Channel Portfolio Management
– Efficient management of sales channels –
Tool
Munich, August 1999
Roland Berger & Partner GmbH – International Management Consultants
Barcelona – Beijing – Berlin – Brussels – Bucharest – Budapest – Buenos Aires – Delhi – Detroit – Düsseldorf – Frankfurt – Hamburg – Kiev – Kuala Lumpur – Lisbon
London – Madrid – Milan – Moscow – Munich – New York – Paris – Prague – Riga – Rome – São Paulo – Shanghai – Stuttgart – Tokyo – Vienna – Zurich
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Contents Page
A. Status quo in sales channel management 3
B. Overview of channel portfolio management 10
1. Channel selection 11
2. Channel concepts 28
3. Channel management 42
C. Organizational consequences of channel portfolio management 60
This document was created for the exclusive use of our clients. It is not complete unless supported by the underlying detailed analyses and oral presentation. It must not be passed on to third parties except with the explicit prior consent of Roland Berger & Partners.
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A. Status quo in sales channel management
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Quotes from practical experience show a certain unprofessionality when it comes to the management of sales channels – great efficiency potential exists
"Only few firms have a real system of sales channel management"
"In our company, only the Head of Sales does anything about sales channel management – if at all"
"In marketing, we concentrate too much on minor regional differences, there is no systematic differentiation according to sales channel"
"The increasing specific requirements of the channels are only met by a small number of companies"
"The bottom line benefit of alternative sales channels is hard to see"
Source: Interviews on the market
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Fundamental changes on the market mean that efficiency and 'muscle' in sales has to be raised in parallel
Fundamental market changes
Making sales more efficient
and powerful
Increasing concentration in the competitive landscape, increasing competition
Companies are differentiating them-
selves less via products and more through their organization
Besides the product business, systems business is becoming increasingly significant
Customers are less loyal to brands, more ready to argue on price
DP/logistics systems for sales support are becoming increasingly sophisticated
Technology-driven changes in the market – transparency, speed, know-how management
Individual markets are being deregulated, such as telecoms and automotive
Companies are concentrating more on their main sales agents
Purchasing is becoming more professional and international
Source: Roland Berger & Partners
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The efficiency and power of sales can be raised via four methods in any industry – complexity increases from one case to the next
Source: Roland Berger & Partners
Key issues in sales
"Internally streamlined"
"Optimized in value-added partnerships"
"Externally differentiated"
"Innovative sales forms"
I
III
II
IV
Centralizing "non-critical" administrative functions
Cutting down on decentralized infrastructure
Eliminating regional management structures
Optimizing business processes, . offer/order processing, pricing
Developing/extending sophisticated computer systems in Sales
Europeanizing handling functions
Initiating partnering concepts tailored to the individual client
Introducing performance-oriented terms systems
Optimizing the parts of the value chain shared with retail (Efficient Consumer Response - ECR)
Setting up multifunctional sales teams
Launching category management for the optimization of the product range
etc.
Structuring sales organization according to sales channels/ target groups
Creating channel-specific offer and marketing concepts
Systematic verticalization and reorganization of the regions
Strengthening international key account management
Introducing differentiated payment, terms, and pricing systems
etc.
Multimedia sales support via CD-ROM, info terminals, etc.
Establishing alternative sales channels
E-commerce
Direct sales
Affinity partnerships
Instituting cooperative deals with partners in other industries to tap new channels
etc.
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Increasing complexity in sales requires the systematic management of sales channels
Strategic challenges of sales channels
Source: Roland Berger & Partners
Complexity in sales
Time
Increasing require-
ments by retail
Limited room for new
sales channels
Increasing danger
of channel conflicts
Convergence of industries
Increasing retail power
Saturation of traditional channels
Multi-channel
sales a must in many industries
Change in shopping behavior
Optimum selection of strategic sales channels with high profitability
Convincing sales channel concepts which meet the specific requirements of the individual channels
Coordination of the different channel concepts/sales channel management
Adjustment of sales organization/structural orientation to sales channels
1
2
3
4
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Channel portfolio management is based on the three tiers of selection, concept development and control of future-oriented sales channels
Source: Roland Berger & Partners
Sales organization
Channel portfolio management
Channel concepts
Channel control
Channel
selection
Outline
Overview of channel portfolio management
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Sales channel management is a highly interesting concept for many industries – it is important to distinguish between two fields of activity
Two fields of activity
Main sales
Sales environment
Dynamic
Stable
Via several channels
Via
few channels
Chemicals
Steel
Media
Textile
Music
Food
CE
White goods
IT
Office
comm.
TC
Health care
Pharma
Automotive
MEP
Airlines
Financial
services
Development of specific channel concepts
Coordination of channels used to avoid channel conflicts
Optimization of results via controlling and optimum weighting of channels
Organizational mapping of channel management
Selection of new channels that go beyond traditional exclusive sales and have great strategic importance
Delimit "new" versus existing channels
Channel portfolio management less significant
Energy
Machinery
1
2
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B. Overview of channel portfolio management
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Channel selection
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Changes in the industry environment represent the main driving force behind the search for alternative sales channels
Retail as a "gatekeeper" to the customer
Hostility toward strong supplier-customer relations
Lack of product competence
New rules of the game between retail and suppliers
Ever shorter development cycles
Differentiation by product alone is becoming more and more difficult
Competitors are occupying new sales channels (image advantages)
Need to achieve differentiation from the competition
Driving forces behind alternative sales channels
Search for new
sales channels
Store opening times
Contracts for online sales, etc. (return privileges)
Unblocking of sales channels for certain product categories (pharmacies, etc.)
Liberalization of surrounding legal framework
Declining costs of communication
Growing acceptance of online media
Digital compression
Standardization
etc.
Technological advances
The smart shopper trend
"Schizophrenic" consumers
Individualism
New work
Stagnation of real incomes
Changes in consumer behavior
Source: Roland Berger & Partners
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Four main qualitative objectives have to be achieved by new sales channels in order to improve results
Main objectives of alternative sales channels
II
III
IV
Gaining differentiation from the competition
I
Improving the quality of marketing
Stronger influence on buying behavior
Increasing independence from retail
Participating in the growth of innovative sales forms
Differentiation from the competition
R
t
Result improvement
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Music sales of tomorrow: Growth through large store formats and new sales channels only
Source: ., Roland Berger & Partners
1) Incl. branch stores, shopping centers 2) Incl. customer clubs
Traditional sales channels in Germany
New sales channels
Record companies
Consumers
Large store formats
Megastores
Department stores
Electrical stores
Retail1)
Mail order2)
Other
The search for new customer groups leads to the growth of non-traditional channels, .:
Internet sales
Multimedia kiosk systems
Gas stations
Food stores
DIY stores
Cinemas (for soundtracks)
Fast food chains
Newsagents/kiosks
Branded product producers (textiles, cosmetics,…)
etc.
