How SpendEdge Helped CPG Giant Streamline Contract Manufacturer Selection Process
Client
US-based CPG Giant
Industry
Retail, CPG, and Packaging
Solution
Changing Consumer Preferences
Key Highlights
- Client faced declining market shares and growing consumer concerns
- Increased focus on clean-label and health-conscious products
- Demand for unique flavors and non-traditional fruit-based products
Industry Overview
Supply market intelligence covers the end-to-end flow of products, information, and money. How the supply market intelligence strategy works strongly defines the competitiveness of an organization in terms of working capital requirements, product cost, and speed to market. Our strength lies in delivering robust, real-time sourcing and procurement solutions that help category managers gain powerful insights to align their supply chain management process to achieve their business goals strategically and ensure best value delivery.
Identifying the Bottlenecks
Faced with intense competition and the need to improve profit margins, our client turned to SpendEdge for assistance in overcoming their business challenges. One of the main strategies involved migrating cost-intensive operations to low-cost destinations. With an addressable market worth over US$1 billion in the US and Canada, it was crucial for the client to optimize their manufacturing processes and reduce operating costs without compromising product quality. By partnering with SpendEdge, the client aimed to find solutions that would ensure their continued success in the highly competitive F&B and CPG market.
Challenges Faced
- Intense competition and pressure to improve profit margins.
- Need to migrate cost-intensive operations to low-cost destinations.
- Addressable market worth over US$1 billion in the US and Canada.
Overcoming the Bottlenecks
Solutions Delivered
- Our procurement specialists conducted comprehensive research and analysis, aligning with the client’s business requirements.
- The research findings were validated, tabulated, and presented to the client, expediting the selection process.
- The client promptly engaged with one of the contract manufacturers from our shortlist, and initial results have been highly encouraging.
Our team at SpendEdge assisted the client in streamlining their contract manufacturer selection process. Leveraging our expertise and market research methodology, we identified key contract manufacturers for the client’s ready-to-eat product line. Factors such as plant locations, equipment type, and quality certifications were thoroughly evaluated to assess operational and functional capabilities. By providing a shortlist of five contract manufacturers, we ensured timely decision-making and enabled the client to collaborate with a preferred manufacturer.
Breakthrough Results
The client successfully addressed their business challenges and achieved the following outcomes:
- Improved profit margins and reduced operating costs.
- Enhanced product quality and expanded manufacturing capabilities.
- Increased market competitiveness and customer satisfaction.
Impact Delivered
US $930M+
Addressable market value in the US
Strenghtened Position
in the F&B and CPG Market
Streamlined
contract manufacturer selection process
Talk to Our Experts
From retail to healthcare, businesses are scraping the bottom of the barrel hoping to find the next opportunity for topline growth or spending cutbacks. Contextualized category intelligence is increasingly the key differentiator.