Seven Fatal Sins in FMCG
Download as docx, pdf0 likes39 views
Manufacturer pressure to meet targets leads distributors to become overstocked with goods that do not sell, blocking warehouse space and tying up cash. The seven causes of overstocking are: month-end, quarter-end, and year-end pushes; failed product launches; old label stock; expired promotions; returns from customers; manufacturer forecasting errors; and damaged or expired goods. Distributors appear to have healthy stock levels but much of it is not saleable, negatively impacting ability to meet customer demand.
1 of 1
Download to read offline
Ad
Recommended
Sat diagnosis y erroresCasimiro Catal叩 Gregori
油
1) El documento describe varios problemas y errores que pueden ocurrir en m叩quinas de aire acondicionado RAC y sus posibles soluciones. 2) Incluye informaci坦n sobre diagn坦stico de errores a trav辿s de las luces RUN y TIMER, as鱈 como soluciones para errores de sensor, drenaje, motor ventilador, corte de corriente y fallo de transmisi坦n de se単al. 3) Tambi辿n proporciona detalles sobre comprobaci坦n y soluci坦n de problemas para unidades exteriores espec鱈ficas como SCM45ZA.Top Ten Mistakes Export Wine and Spirit Brands Make in the U.S. Market
Top Ten Mistakes Export Wine and Spirit Brands Make in the U.S. MarketBevology Inc.
油
The document outlines the top ten mistakes wineries often make when entering the U.S. market and provides strategies to avoid them. It emphasizes the importance of investing in expert guidance, understanding the complexities of the three-tier system, and prioritizing effective brand building and distribution. Key recommendations include focusing on limited markets, anticipating objections, and ensuring all materials are ready before launching.The Startup Forecast...with Bonnie & Jacqueline
The Startup Forecast...with Bonnie & JacquelineNFCACoops
油
The document discusses trends affecting startup food co-ops opening in recent years. It finds that while 76% of startups opening 2008-2017 remained open, only 72% of startups opening recently have remained open, indicating tougher odds. Common reasons for startup failures include poor location, undercapitalization, and reliance on owner labor over professional staff. Emerging challenges include higher capital needs, more conservative market studies, an end to soft openings, and increased importance of branding and marketing. While trends like delivery and online ordering show promise for established co-ops, startups should focus first on opening a successful brick-and-mortar store before pursuing such innovations. Overall the environment is tougher but startups can still succeed with6 steps to creating irresistible brochures
6 steps to creating irresistible brochuresBoutique Marketing Group
油
The document provides a 6-step process for creating effective brochures that attract customers and sell without needing further explanation. The steps include determining where the brochure fits in the customer's buying process, choosing an appropriate layout, strategically placing content, selecting impactful photos, writing compelling copy, and assembling the brochure. The goal is to address customers' problems, highlight solutions, and entice further engagement through a well-designed brochure that tells a story. Additional tips are provided around selecting fonts, layout, and proofreading for quality.Communicating social business
Communicating social business Fionn Dobbin
油
The document discusses the importance of creating an effective communication strategy for social businesses, emphasizing the need for a solid customer value proposition and layers of communication. It outlines advertising rules to enhance product visibility and positive brand perception while addressing the rise of 'prosumers' who influence market trends and demand ethical consumption. Additionally, it offers insights on maximizing profits through purpose-driven actions, including local engagement, partnerships, and transparency.Sales training
Sales trainingSarthak Jain
油
This document provides 20 tips for sales and business success. Some of the key tips include: acting as the account owner and considering the customer experience; stopping losing customers by putting their needs first; making customers believe in you through 5 ways of building deeper confidence; going the extra mile to thrill customers; having clear goals; turning yourself into a product expert; knowing your customers and market inside and out; developing public speaking skills; treating customers with honesty, integrity, and respect; and recognizing that company success is in your own hands through hard work and responsibility. The document emphasizes putting customers first, building their trust and belief, working hard, and taking responsibility for business success.SBD_EE_2013 FV
SBD_EE_2013 FV Edgar Elzerman
油
The document discusses store brand development in the United States compared to Europe. It makes three key points:
1) Store brand shares are lower in the US than Europe and have plateaued, which may be related to lower retail concentration in the US.
2) Some US retailers have been successful with store brands by taking a tactical approach initially, but now need to shift to differentiating their store brands and building emotional connections with customers to further increase shares.