Share of sales 1997:
39%
39%
16%
6%
Example: Record companies
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The market potential of today's non-buyers is considerable – they must be mobilized via non-traditional sales channels
Source: ., W & V, Roland Berger & Partners
Sales potential of new target groups
German population in 1997
Motivation to buy can be generated among:
m
DM bn
Buyers
Non-buyers
m
Mobilization primarily via non-traditional sales channels
In establishing new channels ( cost of complexity!) it is imperative that new target groups are reached; only this can bring an improvement in the results situation
Stabilization/expan-sion of sales via traditional sales channels
Large store formats
Retail
etc.
Buyers of music carriers
Non-buyers of music carriers
Sales channels
Sales channels
Sales of music carriers in 1997:
Example: Record companies
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New opportunities presented by direct sales threaten travel agencies' existence while offering operators new possibilities
Example: Tourism trade
Advantages
Providers of tourism services
Travel brokers
Tour guides
Transfers
Car rental
Accom- modation
Service providers
Flight
Travel operators
Travel agencies
Accom- modation
Service providers
Flight
Source: Roland Berger & Partners
Ticket machines in public places
Online
info services
Interactive
TV
Holiday- makers
Holiday- makers
Computer-based information and reservation system
Faster and more efficient reaction to market demands:
Response to changing customer demands is faster and more individual (customized product presentation)
Lower costs (transaction costs)
New room to maneuver (new customer groups)
Site advantages become insignificant
Conventional
Future
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There is an increasing trend toward independent marketing in numerous industries – selecting the most suitable sales channel is crucial to success
Examples
Most common in practice
Possible in practice
1) Via an external operator
Sales form
Market/area coverage
Supplier-owned
Franchise
Independent
suppliers/
cooperation
Ownership
Flagship
stores
Exclusive stores
Center stores
Online/
telesales
Mail order
Selected locations
Regional/indivi-dual locations
Nationwide/ branches
Regional/indivi-dual locations
Nationwide/ branches
Ubiquitous
Specific target groups
Nike1)
Sony1)
Levi's
Rosenthal
Villeroy & Boch
Rosenthal
Villeroy & Boch
Electrolux
Telekom
WMF
Michelin (F)
Levi's
Telekom
Samsung
Land's End
Sony
Dell HP
Land's End
Telekom
Ariston
Levi's
Electrolux
Street One
Esprit
Benetton
McDonalds
Goodyear
Sony Center
Miele
Bulthaup
Sony Center
(UK)
B & O
Telekom
Sony
Nike
Sony
Goodyear
Rosenthal
Bosch EW
Levi's
Classic mail order
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Channel selection aims at evaluating feasible new channels and developing a preliminary transfer concept
Source: Roland Berger & Partners
Channel selection/preliminary concept
Categorization of sales channels
Filtering process
Benchmarking of potential channels
Sales channel evaluation
Transfer concept
~ 100
Channels
1
2
3
…
n
Criteria
a
b
c
…
n
Service station shops
Fast food chains
Car rental agencies
Video stores
etc.
Presentation of most important channel characteristics
Presentation of most important players in each channel
Channels
1
2
…
Invest.
Sales
Chan. cost
Setup cost
etc.
Shortlist (5–10 innovative channels
Reduction of complexity
. criteria
Preliminary cost estimation
Suitable for Telecoms industry?
Benchmarking
Trends in the channel
Success factors
Identification of suitable channels for each segment
Decision on channel selection
Application of innovative ideas to specific situation of supplier
Creative workshop for utilization of creative ideas within own organization
Preliminary concept development for innovative channels
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An appropriate industry-specific systematization of potential sales channels is the starting point for the channel search
Examples of sales channel systematization
Outline
Segmenting German sales channels
Industry-relevant sales channels
Source: Roland Berger & Partners
List of today's "must" channels (A channels)
List of non-traditional channels (B channels)
Shops/shop-in-shop
Distributors
Retail
CE stores
Department stores
etc.
Service station shops
Banks
Car rental agencies
etc.
Sales channels
Direct
Indirect
Retail
Other channels
Multipliers
Stationary
I
Mobile
II
Media
III
Wholesale
IV
Mail order
V
Mass sales channels
VI
Retail
VII
Hotels and restaurants
VIII
Direct sales
IX
Complementary partner
X
Carrier
XI
Reseller
XII
Service providers
XIII
Other providers
XIV
Commission-based
XV
Non-commission based
XVI
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The filtering process serves to select the sales channels that will be relevant for the supplier in the future from the range of all possible channel options
The filtering process
Source: Roland Berger & Partners
All possible channel options
Criteria
Criteria
Future channel relevance for the industry
Exclusivity
Suitability of target group
Relevance for buying behavior
Image fit
Increasing independence from retail
Degree of saturation
Legal framework
Suitability of product range
Participating in the growth of innovative sales channels
Channels suited to the future
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Principally the channels that indicate a high degree of future relevance for the industry need to be examined in more detail for the selection of sales channels
Current/future industry relevance of the channels
Example:
Telecommunications
Source: Roland Berger & Partners
High
Medium
Low
None
High
Medium
Low
None
Industry- relevance of the channel today
Future industry relevance of the channel
Opticians, hairdressers, pharmacies, food retail at < 400 m2, textiles, etc.
Music stores, furniture shops, insurance companies, bookstores, railway stations/airports, etc.
Vendor sales, toy stores, direct banks, gas stations, etc.
Courier, express, and package delivery services, etc.
Shopping malls, car dealers, duty free shops, office supplies, travel agencies, etc.
DIY stores, banks, video stores, non-profit organi-zations, city carriers
Telesales, online sales, shop-in-shop franchises, resellers, affinity partners, convenience stores
Photo stores, computer stores, IT consultants, TC installation experts, C&C, mail order
Cooperative retail stores
Department stores, shops, CE superstores, field force
Focus of investigation
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If a decision is made in favor of using a dealer channel, the appropriate selection criteria for this avenue must be employed
Selection of suitable dealer
Criteria for initial dealer evaluation
Additional need for constant monitoring
Professional service offer
Installation and testing service
After-sales service
Number of field force staff
Quality level of the rest of the product range/ strategic fit
Provision of a consumables range
Sales volume
Expected dealer's margin
Showroom
Own storage facilities
Number of outlets
Number of active customers
Creditworthiness
Quality of marketing (presence at local trade fairs, advertising in the local media, etc.)
