Driving Operational Efficiency through Category Management in the Skin Care Products Segment

Driving Operational Efficiency through Category Management in the Skin Care Products Segment

Engagement Overview:

The client, a pioneer in the skin care products segment, wanted to address a wide range of challenges arising due to inefficient category management, it included challenges related to – supply chain inefficiencies, procure-to-pay, supplier relationship management, and so on. To identify and focus on the key performance metrics in these areas, the CPG industry client approached SpendEdge to help them leverage it’s strong expertise in category management to address such challenges.

The category management engagement entailed the use of a detailed quantitative analysis of various categories within the skin care products segment to identify and benchmark the best suitable category management strategy.request proposal

About the Client:

A multinational company specializing in the manufacturing and sale of skin care products.

Business Challenge:

The CPG industry client was facing several challenges due to factors such as changes in the consumer profiles, competitive pressure, industry consolidation, economic factors, and technological advancements. To overcome such challenges and devise multifunctional synergies across their supply network, the skin care products client wanted to deploy an advanced category management strategy.


How did SpendEdge Help the Client?

  • Step 1: Defining the role of each category within the supply network

The initial step revolved around the process of defining the role of each category to help the skin care products client identify the importance of the category. This further helped them group different product categories based on the priorities assigned to them.

  • Step 2: Developing category scorecards

A category scorecard is the strategic allocation of work to achieve the goals and reach the objectives assigned for each category. It included a detailed assessment of the different categories to help the client develop precise goals and targets for each category.

  • Step 3: Developing a strategic approach to fine-tune category management strategies and drive operational efficiency

The scrupulous three-step approach helped in the fine-tuning the client’s category management strategies to ensure they meet the scorecards goals and objectives. It also enabled the skin care products manufacturer to scrutinize their category management strategies to meet organizational goals, increase ROI, enhance market share, and drive profits.


Key questions answered in this category management engagement include:

Skin Care Products


Benefits of the Engagement:

The category management engagement helped the skin care products client to set clear category objectives and fine-tune their category management strategies to boost savings. Our experts worked as an extension of the skin care products firm to identify the success factors that uncovered major opportunities to enhance brand perception.

Why is category management essential?

With the growing competitive pressure in today’s CPG industry, players are constantly faced with the challenge of enhancing brand visibility. Leading players in the manufacturing sector are now looking at partnering with retail industry firms to enhance sustainable category sales. Also, top players in the CPG industry are focusing on developing advanced category management programs to enhance their operational efficiency and drive sales.

SpendEdge’s category management solutions are tailored to help players in the CPG industry compete more effectively by minimizing wasteful spend. Aligning business processes with category management strategies helps achieve organizational goals set for your brand; thereby, establishing your brand as a true leader in the category and differentiating you from the global competition.

Our Findings:

Category management will enable organizations to increase competitiveness and enhance value from a customer’s perspective. If your organization is on the lookout for an objective way to enhance operational efficiency and category growth, category management is the ideal approach to identify alternative and feasible ways to enhance category performance.

Moreover, effective category management acts as an instrumental technique for enhancing business value by overturning the inertia that often sets in when businesses get confined to set standards.


To know more about our category management solutions
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