3) Building store brand share is a three phase process involving basics, differentiation, and branding, and the US is still in the differentiation phase while Europe has reached the branding phase with higher shares.Buying process
Buying processMunawwar Hussain
油
The document provides an overview of the fashion buying process. It discusses what fashion buying is, the different seasons, types of buyers, and how a buying department functions. Some key points:
- Fashion buying involves researching trends, sourcing products, creating seasonal plans, and working with vendors to develop ranges for retail channels.
- There are typically two main seasons - Spring/Summer and Fall/Winter, but now there are 52 "micro-seasons" per year with new drops every week for fast fashion.
- A buying team usually includes designers, planners, buyers, and coordinators. Designers propose trends, planners set budgets, and buyers source merchandise within guidelines.
- The buyingNew brands in no mans land
New brands in no mans landkharin20
油
The document discusses challenges faced by new brands in the consumer electronics market, particularly in the LED TV segment. It highlights common mistakes made by these brands, such as relying on cheap products and failing to conduct proper market research, which leads to eventual market failure. The author emphasizes the need for new entrants to focus on quality, consistency, and long-term brand strategy to succeed.New brands in no mans land
New brands in no mans land kharin20
油
This document discusses common mistakes made by new consumer electronics brands entering the market. It notes that new brands often struggle due to lack of market research, compromising on product quality, focusing only on short-term sales rather than building a sustainable brand, and blaming others for failures rather than analyzing real issues. The document advises new brands to evolve from a narrow understanding of the market, build a brand with a long-term vision that provides value to retailers and customers, and focus on consistency, quality, service and meeting customers' core needs.Flipping Houses Blueprint
Flipping Houses BlueprintThetastuff
油
This document provides a step-by-step guide to mastering house flipping, covering essential modules on finding deals, negotiating, and closing quickly. It emphasizes understanding your schedule, locating motivated sellers, and making appealing offers while outlining various financing structures. The guide also includes marketing strategies to attract private lenders for funding and detailed examples of potential real estate transactions.12 checklists to start your fashion boutique
12 checklists to start your fashion boutiqueSonysamal1
油
1. The document provides a checklist of 12 important factors to consider when starting a fashion boutique business. It discusses deciding on the boutique type, defining the unique selling proposition, sourcing funding, choosing a location, finding suppliers, setting pricing, store design, operations, legal requirements, hiring employees, developing a marketing plan, and implementing digital marketing strategies.
2. Key aspects that are recommended to focus on include determining the boutique concept as consignment, retail or franchise; understanding the target customer; securing adequate funding; selecting an optimal location; establishing reliable supply chains; setting competitive yet profitable prices; creating an appealing store environment; defining operational procedures; fulfilling legal obligations; hiring qualified staff as needed; and developingStartupYard - From Idea to Funding, and Beyond
StartupYard - From Idea to Funding, and BeyondMilan Steskal
油
The document provides a summary of steps for successful fundraising. It outlines 9 key steps: 1) defining the problem being solved, 2) describing the solution, 3) estimating the market size, 4) obtaining customers, 5) establishing a business model, 6) outlining the go-to-market strategy, 7) identifying competitors, 8) describing the team, and 9) specifying how funds will be used. The document emphasizes validating the problem and solution with customers, being realistic about projections and needs, and treating investors as long-term partners. It also shares the founder's experience fundraising for Mentegram from Neulogy Ventures.Top 7 Mistakes Suppliers make when selling to UK retailers
Top 7 Mistakes Suppliers make when selling to UK retailersKaren Green
油
The document outlines the top seven mistakes suppliers make when selling to UK retailers, emphasizing the importance of understanding buyer needs and market fit. It details issues such as targeting the right retailer, failing to prepare adequately, and focusing on brand rather than market opportunities. The author, Karen Green, shares her expertise in food management and highlights the significance of knowing buyers and their requirements to avoid common pitfalls.SBJ SALES TRAINING.pptx
SBJ SALES TRAINING.pptxParthSarthy10
油
This document provides an overview and training for sales associates. It discusses the ideal qualities of a sales associate, including being a good listener and communicator. The sales process is outlined, covering pre-sale preparation, opening the sale, progressing the sale through understanding customer needs, sales presentations, handling objections, and closing the sale. Pre-sale preparation includes preparing yourself, being aware of market trends, and knowing your store inventory. The opening involves greeting the customer warmly and making them feel comfortable. Progressing the sale focuses on understanding customer interests through friendly conversation.Module v retail mgt
Module v retail mgtAkash Molla
油