The right presentation of the product range
Use of the training offered
Technical training
Field force training
Source: Roland Berger & Partners
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For potentially interesting sales channels, sound comparative figures, processes, and critical success factors are gathered in benchmark interviews
Hard and soft benchmarks
Source: Roland Berger & Partners
Sales structure
Costs and other "hard" factors
Sales processes
Critical success
factors
Sales organization
Number of employees
Centralized functions
Decentralized functions
Sales territory
No. of outlets
Size of territory
Population
Costs
Personnel/commission
Marketing
Customer service
Materials
Logistics/storage
Administration
Sales
Average prices
No. of articles sold
Other
No. of customer visits
Hit rate
Length of visit
Customer segments
No. of articles/variants
Sales processes
Process steps
Duration of core processes
Interfaces
Time schedule for market launch of new products
Start-up process
Investments
Necessary systems
Duration of concept development phase
Duration of roll-out
Time until break-even point
Product-related success factors
Organization-related success factors
Process-related success factors
Support-related success factors
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The channels are first evaluated according to transferability, financial implications, and market consequences
Evaluating innovative sales channels
Example:
Telecommunications
Source: Roland Berger & Partners
1) Estimation, incl. advertising, HR, depreciation, logistics
Telesales
Online sales
Structural sales
Shop/ shop-in-shop
Multimedia
kiosks
Criteria
Channel
Distribution costs/sales 1)
Time required for implementation
Time to break-even
Customer potential (midterm)
Differentiation potential
Suitability for customer ind.
Risk (channel conflict)
Evaluation
~17%
~4 months
~8 months
200,000
Low
High
Low
High priority
~10%
~3 months
~18 months
10,000–20,000
High
High
Medium
High priority
~40%
~12 months
3–5 years
10,000–20,000
High
Medium
High
Medium priority
30–35% ~6 months
.
120,000
Low
High
Low
High priority
10–12%
6–8 months
.
<10,000
High
High
Medium
Medium priority
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Besides the financial consequences, the strategic results of introducing supplementary sales channels also need to be examined
Evaluation of the merits of a dealer channel
Advantages
Using the dealers' existing customer base/ access to small local customers
Possibility of pooling products
Using the dealers' image as a "neutral middleman" for the end customer
Increased local presence/visibility
Wide-scale network of showrooms and demo products
Example:
Print machinery
Source: Roland Berger & Partners
Disadvantages
Risk of cannibalization among different sales channels/risk of channel conflict
Limited opportunity for direct steering and controlling
Risk to image if dealer performance is poor
High time required and cost of providing dealer support and high marketing expenses (dealer promotion rebate, etc.)
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The benchmark figures and success factors identified need to be adapted to the specific situation in the company concerned
…
Transfer concept
Source: Roland Berger & Partners
Outline
Benchmarks
Transfer
Channel concept
Quantitative and qualita-tive description of existing sales channels in other industries
Sales structure
Costs
Sales processes
Critical success factors
Adaptation of benchmarks to the specific situation at the company
Organizational integration of new channels into the existing company organization
Adaptation/integration of the necessary sales/logistics processes
Transfer of the critical success factors
Development of a conflict strategy for potential channel conflicts
Investment needs
Startup costs
Forecasts of operating costs/sales volumes
Launch strategy (training, info material, market image, etc. )
Channel concept for all sales channels concerned
Online Sales
Gas stations
Mail order
Online sales
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Introducing a new sales channel is often very expensive and time-intensive
Organizational process for a dealer channel
5-7
months
1-2
2-3
2
Ongoing
1. Compiling a dealer concept: Definition of product range,
country selection, dealer programs, use of resources, etc.
2. Selection of dealers: Market screening, long list, selection interviews
3. Drawing up an offer: Contract negotiations, joint business plans
4. Further qualifying the dealers through product and service coaching
5. Roll-out
Estimated setup costs:
1 channel manager: DM 135,000-185,0001)
Project team comprising 5 marketing specialists, technicians and trainers2): DM 210,000-290,000 Total: DM 345,000- 475,000
1) Estimated personnel costs . : DM 320,000 incl. wage incidental costs
2) Estimated personnel costs . : DM 200,000 incl. wage incidental costs
Source: Roland Berger & Partners
Example:
Print machinery
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Channel concepts
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The varying requirements of the sales channel selected demand specific channel concepts
Sales channels selected from the channel definition list could include distributors, dealers, mass merchants, CE superstores, and innovative channels like gas stations or cash & carry outlets
Across the entire breadth of these channels, different store formats are forced to attain differentiation – which means that they demand more support from suppliers
Consequently, varying demands on the part of channel groups concerning supplier support for the sales process can be perceived
Increasing professionalism in retail demands new, additional forms and instruments of support
Channel-specific support concepts are becoming necessary to meet the needs of the respective sales channels and to match the level of professionalism
Source: Roland Berger & Partners
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Companies often have a large number of sales channels to deal with: each channel requires a specific approach
Example:
Telecommunications
Source: Roland Berger & Partners
Groups of sales channels concerned
Outlets
Distributors
Specialists
CE superstores
Mass merchants, department stores
Innovative channels
TC installation experts
Systems integrators
City carriers
Distributors
Field force mgt./KAM
Shops
Office & com-puter stores
Branch operations
Shopping centers, dept. stores
Mail order/ catalogue houses
Shop-in-shop
Electronic specialty stores
Independent dealers
Cash&carry outlets
New electronic channels
Telecom specialists
Cooperative dealers
Grocery stores
etc.
Photo
Department stores
Consumer channels
B2B channels
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Companies often face the challenge of having to manage a great variety of sales channels: each channel requires special management
Source: Market interviews, Roland Berger & Partners
1) Cooperatives and non-cooperatives 2) Superstores, multiples, large-scale independent dealers, cooperative large-scale stores
Characterization of selected channels
Example: CE
Broad/deep range
Limited advice
Normally aggressive pricing
ECR implementation approaches
Central./decentralized purchasing
Focus on turnover
Standard CE seg-ment (broad)
Margin-oriented, stable prices
Service-oriented
Specific logistics requirements
Narrow range
Margin as in dealer business
Some aggressive pricing (with lower frequency)
See themselves as specialist dealers
Limited CE range
No advice
Large share of no-name products
ECR
High degree of customer loyalty
High degree of advice offered
High degree of services offered
High customer frequency
Product compe-tence (FF/OBS)
Regional competence
Promotions/events
Merchandising
Suppliers provide customer service
Product specialists as contacts
Pricing
Suppliers provide customer service
Some merchandising
Ability to deliver
Merchandising/FF in the outlets
Suppliers provide customer service
Some high quality of advice
Contact responsible for several assortments
Channel-specific assortments
Displays/secondary placement
Suppliers provide customer service
Channel-specific product ranges
Customer service/ service competence of field force (FF)
Pricing
Training of sales staff
CE specialist retail1)
CE large-scale stores2)
Mail order companies
Department stores
Large-scale markets (Hyper/C&C)
KAM + FF
KAM (outlet merchand.)
