Transcript Stone and Tile Vendor Presentation

NATURAL STONE & TILE PLR RESET
VENDOR FORUM
Reset Dates
Phase:1 June 4-8, 2012 (Reset#12467)
Phase 2: July 2-6, 2012 (Reset#12468)
Phase 3: August 6-10, 2012 (Reset#12470)
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Agenda
– Reset timelines
– Forecasting & Replenishment
– Signage & display board requirements & approval process
– Flyer/advertising support
– Drop items exit strategy
– Store associate training
– Whatever/Whenever
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Reset timelines
Phase 1 (June 4-8)
CURRENT
New releases/ Promo pod
NEW
Designer mosaics
Marble threshold
Essentials
New releases/ Promo pod
Clearance Zone (June-August)
FOR COMPLETE ITEM LISTING PER PHASE, PLEASE REFER TO ITEM LISTING
PER PHASE PER VENDOR EXCEL DOCUMENT AVAILABLE ON LOWE’S LINK
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Reset timelines
Phase 2 (July 2-6)
CURRENT
New releases/ Promo pod
NEW
Designer mosaics
Essentials
Natural Stone
Porcelain /Ceramic tile
New releases/ Promo pod
Fashion rug
Porc /Ceramic tile
Clearance Zone (June-August)
FOR COMPLETE ITEM LISTING PER PHASE, PLEASE REFER TO ITEM LISTING
PER PHASE PER VENDOR EXCEL DOCUMENT AVAILABLE ON LOWE’S LINK
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Reset timelines
Phase 3 (August 6-10)
CURRENT
New releases/ Promo pod
NEW
Designer mosaics
Essentials
Natural Stone
Porcelain /Ceramic tile
Specialty tile
Porc /Ceramic tile
New releases/ Promo pod
Clearance Zone (June-August)
FOR COMPLETE ITEM LISTING PER PHASE, PLEASE REFER TO ITEM LISTING
PER PHASE PER VENDOR EXCEL DOCUMENT AVAILABLE ON LOWE’S LINK
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Forecasting & Replenishment
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Forecasting
Deseasonalized Demand (DD)
Weekly rate of sale for an item at a store, based
historical trends and statistical model. Updated
weekly for every store/item
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3.5
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Base Index (BI)
Weekly contribution of that week to the average
week; grouped together they form a profile
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0088382 CAN
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0153916 US
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1
0.5
Forecast = DD * BI + Override
0
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3 Types of Forecasts
•Demand – The quantity forecasted to be sold in the
stores each week.
•Order- Fcst purchase order quantities expected to
be placed in the week specified.
•Shipment- Fcst purchase order quantities we expect
the vendor to ship in the week specified.
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Weekly Vendor Forecast
 Sales forecast available to all vendors; order forecast
available for product flowing through RDC’s
 Allows vendors to pull sales, purchase order and shipment
forecasts on a weekly basis by RDC
 Updated every week
 There is a 26 week and 52 week view of the forecast that you
can access on Lowes Link.
 Full Webcast Training that all vendors should go thru.
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Replenishment
Channel
Flow and Inventory
FTL vs LTL
Based on the volume we will purchase from you weekly drives whether we should order
as FTL or LTL. The initial forecast is what drives if we order as FTL or LTL. After 2 to 3
months we will review the business again using the actual’s to ensure the right decision
was made.
Channel
• 1XD = cross dock. This means that you will receive one PO per week with a ship too
location of our Milton DC #1469.
• OXD = Stocked at DC. This means that you will receive one PO per week with a ship
too location of our Milton DC #1469. We will hold a limited amount of stock in the DC
to handle store demand.
• With both the OXD or 1XD channels we would order in pallets but we may ship out to
store in cases.
Inventory
We will not be holding more than 4 to 6 weeks of supply in our network. Due to the
unknown sales potential of these new programs our expectation is that the vendor
holds 12 weeks of forecast in their facility to react to demand.