This document provides an overview of store operations and retail marketing. It discusses key aspects of managing a retail store including store atmosphere, cash handling, prevent shoplifting, customer service, refunds/returns, visual merchandising, training programs, inventory/stock management, and legal compliance. It also describes the role of the store manager and their responsibilities which include ensuring the store is clean, properly stocked, offers a positive customer experience, and meets business targets and profits. Additionally, it covers retail location strategies, factors affecting location selection, and the STP (segmenting, targeting, positioning) approach to retailing.Quarterly Business Performance Review Report - Final.pptx
Quarterly Business Performance Review Report - Final.pptxB15KENHLIM
油
This is a quarterly business performance of a mix and match businessRemarkable Retailer Workshop 際際滷show
Remarkable Retailer Workshop 際際滷showVicki Adrian
油
The document provides tips on how to market a retail business to become a "remarkable retailer". It emphasizes using "drip marketing" strategies like consistent advertising through TV, radio, newspaper, and social media to gradually build awareness and attract customers. Once customers visit the store, it is important to provide an excellent shopping experience to encourage return visits and word-of-mouth marketing. The document compares marketing a retail store to marketing an experience like Disneyland in order to build customer loyalty and long-term engagement.Sam walton
Sam waltonSurbhi Jindal
油
1. Sam Walton learned the value of a dollar from a young age through selling magazine subscriptions and working paper routes. He started his first store in Newport, Arkansas as a Ben Franklin franchise, where he learned valuable retail lessons.
2. After being forced to sell his first store due to a lease issue, Walton started his concept of expanding rapidly through opening many stores. He opened his first Walmart in Rogers, Arkansas.
3. Key to Walton's success was his philosophy of buying items for cheap wholesale prices and selling them at lower retail prices to move more product. He also focused on recruiting the right people and sharing information and profits with employees.Wine Labels: How to sell from the shelf
Wine Labels: How to sell from the shelfLost & Found
油
The document discusses the competitive landscape of the Australian wine market, emphasizing the importance of unique branding and effective wine labels to attract consumers. It outlines a four-stage design processresearch, strategy, creative, and productionto build a strong brand with radical differentiation that resonates with target customers. Ultimately, the document stresses that investing in impactful design and branding is crucial for standing out in a crowded marketplace.Noboru World_10 Marketing mistakes startups need to stop!.pdf
Noboru World_10 Marketing mistakes startups need to stop!.pdfNoboru World
油
The document outlines the ten most common marketing mistakes that startups should avoid, emphasizing the importance of staying informed about trends, having a strategic plan, and nurturing long-term client relationships. It advocates for learning from mistakes rather than fearing them and stresses the need for originality in content while managing expenses wisely. Additionally, it highlights the significance of understanding resources and making calculated investments in growth and team recruitment.Antique malls
Antique mallsL Andersen
油
The document provides a critical analysis of the antique mall business model, highlighting the risks and challenges potential lessees face, especially for those inexperienced in business. It emphasizes that a small percentage of vendors are profitable while most struggle to cover their costs, and advises thorough research and caution before committing to a lease. Key factors such as location, exclusiveness, inventory value, competition, and marketing effectiveness are discussed as crucial elements impacting success in this industry.The antique mall business profit
The antique mall business profitL Andersen
油
The document provides advice for evaluating the viability of leasing space in an antique mall. It cautions that antique malls often prey on inexperienced would-be dealers and recommends doing thorough research. Key questions to ask include determining dealer turnover rates, the exclusives policy and its impact, booth locations that are most profitable, the required inventory investment to be successful, the mall's marketing efforts and customer demographics, and security issues like shoplifting. The overall message is to carefully consider the business realities rather than just the rosy picture presented by the mall's owners.INZSIGHTS
INZSIGHTSJames Wilkes
油
The document provides insights from surveying six different stores. The major insights are that businesses don't recognize the need for insights, and that immediate low-cost improvements could benefit customers and profits. Additionally, creativity and innovation are seen as mystical rather than mainstream.
Individual store insights found opportunities like improving branding, staff engagement, and connecting to local producers. A large retailer was critiqued for prioritizing profits over community impact. The airport was called out for its poor customer experience, high prices, and clinical environment. Overall, the document identifies hidden opportunities for innovation and putting people first across many businesses.Insights doc
Insights docJames Wilkes
油
The document summarizes insights from surveying six different businesses. The major insight was that businesses don't recognize the need for insights and are missing opportunities for inexpensive improvements. Creativity and innovation are seen as mystical rather than mainstream. Each business summary identifies disconnects and hidden opportunities for the businesses to improve their customer experience and sales.INZIGHTS
INZIGHTSJames Wilkes
油
The document provides insights from surveying six different stores. The major insights are that businesses don't recognize the need for insights, and that immediate low-cost improvements could benefit customers and profits. Additionally, creativity and innovation are seen as mystical rather than mainstream.
