Laetitia Bouliou, Gillette Pierre Kissel, Carrefour DMMG

1
Laetitia Bouliou, GillettePierre Kissel,
Carrefour DMMG
Think Global, Act Local Working together to
grow the Oral Care Category
2
Key Figures

• 1st retailer in Europe, 2nd internationally

Breakdown of consolidated sales by geographic
region
3
Key Figures

• 1st retailer in Europe, 2nd internationally
• Total Sales 2001 69 billion (6) vs 2000
• Net Income 2001 1207million (15) vs 2000
• 382 821 employees in 31 countries

Breakdown of consolidated sales by geographic
region
4
Sustained International Development
31 countriesGreeceBelgiumUAEMauritiusMadaga
scarSlovakiaJapanQatarDom. RepublicTunisiaRo
maniaSwitzerland
19 countriesChinaS KoreaCzech
RepThailandPolandSingaporeColombiaChileIndon
esiaMalaysia
9 countriesTurkeyItalyPortugalMexico
5 countriesFranceSpainBrazilArgentinaTaiwan
1989 1994 1998 2001
5
Multi-Format Group
9246 stores in 31 countries
Europe 8494
Asia 109
Latin America 643
733 Hypermarkets 2289 Supermarkets 3766 Hard
Discounters 2263 Convenience stores 195 Cash
Carry
5 Feb 2002, including partners and franchises
6
Focus on Consumer Satisfaction

• In 2000, we opened - 1 Dia discount store every
  day - 1 Champion supermarket every 3 days - 1
  Carrefour hypermarket every week

7
Focus on Consumer Satisfaction

• In 2000, we opened - 1 Dia discount store every
  day - 1 Champion supermarket every 3 days - 1
  Carrefour hypermarket every week
• We satisfy the needs of consumers with - our
  store formats - our brands - our specialist
  stores - eRetailing

Our aim to set the standard in modern retailing
8
Headquartered in Boston and operating in over
200 countriesAnnual turnover 9 billion34
manufacturing sites in 15 countries32,000
employees worldwide
9
Powerful Brands
A worldwide leader in the Grooming, Batteries,
Electrical and Oral Care categories
10
Powerful Brands
A worldwide leader in the Grooming, Batteries,
Electrical and Oral Care categories
Key brands
Everyday, over one billion people worldwide use
a Gillette product
11
Vision

• Build total brand value by innovating to deliver
  consumer value and customer leadership faster,
  better and more completely than our competition

12
How we work together
The project starts with close co-operation
Internationally and Nationally
13
Agenda

• About our business
• The Oral Care opportunity
• Project Objectives
• Methodology
• Results
• Key Learnings
• Next steps

14
Worldwide Use-Up opportunity
15
Worldwide Use-Up opportunity
100 75 50 25 0
Penetration
16
Worldwide Use-Up opportunity
4
2.05
1.63
1
0.58
0.56
Toothbrush Yearly
Replacement
17
Worldwide Trade Up opportunity
Netherlands
Nordic
UK
Germany
Total Europe
Iberia
Italy
France
Power Brushing Penetration
18
Oral Care Category Growth Drivers

• Use Up More and More Often

19
Oral Care Category Growth Drivers

• Use Up More and More Often

• Trade Up Standard to Premium to Power

20
Our Research has shown that...
21
Our Research has shown that...

• Buying a toothbrush from a supermarket is not
  enjoyable or fun

a necessary evil
You never find what you want , its all a mess

• Confusing, complicated and annoying

22
Our Research has shown that...

• Buying a toothbrush from a supermarket is not
  enjoyable or fun

a necessary evil
You never find what you want , its all a mess

• Confusing, complicated and annoying

Of all the shoppers who visit the Oral Care
fixture.
23
Agenda

• About our business
• The Oral Care opportunity
• Project Objectives
• Methodology
• Results
• Key Learnings
• Next steps