KAM + FF + merchand.
KAM + merchandisers
Support approaches
Success factors
of sales support
Key characteristics
1
2
3
4
5
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The channel concepts are designed to address customers via
differentiated approaches that meet their individual requirements
Channel concept development process
II
III
IV
I
Determination of the
channel's customer-specific
requirements structure
Market survey of
channel requirements
Definition of strategic thrust
for all channels
Detailed channel concepts
Questionnaire
Channel-specific
positioning
Prioritized
requirements catalog
1. Advice
2. POS support
3. Logistics
4. etc.
Chan. 1
–
–
–
1
5
Channel 1
Strategy …
Assortment …
Prices/terms …
… …
HAP
Value of offer
+
-
Concept
Requirements catalog must include industry-specific success criteria
Support of internally developed theses via follow-up interviews
Expert interviews in the market
Detailed channel profile as main result
Definition of channel-specific objectives and strategies
Definition and key activities for individual channels
Detailed description of all channel activities and budgets
Source: Roland Berger & Partners
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The starting point for the channel concept is the development of a requirements structure for all channels
Channel demands
Source: Roland Berger & Partners
Outline
Price and terms system
Price positioning, graduated discount scales, dealer promotion rebate
Advisory competence
Training concepts (after-sales service, sales rep training, etc.)
Marketing/ communication
Sales promotion (PoS material), merchandising, mailings, coop campaigns, displays, PoS campaigns, advance sales
Support at the PoS/
merchandising
Intensity of support, depending on importance of customer/category: key account management, field force, telesales; partnering models (exclusivity, customizing, integration into product development, etc.)
Goods supply/ logistics
Optimized logistical chain, centralized or decentralized delivery concepts as required, electronic data transfer (EDI), ECR approaches (. electronic order processing for hardware)
Service concepts
After-sales concepts, disposal concepts (for hardware)
Portfolio management
Design of product range (depth, breadth, life-cycle management), accessories
Outlets
TC specialists, dealers
Distributors
Large outlets/ retail chain
Mass merchandiser
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Interviews on the markets document extreme heterogeneity among different sales channels – requirements differ greatly
Requirements profiles for sales channels
Source: Interviews on the market
1 = Low, limited significance; 5 = High, great significance
Example:
Telecommunications
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
Criteria
Outlets
TC specialists, dealers
Distributors
Large outlets/ retail chain
Mass merchandisers
Price and terms system
Advisory competence
Marketing, communication
Coordinated marketing strategies
Support at the PoS/merchandising
Degree of professionalism:
Logistics/warehousing
IT links/EDI/ECR
Service concepts
Coop advertising
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A differentiated approach has to be taken in analyzing the require-ments of each channel: up to four decision-makers can be concerned
Contact in the different sales channels
Source: Roland Berger & Partners
Example
Channel level
Group
Retail chain
Outlet
Department
CE superstores
Cooperative dealerships
Metro
MediaMarkt
Munich I
Consumer electronics
Expert
–
Waldecker,
Bielefeld
Car radios
Department stores
Source
Hertie
Hertie,
Hamburg
Music
Contacts
Staff in Strategic Purchasing
Buyer (purchasing staff)
Branch Manager
Head of Dept.
Central- ized
Decen- tralized
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The supplier can use its strategic focus to position itself vis-à-vis its sales channels
Channel-specific positioning
The supplier must decide on the value of the products it offers to its sales channels
Exclusive products/product lines
Advice/training for reps and technicians
Sales promotion
etc.
The prices set should generally correspond to the value of the offer
Deviations are a sign of strategic investments
Outline
High
Low
Low
High
Value of offer
Retail prices
Mail order
Dealerships
Department stores
Gas stations
Cash & carry
Distributors
CE superstores
= Sales volume
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The specific sales channel concepts are tailored to the needs of the respective sales channels (1)
Toward mass merchants
Example: CE
Source: Roland Berger & Partners
Product range: Management of range/pricing, strategic segments, exclusive models for entry-level price ranges
Information: Sales round info, dealer presentation, dealer database, ads in trade journals, targeted employment of market research, info leaflet entitled "New CE", end user catalog, price lists
Relationship management: Motivation event/product presentations, industry/media meeting, dealer support/ "sport incentive", strategy meeting
Training (selective): Training for key players among sales staff (technical/commercial), business TV
Promotion/events: Tailor-made promotions: two each for Allkauf and Real, outdoor events
POS: Promotion deco, standard POS medium, secondary placing
Field force support/merchandising (selective): Merchandiser deployment for display activities, test deploymt. of merchand. team
Logistics/administration: Conceptual talks on logistics – ECR (Metro), service level (deadlines), minimum order quantities
Targets and strategic orientation 1997
Key activities in channel handling
Stabilizing the channel share at 28%
Sales target: DM 432 m
Overproportional growth of
Real/Allkauf
Metro C & C
Generating additional potential
Improved management of the product range
Achieving competence leadership for the "new CE" market
Improving the distribution and placing situation at the POS
Selective support for field force
New sales opportunities (merchandisers)
Working out recommendations for product range
Competence offensive in centralized support
Cooperative marketing
Dialog, discussion, topics of future relevance
Active information policy to the function owners
More intensive use of internal synergies
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The specific sales channel concepts are tailored to the needs of the respective sales channels (2)
Toward affinity partnerships
Example: TC
Source: Roland Berger & Partners
Product range: Clear and simple special prices, offering exclusive hardware (cell phones)?, special rates for calls between mobile phones and company networks/private IDSN and company network, concessions to retail?
