Category management as a tool for sales in the zoo industry of the b2b. Effective sales

Aim of our company is offering a wide product range and qualitative services on high level.

In the category of goods FMCG group (fast-moving consumer goods of daily demand) today category management is a proven tool that allows to effectively manage the assortment and sales in the store. We offer you to introduce its basic principles in the sale of pet products too. As this will allow to order the assortment and maximize the trade indicators not only in a particular category, but the entire assortment of the outlet.

The easiest way to implement a category-based sales method is to take a category manager to the staff. His tasks will be to follow the whole cycle of the goods movement from purchase to sale. Such a manager will look at his category from the point of view of a mini-enterprise within the company with his budget, pricing, procurement policy and development strategy. He will analyze and adjust the range in terms of turnover, profit, shelf space and customer perception.

If for some reason you are not ready to take a category manager into the staff, then, at least, start analyzing the assortment of your store from this point of view. Be sure to contact your manager in Suzirya company group, as we are interested in effective sales of our products. And you are always ready to take part in choosing the assortment of goods for your store, consulting on the list of top products, recommendations on margin and getting you adequate profit.

What do you need to know about the categorical approach?

1. The basic principle is the concentration on the buyer.

Answer yourself the following questions:
1. Who is your customer?
2. What does he buy and for whom?
3. How can you influence on your customer?
4. Why does he shop at your store? Where else does he buy?
5. For what purpose does he buy? Does he need food for the pet? Does he use grooming services for his pet? Does he need help in choosing the goods?
6. How often does he buy? Does he only come for care or not?
7. Does he buy everything he needs? Toys? Goodies? What is missing?
8. With what average check do buyers leave your store?
9. How often do they enter your outlet?

There are a lot of questions. And not all questions can have positive answers for you. Do not be afraid of negative answers. They need to be analyzed, draw conclusions and correct.
For example, an important question: Why did your client not buy the goods he needed exactly at your store? Possible answers:
• The goods that he used to buy were not in the store;
• He did not find the right product at the outlet;
• He did not see the price tag on the product or did not find the expiry date on the package;
• The cost seemed high;
• He did not want to touch the products, because the goods had a non-representative appearance: dust on the goods, were broken, etc.
Agree, every negative answer requires a different approach in the future development of the outlet.

2. The second principle is the analysis of the market you work in.

Analyze the market and suppliers in the following areas:
1. What trends are present in the market? For example, the demand for gluten-free diets and feeds of the holistic class for small dogs.
2. What novelties are in demand today?
3. What products of the world leaders in the production of goods for pets can be found in many pet stores?
Evaluate your range from this point of view. And choose reliable suppliers who want to maintain a constant assortment of their products in your outlet.

3. The third principle is the analysis of competitors.

The more carefully you study competitors, the more effectively you will be able to build your own development strategy.
Learn about other pet stores in your area:
1. What is their schedule?
2. In which market segment do they target when choosing an assortment (premium, medium or economy)?
3. Who is the main customer? Is there a seasonal dependence on visitors?
4. Who works for them (veterinarians, zoologists, sellers with or without experience, how they are trained, etc.)?
5. What kinds of problems are being fought (for example, theft of customers or personnel, the renewal of the license for retail trade in veterinary drugs, the possible closure of the store due to the need to install a cash register or other innovations of the current legislation, etc.)?

4. The fourth principle is the analysis of sales results.

What do we analyze for each category?
1. Profit.
2. Goods turnover in money.
3. Product turnover in quantity.
4. Specific indicators of the goods turnover in units and profit per square meter.
5. Quantity of stock.

5. The fifth principle is the development and analysis of the development plan in each category.

What should include the development tactic of the category?
Here is the main list of marketing parameters:
1. The cost.
2. Assortment.
3. Promotions.
4. Merchandising.

For example, we determined the strategy of your nearest development of a pet store as an "increase in profit"!
What do we do?
1. We are reviewing the range in terms of the prevalence of high-yield goods.
2. Do not forget about the emphasis on essential goods for pets (feed, treats, hygiene).
3. Separately, we care about the laying out of goods with a high probability of impulse demand (delicious goodies, bright toys).
4. We take care of the availability of exclusive products with a "twist" (for example, clothes for dogs, comfortable combs, a wide choice of furminators or furflexes).
5. We reduce the low marginal assortment of goods.
6. We organize regular promotions and to increase impulsive purchases we have action products near the goods that are very popular with the consumer or in the place of high traffic of the customer (fodder and other necessities).

What else do you need to know when approaching the assortment of goods for your outlet from the point of view of category management?

In the zoo industry in every category of products there are many brands that fill the assortment of several dozen suppliers. A big mistake will be to chase the presence of all of them in your assortment. It is enough that in each category of goods there are 3-5 brands, which are chosen so that 70-85% of consumers cover the demand. An exception may be the category of veterinary drugs and feed group.
Below are listed the main categories of goods needed for a full-fledged pet store.
You have the right to choose the ones that are most relevant for you if there are not enough places for all categories in the store.
• Aquariumistics.
• Cat food.
• Dog food.
• Feed for birds.
• Feed for rodents.
• Treats.
• Fillers.
• Vitamins.
• Veterinary preparations.
• Rags.
• Soft seats.
• Equipment.
• Clothes for pets.
• Ammunition.
• Bags.
• Goods for grooming.
• Pets.
• Toys.
• Cells.
• Special means.

In this case, the structure of turnover in different categories will depend on the analysis of your customers and the competitive environment, since the basic principle of working with categories is the focus on the buyer. And the most important thing in the work of your store is the winning of customer loyalty. A buyer is loyal, above all, when his needs are met at any visit to the store. And, therefore, the conquest of customer loyalty is directly related to the struggle of lack of products on the shelf. Therefore, focus on reliable suppliers that provide the maximum coverage of their range all year round. Good sales.
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