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Retail procurement consulting

Retail – Procurement and Supply Chain Consulting

Create long-term competitive advantages in retail

A positive shopping experience, flexible use of sales channels and high quality are all key factors required for retail procurement. Whether e-commerce, multi-channel or stationary retail, retailers are under massive pressure from strong competition, the development of different distribution channels and growing cross-channel concepts. A strong focus on the customer and a special shopping experience are key to remaining competitive and increasing customer loyalty. Efficient processes, clearly structured product range planning and flexibility in category management are of particular importance when it comes to keeping up with customers’ needs and new requirements. We provide the support you need to overcome these challenges.

The consulting experience we have built up over 1,200 individual projects in the retail sector for over 70 international customers ranges from food and non-food products for brands, industry brands and private labels to technical requirements in indirect procurement.

Our extensive supply chain management expertise enables us to quickly identify weaknesses in the supply chain and improve category management processes. This significantly improves your profits – and that is what we measure ourselves on.

 

How do we achieve optimization?

Reducing costs by optimizing procurement

Reducing purchasing costs is a major lever for improving results. To do this, we first carry out a potential analysis to identify potential savings in your procurement. If required, we analyse individual product groups, own-brand ranges or contractual terms and conditions with partners for branded goods.

Based on the results of our analysis, we develop suitable measures to optimize product ranges and reduce costs while maintaining or increasing quality. We then implement these measures for you, carrying out tenders with previously identified, suitable suppliers and working with you to develop an optimal negotiating strategy. The results are contracts with suppliers, which permanently secure your target savings and optimum quality standards. Benefit from our expertise and many years of experience, which are already relied upon by many specialist retail companies.

Optimizing store layout

Customer satisfaction and economic efficiency are the greatest challenges for store layout. According to a survey by the Media Economics Institute, attractive store design and product presentation are the most important reason for making a purchase. Customer requirements in terms of store layout are high: easy orientation, individuality and the desire for a shopping experience. In retail, it is vital to meet these demands, yet not lose sight of the costs. We assist in the attractive design of your stores, develop results-oriented solutions and work with you to implement them. We have many years of experience in the procurement of equipment, as well as store construction and renovation. We work with you and the suppliers to develop innovative solutions and concepts and ensure that they are implemented successfully.

Whether you are opening or renovating, we know what you need to succeed. This knowledge is based on the experience we have amassed over a total of 105 projects, our extensive supplier database and our powerful project management methods. Optimizing your store layout can achieve average savings of 18%.

Successful performance reviews for better procurement conditions

Our negotiating concept supports your procurement from negotiation preparation to the long-term implementation of the negotiated terms. Firstly, we perform a detailed analysis of performance indicators. We evaluate your suppliers’ performance and conditions based on product group benchmarks, among other factors, and the results enable us to identify important negotiating levers. Using this approach, we achieve average gross profit increases of up to 3% for brands and up to 10% for private labels. In addition, you will work with us on a performance-related basis. Benefit from our expertise in your performance reviews with manufacturers of leading brands.

Effective tools for efficient procurement

Our e-contor software is a powerful tool for your buyers in both direct and indirect procurement. It makes compiling reports, tenders and negotiations significantly more efficient. If needed, the tools that we use in our projects can also be made available to you for the long term.

Time for multi-channel retail? We reorient your procurement organization.

When observing the change already taking place in the industry, it is clear that multi-channel approaches are continuing to grow. Stationary retail is moving more towards e-commerce, while, in contrast, previously online-only retailers are opening physical stores. The goal is to optimize the buying experience across all channels. To do this, supply and service must be made as suitable and convenient as possible for the customer. We provide the support you need to develop multiple channels or expand your existing multi-channel concepts to full cross-channel retail, working with both online retailers and companies in stationary retail.

The fundamental decision: integrated or separated procurement organization?
We provide you with the necessary basis to decide on either an integrated or separated procurement organization, and examine the division of tasks between procurement and category management with the aim of establishing the new organization as efficiently as possible.

