Red Bull is the global leader in the manufacture and sales of energy drinks. More than 6 billion cans of Red Bull are sold in over 170 countries around the world annually. In 2012 Red Bull sold 5.2 billion cans, which was a 12.8% increase on 2011.
In 2012, the company decided to establish cooperation with Comarch, with the objective of launching comprehensive Comarch Online Distribution and Online Sales Support. The integrated system will provide for the regular reporting of information about warehouse stocks and re-sale to retail clients from Red Bull’s external distributors network. The system covers more than 160 locations (warehouses) and over 50 distributor
Red Bull is constantly striving to optimize its own performance and increase the results of its business partners. In order to support the functioning of the entire sales network and build competitive advantage, it is necessary to have ongoing access to current data on distributors’ warehouse stock and re-sale of products on the retail market. So far, Red Bull has used the original SFA class system, which provided support to sales representatives and allowed for the managing of their work. Re-sale data was based on statements received from representatives, and thus limited to sell-in.
This is where the manufacturer encountered an obstacle, namely finding it impossible to realize all orders placed in the system, due to the lack of availability of some of the selected items in a distributor’s stock. Red Bull has therefore decided to streamline the contact channels with distributors that it has used to date (telephone, fax, and e-mail) so as to have continuous access to current data, which will make it easier to analyze the needs and potential of partners, and respond faster to changes taking place in the market. There is also a need to integrate with distributors’ external systems, in order to make sure that representatives have access to current stock data and to minimize the number of unprocessed orders.
The main advantage of implementing the Comarch Online Distribution and Comarch Online Sales Support System in Red Bull was launching an automatic and regular reporting of market information crucial to Red Bull.
The objective of the project is to obtain access to re-sale data and warehouse stock data for Red Bull products at the distributors’ end. Owing to such information and its integration with the SFA Red Bull System, Red Bull area sales representatives can generate orders without fears that they might not be processed because of being out of stock. Thanks to Comarch Online Sales Support, reporting is automatic and takes place on a daily basis, which is why Red Bull has ongoing, ad-hoc access to current market information. The processes for matching and deduplication of data pertaining to products and contractors used in the project, allow for the elimination of all problems relating to varied nomenclature between Red Bull and its distributors. Direct access to re-sale information provides for the building of complex analyses that illustrate the distribution of Red Bull products in the traditional sales channel. Based on updated reports on distributors’ warehouse stock, Red Bull can effectively manage its logistical, manufacturing processes and warehouse stocks. Re-sale reports also regularly inform the producer about the results of marketing campaigns. Red Bull can see the sales potential of its distributors and therefore define individual target plans for the maximization of sell-out.
Integrating Comarch Online Distribution with the mobile system used by Red Bull means that distributors’ warehouse stock can be shown on mobile devices. Putting the information about the sell-out of products, along with order processing via the mobile network, provides Red Bull with an opportunity to test the level of order processing. Thanks to the endorsed Comarch Online Distribution, sales representatives can be made accountable for actual sales to retail rather than declared orders to distributorss.
Modern platform for communication and data interchange between producers and distributors.
"We have been looking for the tools that will enable us to build a competitive advantage for a while; for the kind of tools which would help us get information that could translate into more effective business for Red Bull and for our business partners. Our choice of an IT solution that guarantees information on re-sale from distributors to retail and current warehouse stock has been preceded by a thorough analysis of our needs, confronted with the technical possibilities the market offers. The solution we have chosen is intended to increase our performance and raise the figures reached by our business partners."
Sales Director, Redbul Spółka z o.o.