Responsible sales

RESPONSIBLE SALES

G4-DMA

Purpose

Widespread Distribution Channel (DAM). Tresmontes Lucchetti, Chile.

Widespread Distribution Channel (DAM). Tresmontes Lucchetti, Chile.

 

Achieve our customers’ satisfaction and loyalty, offering best purchase experiences with differentiated and sustainable value proposals that exceed their expectations, supported by a customer-centric organization model.

The Organization strongly believes that its actions contribute to community development through improving commercial relationships and supporting the most needy people segments.

Strategy and Progress 2015

Strategy Progress 2015
Perform the annual measurement of customer satisfaction and loyalty.

Satisfaction indicates the performance and processes efficiency compared to customer expectations. Group Nutresa achieved a rating of 88.5 in Colombia and 89.7 in international operations.

Loyalty shows the emotional connection that achieves loyal customers. The 2015 survey rates 70.4 in Colombia and 73.3 in international operations.

Design and implement customer loyalty, relational and development programs to strengthen their business capabilities.

Progress was made in developing a loyalty strategy, supported in specific programs for commercial–network customers according to their segment.

Between independent store and convenience store keepers, 950 customers received advice in order to improve their physical distribution and business model. Likewise co–creation models were generated, identifying competitive advantages of customers, especially for their shoppers.

Customer schools were strengthened, building capabilities in 100 commercial agents and service providers related to best business practices and training their sales and operation teams.

Establish effective communication channels with customers.

Progress was made integrating different customer and consumer touch points, as well as developing and improving mobile applications for business networks that allowed channeling, managing and monitoring relationships with customers.

Consolidate inclusive, sustainable business models that contribute to customer development.

Progress was made consolidating a network of Entrepreneur Mothers, which generates value and proximity through a proposal of a differentiated portfolio of brands, specialized services and access to credit, centered on entrepreneurship and the comprehensive development of the human being.

Risks and Opportunities

Strategy orientation toward a customer–centric organization model allowed Grupo Nutresa to strengthen its value relationship, building long–term sustainable relations. For this, it has value proposals, models and processes to reach the market, adapted to the needs of each segment and geography. The differentiation of these proposals includes building strategies with customers for their development, that ensures competitiveness and development for them and the Organization.

Likewise, specialized networks that cater directly to consumers, allows Grupo Nutresa to receive permanent feedback on brands, trends, habits, new products and competition, thereby feeding the knowledge of consumers and the market.

At international level, given the expansion and interest to ensure standards of customer service at all its operations, a process began to identify gaps and standardize best consumer and customer services practices, to a higher standard that this issue currently has in Colombia.

Increasing Customer-consumer demands and legal regulations are permanently monitored and adjusted with processes and means of contact to exceed expectations.

Another risk that is evident is environmental impact related to marketing and product transportation, which represents a substantial part of Grupo Nutresa’s ecological footprint. The Organization gives special importance to collaborative and complementary work with stakeholders to address these issues, ranging from global warming, emissions and noise at local levels, to generation of waste and dumping.

Future Perspectives

In short- and mid-term, we will continue updating value propositions for customers by segment and geography. Permanent customer relationships’ monitoring and measuring both customer satisfaction and loyalty will identify gaps and generate continuous improvement.

We will continue to develop value proposals for each segment of customers and enhance sales networks and channels, which will ensure that Grupo Nutresa has a superior ability to introduce the portfolio in the occasions of consumption.

We will continue working on programs and projects that reduce the environmental impact in distribution centers, transport logistics and any pertinent initiatives from customers, such as Leadership in Energy and Environmental Design (LEED) certification, a clean transport manual, cleaner transportation alternatives and better environmental performance in sales channels, among others. G4-EN30 SDG 11 SDG 12 SDG 13

In medium- and long-term, we will strengthen the training processes and integral advice to customers through customer and specialized service schools, to contribute to developing their capabilities and ensure their competitiveness. Also, we will continue to implement best practices in other segments, within which the collaboration model that integrates the value chain and connects customer–company teams, through shared management indicators, is highlighted.

Remarkable Achievements

An outstanding success story is the research conducted with Pontificia Universidad Javeriana (in Bogotá) to identify ergonomic conditions of greater impact for Commercial Nutresa distribution personnel. This research was recognized in the international scientific community and presented at 2 international conferences. A plan in accordance with the results will be implemented in operations to minimize sources of accidents and occupational hazards.

Another success story is the 11% fleet renewal dedicated to distribution of cold products in Colombia, with vehicles equipped with cutting–edge refrigeration and freezing equipment, with higher yields and lower emissions.

Distribution center for the Pasta Business in Mosquera, Colombia.

Distribution center for the Pasta Business in Mosquera, Colombia.

 

The Pasta Business distribution center at Mosquera obtained Gold–Level LEED certification, for meeting global sustainable construction practices. Principal aspects evaluated are: sustainable sites, water, energy and atmosphere savings; materials and resources; interior environmental quality; design innovation and regional credits.

Progress 2015

In order to manage sales responsibly, Grupo Nutresa focuses on topics such as customer experience, networks and commercial channels, the reduction of social and environmental impact, and strengthening customers. To do this, the following strategies were developed:

CUSTOMER STRENGTHENING

In Colombia, continuity was given to the role of the business developer for customers of traditional and convenience–store channels, to ensure longevity and competitiveness in the market, through comprehensive advice about their business. Customers value this strategy, since they perceive an improvement in profitability and increase their technical skills through professionalization, manage their business and their sustainability in a highly competitive environment.

Likewise, the Flawless Execution program was maintained, which ensures brand attractiveness and availability at points of sales, higher turnover and customer traffic. One of the most significant program initiatives was delivering and installing shelves for 340 stores and 221 wholesalers, in order to improve the shopping experience in these channels, making them competitive and valid.

