When it’s time to rebrand, how can you use this to be an opportunity to leverage existing contracts?
Today’s post is by Mark Davis; Vice President of Operations and CTO at SafeSourcing.
Last week there was an article in Progressive Grocer about how Haggen, a 28 store independent grocer in the state of Washington, was leading a rebranding effort in their stores to focus on the concepts of homemade products and community. Decisions like these are always major changes for a company and ones that are not made lightly, and there are many things to consider in the planning of these moves.
Over the next two days we will be taking a look at the sourcing points to consider while rebranding is being planned and the types of categories that need immediate focus after the process is set in motion.
Marketing-Procurement Planning – With re-branding changes being driven primarily by marketing departments it is important that a collaborative meeting with procurement happen early so that the scope of the re-branding can be discussed and timelines shared for the different stages in the process. Armed with the scope of what the re-branding will change and the timeline within which it is to happen, proactive steps can begin so that the procurement team is ready to source the products needed to handle the change.
Categories Affected – One major piece that the procurement team will determine early in the scope discussion will be to detail all of the categories that will be affected by the re-branding. This will be a topic covered in more detail in tomorrow’s blog and at a high level will include major categories such as uniform related items, external marketing items, construction related items and transportation related to name just a few.
Matching Categories with Contracts – As mentioned above, the scope and timeline are critical pieces of information for the procurement team to know because with that information and the category research above contracts can begin to be examined to determine which categories have contracts that can be leveraged against the re-branding. There is significant spend associated with re-branding efforts and it should be used when examining contracts for items that will be affected and that expire within the timeline milestones.
Communication – Understanding how the re-branding effort will be communicated within the timeline is a final piece of information that will be needed by the procurement team so that they know what and much of the re-branding can be communicated when doing their job. Often the re-branding effort comes with other organizational changes that need to be kept confidential so understanding how the organization plans to communicate the re-branding is important.
In tomorrow’s blog we will discuss more about the categories affected by a re-branding effort. For more information on preparing your sourcing projects related to a re-branding effort, please contact a SafeSourcing Customer Service Representative.
We look forward to your comments.