Lately, consumer’s enthusiasm towards the CPG industry has narrowed down drastically due to challenges such as the weakening currencies and slowing GDP growth. Moreover, CPG industry players have been facing pressure from competitors, which has compelled them to rely on strategies to drive traffic and enhance their profit margin in this ever-changing dynamic competitive environment. Also, to understand the spending patterns across the supply chain, leading organizations in this industry space have started adopting category management studies to gain better visibility into the procurement process and devise superior sourcing strategies.
Moreover, the category management studies offered by SpendEdge help CPG industry firms decrease their overall inventory spending.
The Procurement Pain Point and Insights Offered
A global CPG industry client was facing predicaments in devising superior sourcing strategies and maintaining better relationships with their suppliers. As a result, the client wanted to design a strategic procurement intelligence report to analyze the customer data. Additionally, they wanted to gain an understanding of the supplier’s pricing and evaluate their best practices.
The category management experts at SpendEdge devised a blended two-step research methodology, which involved primary and secondary research coupled with quantitative and qualitative data collection methodologies.
This category management study helped the CPG industry client evaluate the dynamics of the market and gain insights into the supplier’s cost structure and pricing across the supply chain. Additionally, the client was able to increase their visibility into the category management processes through a comprehensive SWOT analysis.
Fundamental questions answered in this category management study include
The CPG industry client was able to improve their supplier selection decisions with the help of this category management study. Additionally, this engagement helped them reduce maverick spends across the supply chain.