Page 40 - Strategic Marketing Complete
P. 40

SUPPLY CHAIN

           stock, assisting with merchandising   targeting and marketing to them in   it is a vital part of the supply chain
           and overall branding of the store.”  the same way that the more formal   process and should be integral



                       As suppliers develop and evolve their businesses

                   to meet the needs of their client, it is inevitable that
                        integration will extend across the borders of

                            south Africa and into the continent.




           Kohlöffel points out that spaza   market is handled,” he says.      to it. It is part of what influences
           shops contribute massively to the   “Brand marketing at store level – in   purchasing decision.”
           GDP of the country, with millions   the shape of field marketers that
           of consumers making their daily   represent a brand, ensures that   Don’t underestimate the
           purchases in these stores. “From   shelves are stocked, point of sale   complexity
           our point of view, we’re bringing   looks good, branding is visible, and   As Smollan says, distributors
           these outlets into the mainstream,   activations happen when needed –   have sought to leverage their
                                                                               existing distribution networks and
                                                                               infrastructure into Africa to bolt on
                                                                               new services, like merchandising.
                                                                               But, he adds, many have fallen short
                                                                               by “underestimating the complexity
                                                                               of recruiting, training, positioning
                                                                               and managing an effective sales
                                                                               and merchandising force, the
                                                                               technology and standard operating
                                                                               procedures required to enable them,
                                                                               and the nuances of implementing
                                                                               merchandising fundamentals across
                                                                               different categories and channels”.

                                                                               Human capability is a big issue.
                                                                               Dr Beverley Waugh, an expert
                                                                               in supply chain and logistics
                                                                               management who spearheads the
                                                                               IMM Graduate School’s export and
                                                                               new supply chain management
                                                                               programmes, says the Department
                                                                               of Trade and Industry has exposed
                                                                               a limiting factor in making South
                                                                               Africa more competitive: the lack
                                                                               of well-trained export managers,
                                                                               specifically skilled in marketing.

                                                                               “Managers in the field should
                                                                               have a wide-based knowledge
                                                                               of the world-of-business and
                                                                               be able to think across different
                                                                               disciplines, as export companies
                                                                               are increasingly confronted with
                                                                               challenges in the continuous process
                                                                               of developing and maintaining a
                                                                               feasible fit between organisations’
                                                                               objectives, skills and resources and
                                                                               their changing global marketing
                                                                               opportunities,” says Waugh.


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