Information: Employee magazine, customer newspaper, info on the pinboard, info and sales stand in canteens/entrance foyer, company brochure
Relationship management: Consideration of the interests of the workers council
Training: own sales staff must be given training (for the duration of special campaigns)
Promotion/events: Standard deco for sales stands, info posters on the pinboard
Logistics/order processing: Logistics through own sales stand or through dealer partner (to whom the entire service business is transferred)
Targets and strategic orientation 1997
Key activities in channel handling
Using the multiplication potential of own large customers
Selling own products to staff and customers of major key accounts
Raising customer loyalty among present key accounts
Creating a positive image through cooperation with well-known affinity partners
Tapping new customer potential
Avoiding conflicts with retail
MUC-0040-00001-01-16a
The channel concept development process is complemented by a detailed program for individual channels or customer groups (1)
HP reseller program in Germany (1)
Example
Qualification
Program
Segment-specific reseller program
HP extranet
Monthly newsletter
Flyers, brochures
Training
Special terms for demo equipment
Financial, performance-based marketing support
Small, local customers
>DM 100,000 HP sales
Participation in basic training
Certification
Connect reseller
HP reseller segmentation
1
2
4
Connect corporate reseller
Connect business reseller
3
Connect reseller
Connect value- added reseller
Source: Roland Berger & Partners
Medium-sized customers
Own field force
Technical services offered
>DM 1 million sales with HP hardware
Utilization of HP training/certification
Approval of business plans by HP
Leasing program
Referring customers to retail partners
Participation in HP online sales
HP account management
Connect business reseller
2
1
MUC-0040-00001-01-16a
The channel concept development process is complemented by a detailed program for individual channels or customer groups (2)
Example
3
Systems business
> DM 500,000 sales with UNIX, NT or MPE systems
Joint business planning
Certification
Qualification
Participation in the extended "electronic sales" program
Program
Segment-specific reseller program
Large customers
Systems business
Offering advice, design, implementation, service and support
>DM 20 m sales with HP products
Joint business planning
Monthly statistics on logistics
Connect value added reseller
Extensive joint marketing programs and financing for dealer marketing
1+1 growth program
Connect corporate reseller
HP reseller segmentation
1
2
4
Connect corporate reseller
Connect business reseller
3
Connect reseller
Connect value added reseller
HP reseller program in Germany (2)
Source: Roland Berger & Partners
4
MUC-0040-00001-01-16a
Besides channel-specific success factors, issues affecting all channels are identified and integrated into the concepts
Issues affecting all channels
Source: Roland Berger & Partners
Outline
Customer acquisition
Customer handling
Customer retention
"Alone" vs. through/with partner
Direct
sales
Indirect
sales
Strong brand profile
Novelty requires pull
Intensive pre-marketing
Mailing campaigns
Classic media
New media
Communication of total customer service
Convenience sales (home delivery)
Comprehensive product competence
24-h availability
Extended guaranty
Development/administration of customer database database facilitates
Tailored customer approach
Customized offers
Customer/market research
Higher hit rates
Trend toward testing/imple-menting direct sales channels
Development of supplementary services
Development of lasting customer relationships
Customer clubs
Round-the-clock availability through call center
Customer cards
"Preferred customer" status
etc.
MUC-0040-00001-01-16a
Channel management
MUC-0040-00001-01-16a
The high degree of interdependency between the individual sales channels requires comprehensive channel management
Source: Roland Berger & Partners
Supplier
Outlets
CE super-stores
Telesales
…
SME
SoHo
Private consu-mers
Key accounts
…
The large number of channels renders control more difficult (high degree of channel complexity)
Risk of non-transparency and promoting unprofitable channels
Channels sometimes compete with each other for the same customer segments
Channel conflicts jeopardize efficiency of market management
No optimum overall control and manage-ment in terms of cost and revenue
Management information system must be extended to include a professional channel management module
MUC-0040-00001-01-16a
The long-term relationships with the sales partners are encumbered by the establishment of new distribution channels
Overview of possible distribution conflicts
– = No conflict, = Conflict, = High conflict potential
Example:
Telecommunications
Source: Roland Berger & Partners
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
Online (direct sales)
–
–
é
ë
–
–
–
é
é
é
–
–
2
Department stores
ë
ë
–
ë
ë
–
é
é
ë
–
é
3
DIY
ë
ë
–
–
–
–
ë
ë
ë
–
–
4
Retail
é
ë
ë
–
–
–
–
ë
ë
ë
–
ë
5
Mail order
ë
–
–
–
–
–
–
é
é
é
ë
ë
6
C&C
–
ë
–
–
–
–
–
ë
é
ë
–
ë
7
Shops
–
ë
–
–
–
–
–
ë
é
ë
–
é
8
Shop-in-shop
–
–
–
–
–
–
–
ë
é
ë
–
é
9
PC superstores
é
é
–
ë
é
ë
ë
ë
é
ë
ë
é
10
CE superstores
é
é
–
é
é
é
é
é
é
é
ë
é
11
Photo superstores
é
ë
–
ë
é
ë
ë
ë
ë
é
ë
é
12
Telesales
–
–
–
–
ë
–
–
–
ë
ë
ë
é
13
Resellers
–
14
Structural sales
–
ë
–
ë
ë
ë
é
é
é
é
é
–
–
15
Service providers
Depending on strategy
Depending on strategy
Depending on strategy
Depending on strategy
–
–
MUC-0040-00001-01-16a
Only suppliers with dominant or weak retail market position have a low sales risk from channel conflicts caused by direct sales
I
II
III
Sales risk in retail in the case of independent sales in relation to the market position
High
Low
Risk of sales loss
in retail in the case of
independent sales
Low
Medium
High
Market position in retail/competitive position
I
II
III
Characteristics
Low market profile
Market entry
Strong competitors
Independent sales as an opportunity for market entry
High competition for shelf position
Large selection of substitute products
High risk in retail
Market leader, top competitive position = "must brand"
Low risk in retail, independent sales possible
Source: Roland Berger & Partners
MUC-0040-00001-01-16a
If channel conflicts threaten, they must be addressed proactively by the manufacturer – . through introducing a second brand
Evaluation of measures to manage channel conflicts
Coordinated pricing, . coordinated and agreed price ranges for the specific channels
Channel management under supervision of SSU
Tip provisioning of SSU sales rep and/or dealer, . dealer sells HD product in specific region – the responsible sales rep receives tip as compensation
Specific channel concepts, . individual dealer programs
Measures to manage channel conflicts
Chances of success
Second brand, . HD for direct sales and second brand for indirect sales
Channel management under supervision of BU
Source: Roland Berger & Partners
MUC-0040-00001-01-16a
An escalation can often be avoided by integrating retail at an early stage
Conflict solution approaches in terms of online sales vs. retail
Example
Situation
Problem
Solution
E-commerce/online sales
Interregional
Home delivery
Customized communication
Individual packaging
Availability of all products/ services
Dealerships
Regional focus
Differentiation via customer service
Additional business via technical service
Ordering and delivery
by manufacturer
Delisting by dealers
Authorized dealers
Identical target customers as dealers, therefore dealers lose sales/customers
