service clients who need help to pull off special projects, including:
• Consolidating Independent Divisions
• Due Diligence Research on Potential Acquisitions
• Designing and Simplifying Data Management Processes
• Planning Support
• Project Management for Big-Picture Initiatives
“When you need some clear thinking on a multi-faceted foodservice project, Dave’s your man. He works up winning solutions by crystallizing the real issues based on his "in the trenches" understanding of how it all works" - CEO, Mid-sized Foodservice Manufacturer/Distributor
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