ExxonMobil had no clear understanding of the retail downstream ecosystem. Out of the overall independent workshop universe 90% is unorganized, hence, there was no structured data and understanding of the retail and trade ecosystem. Since these workshops were predominantly unorganized, there was no structured terms and conditions of how the supply chain could be managed, therefore, we had to deal into this problem solely on the hypothesis from the principal brand.
There was also no data on independent workshops, form their existence, to volume, to the size segmentation.
Ratification of the above to the determine the way forward. – an interim profiling was commissioned to understand and quantify the above hypothesis. We deployed 25 people to comb 10,000 IWs to get the pulse of the supply chain ecosystem, and that determines the primary data, which translated into our insights.
• The market was geographically fragmented.
• Conventionally, purchases made by distributors, to trade owners, to IWs was very unorganized.
• There was no standard way that could be mapped, that determines value and volume.
• Most of other principle brands drove tactical promos to keep their volumes in place, while there was no structured way of mapping loyalty across the ecosystem – leaving the category at the mercy of independent workshops.
• Mechanics played a vital role in influencing brands to customers.
• Every region, behaved differently to different kind of promos, for example one region would be interested in vouchers, while other regions would be interested in gold coins. None had actually capitalized on this behavior.
• Interestingly, we also found out that there was 96% penetration of smart phones in the ecosystem, which we thought was a silver lining to solve the problem
• While we were combing 10,000 IWs, we identified 256 potential resellers who were not just selling to end customers but also to other IWs.
• Combing also garnered high cross territory buying, which otherwise isn’t an ideal channel / trade downstream scenario.
We created a single platform application interface that connects the outlets with the right upstream distribution point and lets you order your stock through the platform.
We also created a slab based reward system for every outlet buying through the app. The app recognizes the buying and selling trend of each outlet and analyzes required data through dashboards
We set-up an off-line team to touch all registered app users to identify opportunity To grow and sustain our solution we introduced a touch retail app to drive, inventory, Shelf share, Merchandizing, Mechanic trainings and consumer intelligence.