Dealer reaction
Product delisting
Cannibalization thanks to inconsistent pricing policy
Balancing losses
Cooperative integration of dealers
Differentiation of product programs (own brand name or extra feature)
Dedicated products for online channel, if necessary (exclusivity)
Unique position prevents comparison with competitor products
Push higher prices, if necessary
MUC-0040-00001-01-16a
In the USA, Sony is already offering the possibility to order products online and with the supplier direct, Sharp provides dealer links
Source: Roland Berger & Partners research
Online image of consumer electronics suppliers
Company
presentation
Product
presentation
Ordering info material
Ordering spare parts - direct
Ordering pro- ducts - direct
Dealer catalog
Links to online
dealers
Information
Order possibilities - direct
Dealer/order integration - indirect
Consumer
electronics suppliers
Sony
Panasonic
Grundig
Sharp
USA
Link to dealer homepage
Backup
MUC-0040-00001-01-16a
Michelin is building up its own chain of tire dealerships in Europe – "Euromaster" with a multi-brand concept
Example: Tire manufacturers
Sales channel characteristics/ structure
A chain of dealership under the name of "Euromaster"
No open admission of the Michelin connection
Euromaster functions as a profit center in its own company like a Michelin customer, but with preferential terms
400 branches in France, 90 in Germany (not critical size), branches in Spain
Product range contains all major brands, but Michelin brands are promoted
Reasons
Evolutionary development via the takeover of dealers in financial difficulties
Good locations have been secured and defended in the face of competition – the takeover proceeded in secret for a long time
A comprehensive service network is needed for truck servicing
Objectives
Profitability of the "Euromaster" dealership chain
Raising the market share held by Michelin brands (Michelin, Kleber, Goodrich, Riken, Stomil)
Germany: Observation of market developments
Own exclusive
shops
MUC-0040-00001-01-16a
In Germany, massive expansion of Michelin's own branch network is being shunned – instead, cooperation is in the foreground
In Germany, cooperative deals with independent dealers, and with expanding specialist discount stores in particular (ATU)= 210 main dealers
Michelin services
Service/advice
Training
Preferential terms
Purchasing cooperation in the case of other brands
Advertising/EDP
Dealer services: Brand promotion
No negative reaction on the part of dealerships, since all brands are carried in stock
Competition against suppliers
Dealers cannot afford to miss out the big brands
Dealer integration
Experience
Plans/
trends
The concept of specialist discount stores is set to gain in importance
The general thinking is in three directions (Germany)
Concept to avoid the need to go via existing dealerships
Broad-based cooperation with all dealers (terms, service, etc.)
Specific concepts with a small number of dealers that stock > 30% Michelin products
In Germany, dealer cooperation is the sole option selected; no direct sales planned, however
Own exclusive
shops
High fixed costs
A minimum number of sales outlets is essential (in Germany, this should be at least 600)
Example: Tire manufacturers
MUC-0040-00001-01-16a
Does it make sense to establish an e-commerce direct sales channel without integrating the current trading partner/dealer?
Source: Roland Berger & Partners
Options for the establishment of a direct sales channel
Building up Internet sales without integrating dealer
Internet sales with dealer involvement
Direct sales to end customers while avoiding the indirect sales partner
Presenting the entire BMG product offer
Electronic ordering/payments (credit card)
fastest possible delivery
Possible expansion of music-on-demand
Partnership-style integration of trading partner in a joint direct sales channel
On a supplier platform or
By supporting the dealers' Internet sales
High potential for conflict with dealers
Makes sense if:
BMG has extensive market power
An all-round product range is offered
Sales potential > potential for loss with the dealer
Opportunity for differentiated marketing
Support for dealer in penetrating the market
The specific framework for dealer integration is decisive
This option is not appropriate at the moment!
This option should be examined! Possibly launch a pilot scheme
Evaluation
Effect
Approach
1
2
Example: Record company
MUC-0040-00001-01-16a
The question of the extent of dealer integration in direct sales remains open
–
?
?
Source: Roland Berger & Partners
Dealer integration in direct sales
Possible concessions to the dealer
Evaluation
Consequences
. Higher prices in direct sales
Low market opportunities
. Differentiation of product range by channel (initial selling, high-quality compilations, 'best of', …)
(Attractiveness of online range guaranteed?)
. Use of multimedia kiosk systems in retail (self-service terminals with online ordering feature for out of stock CDs)
. List of dealers on the homepage, incl. transfer of online orders
(Makes sense as an extra feature)
. Only music samples available online/ copying impossible
A basic question needs to be clarified: Does the retailer or the supplier have the lead? (Internet as PoS or PoI)
Combination of various concessions to retail would seem to make sense
Additional integration opportunities need to be developed
Exclusiveness of Internet sales for selected dealers?
Orders placed with the retailer, delivery executed by the supplier directly?
?
Example: Record company
MUC-0040-00001-01-16a
A channel management tool provides the required data for planning and reviewing the efficiency of channel management performance
Requirements of a channel management tool
Source: Roland Berger & Partners
Creation of cost transparency at channel level
Financial appraisal of individual sales channels and of mixed channel portfolios
Simulation of financial effects of changes in the product and/or channel mix (war gaming under different market scenarios)
Portfolio optimization of the sales channel mix
Early identification of potential conflicts/synergies between the channels
Channel
planning
Provision of simple ratios for reviewing the efficiency of sales channels
Controlling of business plan
Provision of basic data for annual negotiations with dealers
Enabling measures management/active control of sales channels
Channel
controlling
MUC-0040-00001-01-16a
RACE is an Excel-based simulation tool that supports strategic channel management
Source: Roland Berger & Partners
RACE – Rapid Achievement of Channel Efficiency
RACE allows the entire portfolio of sales channels to be portrayed and measures its profitability
RACE takes into account channel synergies and conflicts, along with channel-specific cost and revenue structures
RACE creates the basis for channel manager decisions through its capacity for simulation
RACE is directly linked to the business plan
RACE enables quantitative data to be integrated into the strategy development process
RACE
MUC-0040-00001-01-16a
RACE facilitates proactive channel management through its simulation of various "what if" scenarios
Source: Roland Berger & Partners
Typical questions
Parameters
Sales
"How will a 5% increase in price affect our total result?"
Sales volume
Price level/average sales volume per customer
General costs
"How will a 5% increase in personnel costs affect our total profitability?"
COGS
Wages/salaries
Other personnel costs
Sales promotion expenditure
Churn
"How will a 10% reduction of the churn rate affect the profitability of our outlets?"