Individual store insights found opportunities like improving branding, staff engagement, signage, layout and customer experience. The largest store was critiqued for prioritizing profits over community impact. The airport was called out for its poor design, service and experience. Overall, the document identifies hidden opportunities for all businesses to better serve customers through insights, innovation and putting people first.Private Label Vs
Private Label Vsrajnish kumar
油
The document discusses the advantages and disadvantages of private label products versus nationally branded products from a retailer's perspective. Some key advantages of private labels are greater control over the product and business, substantial savings in product costs, and brand equity that belongs solely to the retailer. However, private labels also require more time and resources to develop properly. Nationally branded products have advantages like widespread recognition but can reduce retailer control and profit margins. The document concludes the retailer should pursue their core business of retailing by controlling key elements like quality and branding through a private label strategy while also offering some national brands.Suyash int.pvt.ltd.
Suyash int.pvt.ltd.Ashoka Verma
油
Suyash Intentional Pvt. Ltd. distributes products through various trade channels including general trade, modern trade, wholesalers, retailers, distributors, malls, complexes, and franchised outlets. They analyze distribution, volume, merchandising, and initiatives to enhance sales. Trade is segmented into monthly, bi-weekly, and weekly cycles. Targets are set accordingly. Merchandising focuses on shopper-based designs with proper product placement, visibility, and availability. Per-product pointing aims to maintain 100% product visibility and availability in outlets. Filling gaps helps develop "outlet homes". Semi-life conducted products require a supply chain with limited stations for timely delivery to end users like confectionMore Related Content
Similar to Seven Fatal Sins in FMCG (20)
New brands in no mans land
New brands in no mans landkharin20
油
The document discusses challenges faced by new brands in the consumer electronics market, particularly in the LED TV segment. It highlights common mistakes made by these brands, such as relying on cheap products and failing to conduct proper market research, which leads to eventual market failure. The author emphasizes the need for new entrants to focus on quality, consistency, and long-term brand strategy to succeed.New brands in no mans land
New brands in no mans land kharin20
油
This document discusses common mistakes made by new consumer electronics brands entering the market. It notes that new brands often struggle due to lack of market research, compromising on product quality, focusing only on short-term sales rather than building a sustainable brand, and blaming others for failures rather than analyzing real issues. The document advises new brands to evolve from a narrow understanding of the market, build a brand with a long-term vision that provides value to retailers and customers, and focus on consistency, quality, service and meeting customers' core needs.Flipping Houses Blueprint
Flipping Houses BlueprintThetastuff
油
This document provides a step-by-step guide to mastering house flipping, covering essential modules on finding deals, negotiating, and closing quickly. It emphasizes understanding your schedule, locating motivated sellers, and making appealing offers while outlining various financing structures. The guide also includes marketing strategies to attract private lenders for funding and detailed examples of potential real estate transactions.12 checklists to start your fashion boutique
12 checklists to start your fashion boutiqueSonysamal1
油
1. The document provides a checklist of 12 important factors to consider when starting a fashion boutique business. It discusses deciding on the boutique type, defining the unique selling proposition, sourcing funding, choosing a location, finding suppliers, setting pricing, store design, operations, legal requirements, hiring employees, developing a marketing plan, and implementing digital marketing strategies.
