The strategic agenda for consumer products customer management

Today's trade relationships are tremendously complex. They are characterized by shifting customer needs and growing polarization in the retail market, requiring greater agility and responsiveness on the part of consumer products companies.

What new capabilities will retail customers demand of their suppliers? How will the dynamics of customer management need to change? Consumer products companies will need to elevate customer focus to the same level of importance as the consumer-focused dimensions of their organization and integrate the two to drive mutually beneficial trade relationships while maintaining strong brands.

Consumer products companies face the considerable challenge of balancing the continuously evolving needs of savvy consumers and powerful retail customers. In particular, they must deal with a host of demand-side pressures that are forcing them to take a hard look at their sales and marketing organizations, the roles and skills of their key account managers, and their capacity to develop deeper consumer and shopper insights.

While some consumer products companies have been successful at addressing some of the new marketplace pressures, many continue to struggle to effectively work with their retail customers. Having historically focused on the consumer as their only "customer", consumer products companies must seek to delight their retail trade customers as well.

Consumer products companies must embrace a fundamentally different approach to demand management, elevating the importance of and focus on customer management and integrating it more effectively with the consumer-focused dimension of their organizations (e.g., marketing and brand management).

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