Channel-specific churn rates
Channel- specific costs
"How will our profitability figures change if we raise our hardware subsidies by 10%?"
Commission
Subsidies
Bad debts
Handling costs
Margins
Customer service expenses
Product mix
"How will channel X change if we instigate a shift in the product mix?"
Channel-specific product mix
Channel elasticity
"How will the introduction of a new channel affect sales figures in the rest of the portfolio?"
Channel-specific elasticity
MUC-0040-00001-01-16a
RACE is a channel planning and controlling tool for obtaining high-quality simulation results
RACE functionality
Total sales/sales per channel
Sales per customer segment
Product mix per customer segment
Channel costs (fixed, variable)
Investment volume per channel
Cost of production of products sold
Channel sales per customer segment
Channel assortments
Channel conflict matrix
Customer churn rate per channel
Maximum market share per channel
Channel's share in the overall market
Business plan
Other input
Net profit
Net present value
Contribution margins
Average payback period per customer
Return on sales
Return on investment
…
Ratios per channel/for total portfolio
Input data
Output data
Simulation
RACE
MUC-0040-00001-01-16a
RACE calculation flow chart
Source: Roland Berger & Partners
Total revenue
Revenue goal per channel (% of total)
Channel revenue per customer segment (% of total channel sales)
Total revenue per channel
Revenue per customer segment per channel
Product per customer segment per channel
Product mix per customer segment (% of revenue)
Product line per channel
Total revenue per customer segment
Average customers per segment
Average revenue per customer and segment
Recalculated sales per product per customer segment per channel
Channel churn rate
Cost per channel mix and variable (per gross add or sales)
Net customers required per segment per channel
Gross adds required per channel
Total cost per channel
Profit per channel
Business Plan
Assumptions
MUC-0040-00001-01-16a
The modular design of RACE allows the flexible use and further development of this controlling tool
Overview of model structure
Source: Roland Berger & Partners
Case
Results
Case
Results
Segment
Case
Results
Channel 3: 1998–2008
Channel 2: 1998–2008
Channel 1: 1998–2008
1. Input module (Basis: business plan)
2. Control module (Parameter check/ sensitivity analyses)
3. Product mix module (product mix for each channel)
7. Elasticity module (Channel conflicts, synergies)
6. Result module
Input of channel portfolio
Summary
4. Cost module (Basis: business plan)
5. Channel module
Channel 1
Channel 2
Channel n
8. Output module
Total volume ., as defined
For each customer segment
For each product group
Allocation of sales to individual channels
Results
Setup costs, fixed and variable costs
MUC-0040-00001-01-16a
RACE presents the channel portfolio and its financial results in a user-friendly format
Result module
Source: Roland Berger & Partners
Input
Channel portfolio
1998
1999
2000
2001
2002
2003
2004
2005
2006
Channel
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
Total
100%
100%
100%
100%
100%
100%
100%
100%
100%
2007
100%
Result
Ratios
Sales per segment
NPV
Sensitivity analysis
OK
100% business plan
OK
Market share check
OK
Scenario check
OK
Cost of Goods Sold
INCLUDED
Enter new channel mix
Change product mix
Updating RACE
Output summary
Print
Quit
User-friendly click-on buttons
Profitability of
channel portfolio
Profitability of individual channels
Net present value
Net result
Contribution margins
Return on sales
Return on equity
Sales volume by customer segment
Channel portfolio:
overview
All relevant
information
at a glance
## Date; time
MUC-0040-00001-01-16a
C. Organizational consequences of channel portfolio management
MUC-0040-00001-01-16a
A powerful and efficient sales organization is one of the main preconditions for the implementation of channel portfolio management
Sales organization
Key results
Key questions
How is the entire sales organization structured?
How many organizational units and sales staff are needed to be able to satisfy all channel requirements?
How is the sales responsibility for customers and/or regions allocated?
How should the field force organization be set up?
How can the cooperation between telesales, field force, and key account management be guaranteed?
How can alternative sales channels be integrated in organizational terms?
The right organizational structure for the sales organization
Details of the support requirements for each channel
Detailed organizational plan (reporting channels etc.)
Job descriptions, distribution of competence matrix, etc.
Process descriptions and rules for all important interfaces
Clear rules regarding responsibility for customers/regions
Source: Roland Berger & Partners
MUC-0040-00001-01-16a
Previous project experience: Comprehensive sales channel management demands the adaptation of the organization and processes
Source: Roland Berger & Partners
Need for structural adjustment
Optimization alone is not enough – Optimization of existing sales processes and structures frequently fails to bring the required improvements to competitiveness
Optimization
Fundamental adjustments are required – Fundamental changes to the market environment demand and allow large-scale adaptation of sales concepts and the sales organization
Market environment
Quantum leaps in terms of concepts demand structural change – Significant and lasting effects are generally only achieved by adjusting structures
Structure
Consequently, the adjustment of tools and systems – Fundamental structural adjustments demand a reorientation of systems and tools (. terms, pricing, compensation, controlling, market information tools)
Systems/tools
Wide-scale integration of staff and a policy of open communications create acceptance and a willingness to instigate change
Mobilization
MUC-0040-00001-01-16a
Depending on the importance and complexity of the alternative sales channels selected, a channel orientation organization may become unavoidable
Sales organization
Product marketing
Channel management
Product 1
Product 2
Product 3
Bus.-to-retail
Channel 1
…
Lower price limits, price positioning
Definition of target groups
Coordination
Channel pro- motions
Merchandising
IT/logistics
Organizational consequences
Source: Roland Berger & Partners
Traditional sales organization
Channel-oriented organization
Sales organization
Marketing
Business-to-retail
Business-to-business
Product 1
Product 2
Product 3
Region 1
Region 2
…
KAM Region 1
KAM Region 2
…
Product
Price
Place
Promotion
Sale
Key account management retail
Comprehensive solution for a specific customer
Bus.-to-business
Channel 2
Channel 3
KAM
KAM
…
Application 1
Application 2
Solution of specific problems
…
MUC-0040-00001-01-16a
One of the key features of a channel-oriented organization is the introduction of a channel manager with responsibility for sales and results
Example: Consumer electronics
Channel management: Tasks involved
Source: Roland Berger & Partners
CTV
H A/V
P A/V
ME
IPG
RMA
ITG
Consumer
Channel
Division I
Consumer
Channel
Division II
Mail order
Dept. stores
Hyper/C&C
Dealers
CE (large)
Sales/result responsibility by channel1)
Developing and implementing channel concepts for all divisions1)
Terms and conditions systems, product range focuses/concepts, sales promo
Realizing/integrating the product strategy
Planning/controlling for the channel
Leadership function for channel managers (mail order, dept. stores, etc.)