2. Key aspects that are recommended to focus on include determining the boutique concept as consignment, retail or franchise; understanding the target customer; securing adequate funding; selecting an optimal location; establishing reliable supply chains; setting competitive yet profitable prices; creating an appealing store environment; defining operational procedures; fulfilling legal obligations; hiring qualified staff as needed; and developingStartupYard - From Idea to Funding, and Beyond
StartupYard - From Idea to Funding, and BeyondMilan Steskal
油
The document provides a summary of steps for successful fundraising. It outlines 9 key steps: 1) defining the problem being solved, 2) describing the solution, 3) estimating the market size, 4) obtaining customers, 5) establishing a business model, 6) outlining the go-to-market strategy, 7) identifying competitors, 8) describing the team, and 9) specifying how funds will be used. The document emphasizes validating the problem and solution with customers, being realistic about projections and needs, and treating investors as long-term partners. It also shares the founder's experience fundraising for Mentegram from Neulogy Ventures.Top 7 Mistakes Suppliers make when selling to UK retailers
Top 7 Mistakes Suppliers make when selling to UK retailersKaren Green
油
The document outlines the top seven mistakes suppliers make when selling to UK retailers, emphasizing the importance of understanding buyer needs and market fit. It details issues such as targeting the right retailer, failing to prepare adequately, and focusing on brand rather than market opportunities. The author, Karen Green, shares her expertise in food management and highlights the significance of knowing buyers and their requirements to avoid common pitfalls.SBJ SALES TRAINING.pptx
SBJ SALES TRAINING.pptxParthSarthy10
油
This document provides an overview and training for sales associates. It discusses the ideal qualities of a sales associate, including being a good listener and communicator. The sales process is outlined, covering pre-sale preparation, opening the sale, progressing the sale through understanding customer needs, sales presentations, handling objections, and closing the sale. Pre-sale preparation includes preparing yourself, being aware of market trends, and knowing your store inventory. The opening involves greeting the customer warmly and making them feel comfortable. Progressing the sale focuses on understanding customer interests through friendly conversation.Module v retail mgt
Module v retail mgtAkash Molla
油
This document provides an overview of store operations and retail marketing. It discusses key aspects of managing a retail store including store atmosphere, cash handling, prevent shoplifting, customer service, refunds/returns, visual merchandising, training programs, inventory/stock management, and legal compliance. It also describes the role of the store manager and their responsibilities which include ensuring the store is clean, properly stocked, offers a positive customer experience, and meets business targets and profits. Additionally, it covers retail location strategies, factors affecting location selection, and the STP (segmenting, targeting, positioning) approach to retailing.Quarterly Business Performance Review Report - Final.pptx
Quarterly Business Performance Review Report - Final.pptxB15KENHLIM
油
This is a quarterly business performance of a mix and match businessRemarkable Retailer Workshop 際際滷show
Remarkable Retailer Workshop 際際滷showVicki Adrian
油
The document provides tips on how to market a retail business to become a "remarkable retailer". It emphasizes using "drip marketing" strategies like consistent advertising through TV, radio, newspaper, and social media to gradually build awareness and attract customers. Once customers visit the store, it is important to provide an excellent shopping experience to encourage return visits and word-of-mouth marketing. The document compares marketing a retail store to marketing an experience like Disneyland in order to build customer loyalty and long-term engagement.Sam walton
Sam waltonSurbhi Jindal
油
1. Sam Walton learned the value of a dollar from a young age through selling magazine subscriptions and working paper routes. He started his first store in Newport, Arkansas as a Ben Franklin franchise, where he learned valuable retail lessons.
2. After being forced to sell his first store due to a lease issue, Walton started his concept of expanding rapidly through opening many stores. He opened his first Walmart in Rogers, Arkansas.
3. Key to Walton's success was his philosophy of buying items for cheap wholesale prices and selling them at lower retail prices to move more product. He also focused on recruiting the right people and sharing information and profits with employees.Wine Labels: How to sell from the shelf
Wine Labels: How to sell from the shelfLost & Found
油
The document discusses the competitive landscape of the Australian wine market, emphasizing the importance of unique branding and effective wine labels to attract consumers. It outlines a four-stage design processresearch, strategy, creative, and productionto build a strong brand with radical differentiation that resonates with target customers. Ultimately, the document stresses that investing in impactful design and branding is crucial for standing out in a crowded marketplace.Noboru World_10 Marketing mistakes startups need to stop!.pdf
Noboru World_10 Marketing mistakes startups need to stop!.pdfNoboru World
油
The document outlines the ten most common marketing mistakes that startups should avoid, emphasizing the importance of staying informed about trends, having a strategic plan, and nurturing long-term client relationships. It advocates for learning from mistakes rather than fearing them and stresses the need for originality in content while managing expenses wisely. Additionally, it highlights the significance of understanding resources and making calculated investments in growth and team recruitment.Antique malls
Antique mallsL Andersen
油
The document provides a critical analysis of the antique mall business model, highlighting the risks and challenges potential lessees face, especially for those inexperienced in business. It emphasizes that a small percentage of vendors are profitable while most struggle to cover their costs, and advises thorough research and caution before committing to a lease. Key factors such as location, exclusiveness, inventory value, competition, and marketing effectiveness are discussed as crucial elements impacting success in this industry.The antique mall business profit
The antique mall business profitL Andersen
油
The document provides advice for evaluating the viability of leasing space in an antique mall. It cautions that antique malls often prey on inexperienced would-be dealers and recommends doing thorough research. Key questions to ask include determining dealer turnover rates, the exclusives policy and its impact, booth locations that are most profitable, the required inventory investment to be successful, the mall's marketing efforts and customer demographics, and security issues like shoplifting. The overall message is to carefully consider the business realities rather than just the rosy picture presented by the mall's owners.INZSIGHTS
INZSIGHTSJames Wilkes
油
The document provides insights from surveying six different stores. The major insights are that businesses don't recognize the need for insights, and that immediate low-cost improvements could benefit customers and profits. Additionally, creativity and innovation are seen as mystical rather than mainstream.
