Headquartered in Germany, Henkel is a market leader in global beauty care. Its product offering encompasses brands across hair color, care and styling, as well as body, skin and oral care.
Henkel operated in a competitive retail environment with more than 35 retailers with varying store sizes. Additionally, it had more than 900 SKUs across various stores. Sales reps used manual methods to measure in-store distribution and shelf share, and spent a mere 10 minutes of every hour in the store in active selling. Further, this manual method did not provide the insight needed to identify and fix gaps in distribution, share of shelf and merchandising compliance at the store level.
Trax Retail Execution powered by AWS helped Henkel monitor more than 900 SKUs across 2500 stores in Germany. Sales reps were empowered to capture granular SKU level information that answered the following questions: Are the correct SKUs distributed in each category and each cluster? Which SKUs are missing the target distribution? Is the layout in each store correctly executed?
Time available for sales reps to engage in active selling increased by 150%.
Time spent on distribution check and data collection decreased by 50%.
Merchandizing managers identified poorly distributed products, measured share of shelf per banner for each brand, and in comparison to competitors. Account managers and category managers were able to make cross-customer/area comparisons to identify new opportunities.
With Trax, Henkel monitored nearly 500,000 products in just 3.5 months and identified over 20,000 regularly missing on shelves. Taking corrective action to improve distribution led to a revenue uplift of more than 2%.
Trax has catalysed our digital merchandizing process and has changed the daily routine of our sales repsALEXANDER LAUGOMER, PROJECT MANAGER, DIGITAL MERCHANDIZING