Project on Sales Management : Nestle

Description
In the 1860s Henri Nestlé, a pharmacist, developed a food for babies who were unable to breastfeed In 1905 Nestlé merged with the Anglo-Swiss Condensed Milk Company. By the early 1900s, the company was operating factories in the United States, Britain, Germany and Spain.

Tutku Rüya Özmen
Gözde U?ur
Asl? Mustafa
Mustafa I??k
MKTG 450
SALES MANAGEMENT
Outline
? Nestlé Background
? Nestlé Global
? Nestlé Turkey
? Market
? Organization Chart
? Nestlé Turkey
? Sales
? Sales and Marketing
? CCSD
? Sales People
? Sales Automation
? Order Processing
Wanna more?
? Can you guess when was Nestlé is
founded?

1200’s
1300’s
2000’s
1900’s
1800’s
1700’s
1600’s
1500’s
? 1860
Source:
www.nestle.com
Nestlé around the world
? 1860s Henri Nestlé, a pharmacist,
food for babies
? 1905; mergers and acquisition
? 1900s, Nestlé is now a Global
Company
? World War I: By the end of the war,
Nestlé's production had more than
doubled.
? Globalization
Source:
www.nestle.com.tr
Nestlé Turkey
? Oldest FDI in Turkey
? First year in Ottoman market 1750
unit sold
? Growth
? Turkey = Nestlé’s 15th market
? Mis Süt = Nestlé in dairy products
market
? Nesquik, breakfast cereals
? Nestlé Pure Life = Water category
Markets
? 4 markets
? Water
? Leader: Erikli (%60 owned by Nestlé)
? Players: Nestlé, Saka, Hayat (Danone), P?nar
? Yogurt
? Leader: Danone
? Players:Süta?, Nestlé, P?nar
? Milk
? Leader: Ülker
? Players: P?nar, Mis (Nestlé), Danone
? Ready-to-drink coffee
? Leader: Nestlé
? Players: Jacobs, Maxwell
Organization chart
CEO
SALES MARKETING SUPPLY CHAIN GLOBE
TRADITIONAL
TRADE
MODERN TRADE
(NAM)
KAM
CARREFOUR+G?MA
KAM
M?GROS+TANSA?
KAM D?A
KAM B?M
KAM K?LER
KAM TESCO (K?PA)
KAM METRO+REAL
DISTRIBUTORS
ANKARA
?ZM?R
TRAKYA
KADIKÖY
GROCERIES
CCSD
Sales
1/3 of
1/3 of
1/3 of
Sales
Traditional
Trade
Modern
Trade
Distributors Groceries
Carrefour + Gima
Migros + Tansa?
Bim
Dia
Tesco (Kipa)
Kiler
Metro + Real
Ankara
?zmir
Trakya
KAd?köy
One more chance!
? Why Nestlé tried hard to diverse its
revenue almost equally among different
channels?
1/3 of
1/3 of
1/3 of
Risk
Diversion
Traditional Trade
• 4 Regional
Management Units
• ?zmir
• Ankara
• Trakya
• Kad?köy
• 25.000 sales point
• Used for
• Financial resource
• Warehousing
• Disributor sales chiefs
• Nestlé employee
Traditional
Trade
Distributors Groceries
Ankara
?zmir
Trakya
Kad?köy
Coffee?
? Who do you think was the idea to
develop Nescafé 3 in 1?
? A sales chief
Modern Trade
Modern
Trade
Groceries
Key
Accounts
Discount
Hyper
market
Super
market
Cash &
Carry
Dia Bim Carrefour
Gima Real Metro Migros Kiler Tansa?
Migros
(5M)
Traditional Trade & Modern Trade
G
r
o
c
e
r
i
e
s

Sales & Marketing
Commercial
Director of Sales &
Marketing
Sales Marketing
BEFORE!
AFTER!
Category Channel Sales
Development
Duties:
1) Information about new product
2) SWOT analyses
3) Make next year’s plan
? Sales: all about customer (best shelf
order, posters, umbrellas at the
groceries)
? Marketing: all about consumers
(promotions etc)

Sales People
• Hiring
• Tests,
• Every time of the year
• Training
• Trained buyers, requires trained sellers
• Management Trainee
• Many opportunities
• “Best practices”
• SAP education
Quiz!
• With a reward!

• Sales peole should be motivated.
Why?
Effort
Performance
Reward
Expactancy
Instrumentality
Valence
Sales People Motivation
• CCSD’s in charge
• Give a target and reinforce the success
? The winner!
? Bonuses monthly targets
? Key Performance Indicators
? The award is given in each quadrant
Sales Force Automation
• SAP
• Palm
• Who, when, how?
• Takes order
• Connected to HQ

Order Processing
• Distributors have warehouses, stocks are kept,
• Key Accounts: There are some differences.
? Everyday for Carrefour ,
? For Carrefour and Metro
? EDI System
? received by Supply Chain
? Twice a week for Gima
? For Gima:
? E-mail
? Delivery: next day
? Migros
? B2B is important
? Strictly controlled
? LEAD TIME
Key Points
? TO PREVENT SPOT:
? Distributors ID
? Follow up SPOT
? Don’t concentrate on 1 channel. Diverse the risk.
Nestlé succeded it very well!
.
.
. .
.
.
Questions
Comments
Thanks..
? Tutku Rüya Özmen
? Gözde U?ur
? Asl? Mustafa
? Mustafa I??k

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