Product range analysis and planning
We offer a practical product range optimization solution for multi-channel providers in our specially developed approach, Category Management 2.0. Optimizing your product range is no longer seen as a separate process, as Category Management 2.0 focuses on your overall corporate strategy. Specific product range analysis and planning not only includes your physical stores; if you have or add other sales channels, the product range must be planned and offered accordingly. We support your product range planning and create the basis for deciding which product groups will be offered online or offline in a physical store.

Implementation
After developing the concept, we work with you to implement it. Our multi-channel retail study shows that IT and marketing costs are often underestimated when establishing a multi-channel system, and there are also high logistics costs involved in shipping and e-commerce. We identify the best, most cost-effective partners and providers for you in IT, digital media, marketing and logistics, and new suppliers in terms of product range procurement, for physical stores, e-commerce and multi-channel options.

 

 

Increase your results decisively – We support you from the negotiation preparation to the complete implementation of the negotiated conditions.

Dr. Frank Wierlemann and Dr. Kiran Mazumdar are at your disposal for any questions regarding procurement and SCM consulting in trade.

Every industry has his own challenge

In more than 4.000 initiatives we have built a large expertise for a variety of industries

Projects

Sevenseas: Development of procurement organization and implementation of new processes

How INVERTO helped the REWE GROUP optimize its procurement of private label brands.

INVERTO Referenz MyMüsli Case Study

mymuesli GmbH: Increasing company value by optimising procurement processes



Current releases of the category Retail

Capex Strudel Kosten Artikel

The CAPEX phenomenon: Achieving goals through active use of procurement competencies.

What our clients say about us


Ole Anton Gulsvik, CEO, Seven Seas

„INVERTO conducted a detailed analysis of our international processes, and by introducing a new strategic approach for our procurement, it achieved substantial efficiency gains.“

Patrick Juhl, Head of Procurement, Seven Seas

„As a result of the central procurement organization implemented by INVERTO, as well as the pooling of demands, we were able to make double-digit percentage savings.“

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Thomas Pfeiffer, Head of Product Development at willhaben.at

„Together with INVERTO, we have achieved a result that we did not think possible at the beginning of the project. The overall package of tender preparation, service provider workshops and rounds of negotiations at top management level has raised our hosting landscape to a new level of price performance. I thoroughly recommend working with INVERTO.“

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Dr. Jürgen Wickl, Managing Director of Styria Media IT

„By preparing a functional specification, we managed to advertise requirements in a tailored way. INVERTO’s orientation towards precise customer requirements and benchmarks as well as professional negotiations has contributed significantly to the success of this project. The close involvement of employees in this structured tender process is an additional bonus, and something which will benefit us in years to come.“

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Siniša Mitrović, mag.oec., Managing director, Styria Tiskara Zagreb

„Due to the flexibility of the team, we managed to receive additional offers from suppliers and hence increase competition between existing suppliers. Through centralization of our former pick-up locations in Croatia and Bosnia-Herzegovina we managed to reduce the operational work for our employees. Furthermore, this centralization led to a huge additional revenue from our waste paper business. The project work with INVERTO was very professional and made this great result possible.“

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Marc Lamure, Director, Montagu Private Equity Associates LLP

„INVERTO has helped D.O.R.C. with the professionalization of the procurement organization and accompanied the supplier negotiations for various products and services. By implementing new processes and working with procurement staff, the achieved savings enhance sustainability and will result in a more profitable organization.“

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Erwan Quemener, Purchasing Director, Chassis Brakes International

„INVERTO helped us in raising undreamed-of sources of savings in both direct material and indirect material areas. They did not only identify these potentials but they supported us in the implementation phase with a great professionalism.“

Nick Gerrard, CFO, MID Essex Hospital Services NHS Trust

„INVERTO’s market and product knowledge have been invaluable in helping the Trust deliver substantial cost savings in a short space of time. They have the ability to talk the clinicians language, optimise the procurement process and deliver a result the trust could not have achieved itself.“

Bart Stubbe, Vice President of Purchasing LINPAC Group

„INVERTO are assisting LINPAC since early 2008 in transitioning from a decentralised to a category purchasing structure, bringing sourcing expertise, skilled resources, technology and methodology to recognise, create and release value to the company.“


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We deliver results.