Catching up with Timothy McCreery, VP Sales & Marketing -- Retail, Precision Foods Inc.
What keeps you up at night?The biggest challenge that Precision Foods Inc. will face in the next three years is creating and then delivering value and revenue opportunities for our companies, our sales teams and our retail consumers.
How can manufacturers and retailers better collaborate?
One key collaboration opportunity right now is creating a value-added link between the manufacturer and the retailer while also including the distributors that supply the retail accounts. The promise of the various exchanges to create a linkage between the manufacturer, distributor and retailer is an idea that has not yet come close to materializing.
Until we are able to transmit pricing and promotions information to all participants throughout the entire value chain, we will largely be operating in the same way that we have been. We will have really changed the game when consumer goods companies stop using paper contracts, managing hard copy deductions and directly submit pricing as well as promotion information electronically to distributors and retailers.
What existing factors/practices are preventing better collaborative relationships between consumer goods manufacturers and retailers?
Consumer goods companies manufacture the goods, and retailers have an established consumer base. Both the manufacturer and retailer usually want the same end result: Happy consumers and profitable volume. Both manufacturers and retailers have this option and opportunity when they openly and honestly share their respective strategies within joint planning sessions in order to reach the common consumer. This process will result in a win-win collaborative relationship for both parties.
However, a great hindrance to achieving this win-win joint planning relationship is slotting. It is interesting that the best retailers -- which are defined by profitable consumer penetration -- tend to use slotting fees to build their bottom lines. Retailers have real costs associated with handling a product.
Especially in the current economic environment, the retail community wants price concessions. The senior leadership at each retail account should look to their own operating processes versus driving profit out of the consumer goods manufacturers. Can you imagine the price reductions, increased promotions and brand introductions if slotting were to become illegal? Consumers would get a break, and consumer goods manufacturers could compete on quality and support, rather than on fixed costs that never hit the consumer.
First job:
College campus rep for a major beer company
Who inspires you?
My parents: They used each day as a value and character teaching opportunity and never put themselves before their five kids.
How do you reward yourself?
I escape to our lake house
Favorite movie:
Gladiator or The Patriot
Favorite musician:
B.B. King
Proudest moment:
When you have four kids, each day brings some type of new achievement. I'm amazed each day.
Biggest challenge:
Patience. My team is only as fast as the slowest in the group.
Most recent tech purchase:
I-touch. Okay, I'm a late adopter in this area.
Hobby:
Investments
Favorite quote:
"Don't criticize your situation, analyze it."