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Vendor Compliance
On-Time Shipment:
 95% Requirement on Total Orders, no more than 2 days early or late
• 100% Requirement on New Store, New DC, Reset, Remerchandising, Onetime and Promotional Orders
Quantity Fill Rate:
• 98% Requirement on Total Monthly Orders
• 100% Requirement on New Store, New DC, Reset, Remerchandising, Onetime and Promotional Orders
Bar coding and Packaging Requirements:
• 100% Accuracy Requirement
Core Carrier Compliance:
• 100% Accuracy Requirement
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Signage & Display boards
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102”Wing rack
Designer mosaics POG/ 3 bays
Display/Signage
components:
• Slider
•Product display
board
• Product info card
• Storyboard (front
panels only)
Before
After
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Designer Mosaics Wing rack POG
Display/Signage requirements
WING RACK PRODUCT DISPLAY BOARD
DON’T FORGET TO
FILL OUT
THE WING RACK
PRODUCT SPEC
SHEET (1 per item)
Lowe’s price
label
•Dimensions:14.5”WX15 7/16”H / Live area: 12”Wx12”H
• Source: Urban Stone
•Qty: 1 per item (Mosaic or Mosaic/Subway combo)
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Designer Mosaics Wing rack POG
Display/Signage requirements
WING RACK PRODUCT CARD
Item
description:
Line 1: Product
name
Line 2: sq.ft for
item
Item in use shot
3 reasons to buy item
Feature #1 :
Material
Feature #2 :
Where to use
Feature #3
:Additional
info/romance
Lowe’s item#
Brand
Feature logo
•Dimensions:14.5”WX15 7/16”H
• Source: Pratt
•Qty: 1 per item
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Z Wall POG’s/ 15 bays
Natural Stone/ Porc Ceramic Tile
Specialty tile
Display/Signage
components:
• Z Wall product
roomscene
•Z Wall Product
display board
• C Channel card
Before
After
After
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Z Wall POG’s
Display/Signage requirements
Z WALL PRODUCT DISPLAY BOARD
DON’T FORGET TO
FILL OUT THE Z
WALL PRODUCT
DISPLAY BOARD
SPEC SHEET/
INCLUDING MAPEI
GROUT INFO (1 per z
wall board)
•Source:Product display: Urban Stone / Roomscene: Pratt
•Qty: 8 set per bay
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Z Wall POG’s
Display/Signage requirements
Z WALL C CHANNEL CARD
Brand
Item description
Product name
and tile size
3 reasons to
buy item
Feature #1 :
Material
Feature #2 :
Where to use
Feature #3
:Additional
info/romance
Item in use shot
(same in use
shot
as Z Wall
roomscene)
QR code or
feature logo
•Dimensions: 12”W X5”H
• Source: Pratt
•Qty: 8 sets per bay (complementing each Z Wall board)
Lowe’s item#
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Contacts
Display/Signage requirements
Wing rack & Z Wall
product display boards
Urban Stone Art
Att: Angelo Rao
7835 Hwy 50 Unit 10
Vaughan, ON
L4L 1A5
[email protected]
416-768-1001
Wing rack & Z Wall spec sheets
Wing rack product cards/
C channel cards
Z Wall roomscenes
Layout review/approval:
[email protected]
416-730-7329
Technical requests:
[email protected]
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Flyer/Advertising support
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Advertising- Flyer
Current and stylish in use image
image
Sell copy which:
Individual product image
- ‘romances’ the product
Silhouette
- provides brief product
-ideally other
description
angles available
- - provides consumer benefits
(‘why buys’)
Romance the product:
This floor and wall tile combination
emulates Roman themes beautifully
and is easily used in checkerboard patterns
while maintaining the elegance of the tile
design
Brief product description:
12X12 Navelli Ambrato Porcelain floor tile
sold individually or in 9sq.ft carton
Consumer benefit (‘why buys’):
Easy to clean
Stain resistant
<0.5% moisture absorption
Image requirements: minimum 150 dpi
IMAGES & SELL COPY TO BE PROVIDED ON CD FORMAT
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Contacts
Flyer/Advertising support
Item in use
image/roomscene
Individual product
image (silouhette)
Item sell copy
CD Ship to address
Lowe’s Canada
Att: Darin Delvechio
5160 Yonge Steet Suite 200
Toronto, ON
M2N 6L9
Questions:
[email protected]
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Drop items
Exit strategy
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Drop items
Exit strategy
Replenishment –Turn off
 All drop import vendor items+
All domestic vendor items with
WOS>30
_________________________
•Total: 108 items (58% of drops)
All other drop items to be turned off
12 weeks prior to reset (by phase)
Drop items inventory
As of 03/13/2012
Item count
Inventory
on hand @
cost $
Weeks of
supply
188
$2,212,163
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Markdown
• Now->up to 45 days prior to reset:
EDLP
•Less than 45 days to reset:
Markdown optimization: 25%-75% off
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