Individual store insights found opportunities like improving branding, staff engagement, and connecting to local producers. A large retailer was critiqued for prioritizing profits over community impact. The airport was called out for its poor customer experience, high prices, and clinical environment. Overall, the document identifies hidden opportunities for innovation and putting people first across many businesses.Insights doc
Insights docJames Wilkes
油
The document summarizes insights from surveying six different businesses. The major insight was that businesses don't recognize the need for insights and are missing opportunities for inexpensive improvements. Creativity and innovation are seen as mystical rather than mainstream. Each business summary identifies disconnects and hidden opportunities for the businesses to improve their customer experience and sales.INZIGHTS
INZIGHTSJames Wilkes
油
The document provides insights from surveying six different stores. The major insights are that businesses don't recognize the need for insights, and that immediate low-cost improvements could benefit customers and profits. Additionally, creativity and innovation are seen as mystical rather than mainstream.
Individual store insights found opportunities like improving branding, staff engagement, signage, layout and customer experience. The largest store was critiqued for prioritizing profits over community impact. The airport was called out for its poor design, service and experience. Overall, the document identifies hidden opportunities for all businesses to better serve customers through insights, innovation and putting people first.Private Label Vs
Private Label Vsrajnish kumar
油
The document discusses the advantages and disadvantages of private label products versus nationally branded products from a retailer's perspective. Some key advantages of private labels are greater control over the product and business, substantial savings in product costs, and brand equity that belongs solely to the retailer. However, private labels also require more time and resources to develop properly. Nationally branded products have advantages like widespread recognition but can reduce retailer control and profit margins. The document concludes the retailer should pursue their core business of retailing by controlling key elements like quality and branding through a private label strategy while also offering some national brands.Suyash int.pvt.ltd.
Suyash int.pvt.ltd.Ashoka Verma
油
Suyash Intentional Pvt. Ltd. distributes products through various trade channels including general trade, modern trade, wholesalers, retailers, distributors, malls, complexes, and franchised outlets. They analyze distribution, volume, merchandising, and initiatives to enhance sales. Trade is segmented into monthly, bi-weekly, and weekly cycles. Targets are set accordingly. Merchandising focuses on shopper-based designs with proper product placement, visibility, and availability. Per-product pointing aims to maintain 100% product visibility and availability in outlets. Filling gaps helps develop "outlet homes". Semi-life conducted products require a supply chain with limited stations for timely delivery to end users like confectionSeven Fatal Sins in FMCG
- 1. Seven Fatal Sins: Why FMCG Distributors Are Overstocked Make no mistake Manufacturer, YOU put the stock there, oh yes you did! Distributors don't buy stock for a laugh and a giggle. Excess stock blocks up their warehouses and locks up their CASH. 1. MONTH, QUARTER AND YEAR-END PUSH. "Targets have to be met so push as much stock as possible onto the Distributors." 2. FAILED LAUNCHES. Unrealistic Manufacturer sales objectives leading to slow moving goods. 3. OLD LABEL STOCK. Perfectly good stock but the pack with the new artwork is being sold already and nobody wants this. 4. OLD AND EXPIRED PROMOTIONS. Funding support has ended so what do we do with all these left over promo packs? 5. RETURNS FROM CUSTOMERS. Still arguing about who is to pay for these returns? 6. MANUFACTURER forecasting errors. Nobody wants to lose face at Manufacturer HQ so the stock sits and gathers dust until it expires. 7. DAMAGED AND EXPIRED. Damages happen, get them written off AND destroyed and get over it. You can avoid expired goods - see above! You might think your Distributors have a healthy 21 days of cover but in reality they are operating with a much lower level of saleable stock. The rest sits in their books and in your stock cover numbers but it contributes nothing to sales. In fact, it negatively affects sales as stock that is in demand is available at too low levels to meet customer requirements.