What exactly is “the triple win”
The triple win is the symbiotic relationship between the supplier the retailer and the consumer.
The Supplier – could be the manufacturer or a 3rd party who supplies the product to the retailer.
The Retailer is the place where the consumer buys the product – could be click [on-line] or brick [retail shop]
The Consumer is the person who uses the product.
When there are 3 parties involved in a transaction, there needs to be something in it for all three
to make it work. If there is not a clear benefit to each party the deal will fail.
If there is a benefit between any two, which excludes the third, then there will be resistance from the 3rd.
Fragmented retail base
In some market places, where the retail base is fragmented, there can be a stronger link between the supplier/ manufacturer and the consumer than between the retailer and the consumer.
This is often reinforced by advertising in both social and traditional media. In situations like this, the retailer needs an incentive to stock the products for the consumers. If the incentive isn’t forthcoming them the retailer may refuse to stock the product and indeed may seek alternative products to fulfil the consumers demand.
Mature retail base
In a more mature market with strong national retailers and a better relationship between the Supplier and the Retailer, the retailer may buy a product which makes an excellent margin, BUT ONLY when, they sell it…
If the consumer doesn’t see the need for the product then they will not buy the product. The supplier may well be happy [ they sold in volume to the retailer], but the consumer will refuse to take part in the deal and the retailer will be left with excess stock.
Go it alone retailer
To try and generate footfall to their store a retailer may come up with a fantastic deal for the consumer at the expense of the supplier… in this case the supplier will not get involved. So, the consumer may want the deal but there will not be enough or indeed may not be any stock available to buy.
For any transaction or promotion to work well, there needs to be something in it for all parties, and very clear understanding by all parties.
Good volume for the supplier, good profit for the retailer and a clear need and a good value proposition for the consumer.
The market place continues to move towards the consumer dominance… the internet has enabled the shopper to shop at any time of the day in any country without physical cash needing to be present at point of purchase. It will become increasingly important for sales departments and retailers to ensure they get the triple win right every time.
The triple win
A very simple concept to work to
How do your promotions recognise and reflect the triple win!