24
Synergy with Carrefour Worldwide Health
positioning

• Direct impact on ORAL HEALTH
• Growing evidence of impact on OVERALL HEALTH
• Key part of WELLNESS

25
Project Objective

• To grow Carrefours global Oral Care business by
  developing a concept which is - consumer
  focussed - locally adapted
• - improves the shopping experience
• - aligns with Carrefours Health values
• - provides differentiation

26
Agenda

• About our business
• The Oral Care opportunity
• Project Objectives
• Methodology
• Results
• Key Learnings
• Next steps

27
Carrefour Category Management in 2000
ECR Europe 8 step process
Strategic Alignment
Category Definition
Category Role
Category Assessment
Category Review
Performance Measures
Category Strategies
Category Tactics
Plan Implementation
28
Evolution of Category Management 2001 - 2002
29
Carrefour Merchant Concept Methodology
Simple, rapid, and practical Modern
30
Each element of the Mix was addressed
31
Each element of the Mix was addressed
32
Each element of the Mix was addressed
Carrefour range review
SOLUTIONS
Carrefour merchandising review
Carrefour tailor made fixture
Carrefour customised POS communication
33
The Carrefour Oral Care Concept
A global project to be adapted locally
Attractive Display
Clear segmentation with kids section
Power Toothbrush
Easy to choose lay-out
Educational messages
34
From Concept to Prototype
35
VTPROTOTYPERT 3 MINUTES
36
Greater focus on Physical Oral Care
(April 01 prototype example)
37
A Specific Kids Section
38
(No Transcript)
39
Easy to choose Manual Adult Section
Low end to premium
40
Easy to choose Manual Adult Section
Low end to premium
41
A Power Section next to premium manual brushes
42
(No Transcript)
43
Education Prevention messages
44
Clarified Paste segment cross-segments messaging
45
From Prototype to local market tests
46
In-store execution
47
China
48
China Results
32
21

• 10 stores
• National roll out
• in progress (27 stores)

49
In-store execution
50
Greece
51
Greece Results
15

• 2 test stores
• Range applied nationaly
• Planogram currently rolled out to all Hypers

3
52
In-store execution
53
Korea
54
Korea Results

• 2000 range and planogram review
• 2001 pilot store
• - integration of Kids section, - power
  section, - messaging
• Plan for roll out to 10 stores

45
19
55
In-store execution
56
In-store execution
57
In-store execution
58
In-store execution
Co-partnership with Colgate
59
Agenda

• About our business
• The Oral Care opportunity
• Project Objectives
• Methodology
• Results
• Key Learnings
• Next steps

60
Key Learnings

• Project results from close CO-OPERATION between 2
  International teams

61
Key Learnings

• Project results from close CO-OPERATION between 2
  International teams
• International co-operation can deliver a
  WIN/WIN/WIN solution

62
Key Learnings
63
Key Learnings

• Project results from close CO-OPERATION between 2
  International teams
• International co-operation can deliver a
  WIN/WIN/WIN solution
• Keep the communication SIMPLE Carrefour 5 page
  approach

• LOCAL OWNERSHIP is key

• SUCCESS breeds success developing the project
  in one country helps all the others too

64
Key Learnings
65
Agenda

• About our business
• The Oral Care opportunity
• Project Objectives
• Methodology
• Results
• Key Learnings
• Next steps

66
Next Steps

• Success story with Gillette has been a CATALYST
• New way of working together established
• 3 further global projects with Gillette

67
Next Steps
68
Next Steps

• Success story with Gillette has been a CATALYST
• New way of working together established
• 3 further global projects with Gillette
• Total of 35 projects with leading Food, Drug and
  HB suppliers now completed

69
Next Steps
70
Summary

• The development of the Carrefour/Gillette
  relationship and the Oral Care project had one
  clear goal
• To satisfy the consumer
• according to their local needs

71
Laetitia Bouliou, GillettePierre Kissel,
Carrefour DMMG
Think Global, Act Local Working together to
grow the Oral Care Category