RE: UKNM: retail conflicts

[Melanie BEECH]

for what it's worth


two types of retail outlet to be considered:

1. internet

2. bricks and mortar


For the moment, at least, the majority of sales for FMCG goods, for example,

are not done on the internet.


Getting someone like Kelkoo to customise a price comparator would therefore

be less favourable to the bricks and mortar clients and may risk p***ing

them off, by pushing customers to buy online - the price comparators do not

currently cover supermarket prices, for example.  While I'm sure we would

all like to have as many supermarkets as possible offering online sales and

delivery in order to improve service levels, convenience and so on, this is

not currently the situation - Sainsbury's and Asda would be most

unimpressed.


Also, all retailers like to feel they are getting the best deal from their

suppliers, and an obvious and easily available price comparison would also

make some of them feel their competitors were getting better conditions.


Some years back, when working in marketing for a certain French cosmetics

company, we were in the situation, on one of my products, of a 70-100p price

differential between retail outlets, due to the quantities ordered,

commercial sweeteners etc.  Our end customers obviously noticed this, but I

couldn't tell them all to go and shop at Intermarch� as Monoprix, Carrefour,

Casino etc would have flipped.  Publishing a price comparison would still be

seen as favourising one supplier over another, as he who has the lower price

may well be getting better sales discounts than his rivals - or may be

perceived as receiving such.  And only the site with the lowest price would

have traffic pushed to it.


Finally, very few brands wish to be seen as permanently discounted - most

wish to be seen as value for money rather than cheap, hence the infamous

'I'm worth it'.  A price comparator rather goes against this philosophy.


...in my humble opinion :-)


m



M�lanie BEECH

Chef de Projet


SYZYGY

20, rue des Jardins - 92601 Asni�res cedex

T�l : 01 41 11 67 88 - Fax : 01 41 11 67 68

<mailto:m.beech@>

m [dot] beechsyzygy [dot] net (mailto:m [dot] beechsyzygy [dot] net)

http://www.syzygy.net



> Yep

>

> So to summarise, the issues are as follows:

>

> Brands feel they can not retail direct over the web becuase they risk

> pissing off the retailer.  They can't link their web sites to major

> retailers web sites becuase, they're bound to miss some of

> their suppliers

> and they'll then be cheesed off.

>

> Why don't the brands just go and ask (ok, pay i guess??)

> kelkoo, or one of

> the other comparaitive shopping engines to build a special comparative

> shopping engine, just foir their brand and build a site

> around this?  Seems

> as though this would not favour a particular retailer, would

> push sales and

> monetise their sites?

>

> I've got a terrible hangover, so am not in a great state to be self

> critical, but what does the list think aout the above idea?

>

> T


[Sam says: msg chopped]



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