Loyalty and recognition plans were developed to support customers in growth, profitability and sustainability over time, to increase their perception as a Grupo Nutresa partner and ally:

Colombia Meals vendor attending a client from the pharmacy channel in Bogotá, Colombia.

Colombia Meals vendor attending a client from the pharmacy channel in Bogotá, Colombia.

  • The Socios Nutresa Loyalty Program awarded 1,500 customers from the traditional channel and 280 from the convenience stores by Comercial Nutresa.
  • Súper Socio awarded 4,300 customers in the Ice Cream Business.
  • Loyalty Program for Ice Cream Parlors and Program for Drugstores in the Ice Cream Business.
  • Annual Recognition event for 4,600 independent ice cream vendors.
  • Preferential Circle for Wholesale Customers for 99 customers of the Cold Cut Business.
  • The international customers convention held in Colombia, was attended by 27 international companies from 15 countries.
  • Training Plan in Costa Rica for retail customers, together with the National Chamber of Retailers and Related Sector (Cámara Nacional de Comerciantes Detallistas y Afines, CANACODEA), and sponsorship and training in national congresses held benefited 350 members.
  • Customer training and education in Costa Rica on issues of service.
  • The Second School of Distributors in sales, marketing, trade marketing, logistics, accounting and life plan in Ecuador, strengthening 15 entrepreneurs.
  • Training program for BON Ice Cream Parlor franchisees in the Dominican Republic.

COLLABORATION MODEL

This is part of the model to reach markets and was born as a way to evolve the relationship with customers. Common objectives are shared that seek a two–way development, where approved measurement indicators are defined to monitor compliance. Within the Organization, we work with business figures that interact with customers to generate their alignment and coherence.

SAFETY AND HEALTH MANAGEMENT SYSTEM AT WORK FOR COMMERCIAL AGENTS

An integral training plan was implemented for more than 100 commercial agents in Comercial Nutresa and the Cold Cut Business. It seeks to replicate best practices, new trends, legal and tax regulations to mitigate risks of legal noncompliance, and strengthen the relationship with customers.

Similarly, together with the Administrators of Labor Risks (Administradora de Riesgos Laborales, ARL), Comercial Nutresa accompanied the commercial agents to construct and launch the road safety strategic plan, the objective of which is to promote the formation of safe habits, behaviors and conducts of people on the road, to minimize the risks in displacing the operation.

CUSTOMER SCHOOLS

The Grocers School and Customer Certification is a program to develop and train grocers to achieve greater competitiveness. More than 13,000 entrepreneurs have benefitted in the 12 years that the program has been in effect, thanks to its dynamism and constant evolution.

The Ice Cream Business worked closely with its marketers in training 19 customers in areas such as strategic planning, business management, finances and development of being.

Sales assistants from Comercial Nutresa.

Sales assistants from Comercial Nutresa.

SOCIAL PROGRAMS TO BENEFIT OUR CUSTOMERS

Managing the strategy to eradicate poverty through business initiatives is one of Grupo Nutresa’s priorities. Through Fundación Nutresa, activities are developed that strengthen communities at the base of the pyramid and are part of the value chain; we also worked on integrating the concept of inclusive businesses in the commercial strategy of the Businesses and consolidating action plans that enhance economic growth, and the ecological and social balance. The following programs were carried out:

Sales Networks for Leader Mothers and Training for Entrepreneur Mothers

Through regular meetings, Novaventa trained 115,000 entrepreneur mothers on topics such as nutrition, childhood, adolescence, healthy relationships, sexuality, and healthy lifestyles, among others, which contribute to their personal and family development.

The leading problems of Leader Mothers were identified and, by implementing a virtual strategy called The Novaventa Connection (Conexión Novaventa), priority issues, such as care for the elderly or the disabled, the entrepreneur’s spouse, and the creation of trusted networks with adolescents, were addressed to contribute to their quality of life. Digital inclusion was also present in the training programs aimed at Leader Mothers. With Fundación Nutresa, in 2015 the Oriéntate program was carried out with more than 80 mothers, which resulted in the appropriation of using ICT in everyday life and their business as a Leader Mother.

Development of Pozuelo’s Retail Channel in Costa Rica and Panama

A program was developed to eliminate cultural barriers with Chinese businessmen in the region and facilitate trade relations by strengthening their Spanish. This initiative achieved rapprochement with the Chinese community and bonding with their families by providing recreational material.

Diamond Day Event with Entrepreneurs mothers.

Diamond Day Event with Entrepreneurs mothers.

CUSTOMER SATISFACTION

Grupo Nutresa consistently measures levels of customer satisfaction and loyalty. In terms of satisfaction, it assesses the performance and efficiency of processes against expectations. In turn, loyalty measures loyalty and emotional connection. Both indicators are at levels of excellence within international standards.

 

Results of customer satisfaction surveys G4-PR5

 

Customer loyalty

DIAGNOSIS OF MARKETING AND TRANSPORT EMISSIONS G4-EN30 SDG 11 SDG 12 SDG 13

Grupo Nutresa works constantly for its environmental principles to be incorporated throughout its value chain. For this reason, for several years, diagnoses have been carried out and best practices incorporated in its logistics process. Proof of this is the continuation of measuring the Greenhouse Gas (GHG) inventory in its primary and secondary transport in Colombia. The results in 2015 showed total emissions of 64,598 tons of CO2e, with a share of 16% generated by vehicles managed by the Company and 84% for third parties. For more information, please go to the chapter “Climate Change.”

During 2015, significant progress was made in terms of energy efficiency in transport processes. G4-EN4 SDG 7 SDG 8 SDG 12 SDG 13

ico_consumoenergiaVerde

In 2015, energy consumption in third–part
distribution was 178,541.94 MWh.