Category Archives: Supply Chain Partners

128. Brand Power-Shift To Your Service-Value Solutions

Invasion of Better Clone SKUs for Less

Retail “hard discounters” (HDs: Aldi, Lidl and Trader Joe’s) and Amazon have attacked B2C factory brands in the past 18 months. In 2017, the HDs announced big expansion plans for the US, while Amazon ramped up their B2C private-label-clone SKUs. Then, in October (’18), AMZ quietly announced their “brand accelerator program”. Prediction: this program will spark the creation of new B2B clone products on Amazon.

The Clone Formula: Equal or Better Quality For 50% Less

Continue reading 128. Brand Power-Shift To Your Service-Value Solutions

122. Amazon News; Uberization of Local Deliveries?

“The future is already here — it’s just not very evenly distributed.” – William Gibson

AMAZON’S LAST MILE, LOGISTICS NEWS

    1. (Oct. 10) “The USPS seeks a 12.3% price increase” on the 40% of AMZ’s packages that it delivers. AMZ suggests that the projected $1B cost increase won’t matter in 2019. (?)
    2. (10/17) Hiring “Seasonal Delivery Associates” (for $17.25/hour). Doesn’t this compete with AMZ’s new “Delivery Partners” (6/28)? The Partner start-ups will use the 20K (initially 4.5K) of leased Mercedes Sprinter Vans. Perhaps: a) shipments are growing faster than total delivery capacity. Or, b) AMZ believes it can innovate lower last-mile costs than the USPS, etc.
    3. (11/5/18) Free holiday shipping for all (matches Target’s promotion). AMZ will win any battle of fulfillment-cost attrition because: a) It has best customer clickstream advertising income and b) most efficient warehouse costs.

Continue reading 122. Amazon News; Uberization of Local Deliveries?

120. Your Best Cloud-Commerce and the Mythical Cassandra

THE MYTHICAL CASSANDRA

…Was a beautiful princess of besieged Troy who enchanted Apollo. To win her charms, Apollo gave her the gift to foresee the future. But, when she reneged on romance, he compromised the gift so that no one would believe her predictions. She begged fellow Trojans to not take the Wooden Horse (left behind by the Greeks) into the city’s walls, but to no avail. Continue reading 120. Your Best Cloud-Commerce and the Mythical Cassandra

111. Re-Tune Your Vision, Strategy, Analytics, and Culture

Problem: Most Distributors Can’t Do Needle-Moving Change

B2B Cloud Commerce will be shaking business models in most channels by 2021. But, many distributors can only fine tune their past. Why? Check the fuzz factor on these four vitals: vision; strategy; innovation metrics; and can-do culture.

A Vision That Engages All Employees (and Stakeholder Groups)

What would employees think if you told them that: Continue reading 111. Re-Tune Your Vision, Strategy, Analytics, and Culture

34. A Warehouse Robot Model for Every Distributor?

Have you considered a warehouse robot for your distribution business? This is becoming an increasingly attractive cost-saving solution, especially for high-volume, small-pick areas. Take a look at these two references for breakthrough news:

  1. This Bloomberg article from June 29th talking about a robot arms race in the distribution world
  2. This short video and other informative articles on the Locus Robotics site

Continue reading 34. A Warehouse Robot Model for Every Distributor?

33. Getting to Win-Win: Larger-Order Solutions

Analysis: 62% of Small Order Are Money Losers

Looking for Larger-Order Solutions? Here’s an eye opener. Calculate the average cost of processing an order at your distributorship. (Annual operating expenses divided by all transactions.) Then, skim the daily transaction log for all orders with gross margin dollars less than your average dollar-cost per order.

Don’t panic at the number you see! The average Waypoint Analytics’ client starts out with 62% of all orders being losers. But, don’t comfort yourself by using incremental  cost per order logic. Sixty percent of your orders isn’t “just one more order”; overhead costs must be assigned! Continue reading 33. Getting to Win-Win: Larger-Order Solutions