F&p case studiesDevelopment of an optimal distribution structure in Latin America
HQ in São Paulo, Brazil; JV in Cartagena, Colombia; sales agents & distributors in all relevant markets
Expert: Kai-Uwe Steen
F&P Case studiesTask
- Establishment of a regional & local network for optimal start-up preparation and implementation
- HQ set-up “from scratch”, i.e. foundation, staffing, offices, taxes, networking IT & finance, etc.
- Acquisition, support and expansion of key accounts
- Cooperations to cover smaller markets
Sector/ function/ environment/ expert
- Industrial and medical precursors
- General Manager Latin America & Caribbean
- Global market leader in primary products for tire production / rubber
- Kai-Uwe Steen
Project description
- Analysis of sales structures in the individual national markets in Latin America, preliminary discussions with key accounts, trade fair visits, trade and import statistics
- Planning your own optimal distribution set-up per market (country, country groups)
- Establishment of a network of local consultants, lawyers, tax experts, banks, sales agents, distributors, etc.
- Creation of a business plan with all aspects of foundation, office, staffing, digitization / networking with headquarters, sales strategy, market development, local warehousing, local production, financial planning, taxes, timings, etc.
=> Presentation, coordination with company management / board
=> local implementation - Acquisition and development of key accounts, global coordination between the respective international group headquarters and Latin American subsidiaries
- Transfer of responsibilities to local employees and cooperation partners
Result
- Development of a complete sales / marketing structure in Latin America
- Development and management of the local team for the independent further development of the business
- Achieving market leadership in Colombia => setting up a local joint venture to secure and further develop the market position
- Regional warehousing and local production
- Cooperation with one of the large, globally leading oil companies for distribution coverage in the smaller markets of Central America and the Caribbean
- Classic win-win: The mineral oil company had distribution points and fixed costs and was able to reduce these costs through additional sales, in return for achieving its own nationwide distribution
- Increase in EBIT by a factor of 5