Technical authority for KAM (ME, IPG, etc.)
Live the "one-face-to the customer" approach
In charge of ID/merchandising
Management of all regional sales
Management of dealers
MUC-0040-00001-01-16a
Establishing a channel like direct sales has considerable organizational consequences for the supplier
Organizational consequences
Example: IT
Management
KAM
Controlling
Regional Sales
Service
Telesales
Systems
Separation of sales units in line with the different business systems with overall sales coordination (controlling), .
KAM/field force sales for complex products
Telesales/e-commerce for highly standardized products (accessories, spare parts, etc.)
Establishment of dedicated units for the development of the specific channel concepts (channel management)
Orientation of processes to channel-specific characteristics (. in terms of advice required, speed of response, .
Higher degree of process automation in call center/ e-commerce due to amount of business to be dealt with, attractiveness of channel due to response times
Adjustment of logistical processes
Differentiation of controlling systems, coordination of the different direct sales channels
Sales
Marketing
Sales support
Channel Management
MUC-0040-00001-01-16a
Organizational integration of telesales at regional level results from the necessity of having identical infrastructure in all countries concerned
Organizational integration: call center/Internet sales
Example
Commercial printing segment
Packaging segment
Consumables
……
Region
Direct marketing
Call center
segment
Catalog
Internet
Key account support
Area sales
Telesales
Independent sales
Selling through solution sales
Telesales Catalog/Internet
Database as "enabler"
"Shared services" approach possible due to common
infrastructure
Local/
regional
Marketing
…
National sales
Marketing
…
Marketing
…
National sales
…
. area sales
Telesales
National sales
MUC-0040-00001-01-16a
The use of further direct sales channels demands differentiation of processes according to complexity of the business concerned
Source: Marketing & Sales CC, Roland Berger & Partners
Differentiation of sales processes
Types
Acquisition
Offer
Order
. e-commerce
. flagship stores
. technical field force
High degree of workflow automation
Continuous replenishment
Differentiation by type of complexity (I, II, III)
DP
DP
DP
Supplier
Flagship store
I
II
III
+
Degree of standardization
–
Features
Dealer products in the field of capital goods (low demand for advice)
Commodity products
Stored products
High potential for automation
Entry/start of orders via user/consumer
Complex products (requiring advice)
Customer specifications
Make-to-order production
High demand for commercial or technical clarification
1
2
3
Exchange of inventory overview between supplier and store
Order generation by supplier
Delivery instructions (electronic dispatch of order)
Delivery to "store"
MUC-0040-00001-01-16a
Reference list
Company
Project
Year
Project volume
VIAG Interkom
Implementation of a channel portfolio
Selection of innovative sales channels
Development of channel management tool
1997/1998
DM m
Sony Germany
Further development of Sony sales concept
Channel-oriented sales organization
Channel-specific support approaches
1996/1997
DM m
Bosch-Siemens
Domestic Appliances
Establishment of a direct sales channel
Development of a partnering concept for affiliated dealers
1998/1999
~DM 1 m
Heidelberger
Druckmaschinen
Development of a new sales channel concept for selected customer segments
1999
~DM 600,000
Siemens PN
Development of channel-oriented best-in-class marketing & sales organization
Derivation of a consumer-oriented organization
Design processes
Structure of HQ, decentralized sales/marketing units
Channel concepts
1997/1998
DM m
MUC-0040-00001-01-16a
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I-20129 Milan
Phone ++39-02-29 50 11
Fax ++39-02-29 52 48 37
Via Ludovisi, 35
I-00187 Rome
Phone ++39-06-48 82 11 9
Fax ++39-06-48 91 94 83
JAPAN
Roland Berger & Partner Ltd.
International Management Consultants
ARK Mori Building 22nd Floor
1-12-32, Akasaka
Minato-ku, Tokyo 107-6022
Phone ++81-3-35 87 66 60
Fax ++81-3-35 87 66 70
LATVIA
Roland Berger & Partner GmbH
International Management Consultants
Basteja Blvd. 12
LV-1050 Riga
Phone ++371-7 21 20 68
Fax ++371-7 21 69 38
MALAYSIA
Roland Berger & Partner SDN. BHD.
International Management Consultants
Letter Box 81, Level 17 Menara IMC
No 8 Jalan Sultan Ismail
50250 Kuala Lumpur
Phone ++60-3-2 06 57 13
Fax ++60-3-2 06 57 14
PORTUGAL
Roland Berger & Partner Lda.
International Management Consultants
Edificio Monumental
Av. Fontes Pereira de Melo, 51-4° E
P-1050 Lisbon
Phone ++351-1-3 52 43 61/2/3/4
Fax ++351-1-3 52 43 60
ROMANIA
Roland Berger & Partner SRL
International Management Consultants
Str. Emanoil Porumbaru 10, Sect. 1
RO-71263 Bucharest
Phone ++40-1-2 22 19 05
Fax ++40-1-2 22 62 71
RUSSIA
Roland Berger & Partner GmbH
International Management Consultants
1. Tverskaja - Jamskaja ul. 23
RF-125047 Moscow
Phone ++7-095-7 21 19 51
Fax ++7-095-7 21 19 54
SPAIN
Roland Berger .
International Management Consultants
Avda. Diagonal, 657, 3rd Floor
E-Barcelona 08029
Phone ++34-93-4 94 74 40
Fax ++34-93-4 94 74 20
Paseo de la Castellana, 140, 3rd Floor
E-Madrid 28046
Phone ++34-91-5 64 73 61
Fax ++34-91-5 64 72 75
SWITZERLAND
Roland Berger AG
International Management Consultants
Dufourstr. 56
CH-8008 Zurich
Phone ++41-1-2 67 41 11
Fax ++41-1-2 67 41 19
UKRAINE
Roland Berger & Partner GmbH
International Management Consultants
23 Shota Rustaveli Str., Apt. 10
252023 Kiev
Phone ++380-2 27 09 83
Fax ++380-44-2 46 78 54
USA
Roland Berger & Partner, LLC
International Management Consultants
100 West Big Beaver Road, Suite 200
Troy, MI 48084
Phone ++1-248-6 80 67 30
Fax ++1-248-6 80 67 31
90, Park Avenue, Suite 1600
New York, . 10016
Phone ++1-212-9 84 10 97
Fax ++1-212-3 51 50 66
MUC-0040-00001-01-16a
