Welcome. to ALDI Australia

Transcription

1 1 Welcome to ALDI Australia

2 2 TABLE OF CONTENTS TITLE SLIDE 1 TABLE OF CONTENTS 2 ALDI HISTORY 3 WHAT MAKES ALDI DIFFERENT 4 GENERAL INFORMATION TO CONSIDER WHEN DEALING WITH ALDI 5 Costs to consider 6 SUBMITTING COSTS AND DETAILS FOR PRODUCTS 7 Cost scenarios and delivery methods 8 Logistics 9 Costing and payment 10 How artwork is managed 11 FINAL SLIDE 12

3 3 ALDI HISTORY ALDI Australia began operating in Australia in January ALDI operates on the Eastern seaboard of Australia (QLD, NSW, ACT and VIC). 300 stores are in operation (as at February 2013). ALDI intend to open 20 to 30 new stores each year. Five distribution centres service these stores: Minchinbury (NSW) Prestons (NSW) Staplyton (QLD) Derrimut (VIC) Dandenong (VIC) ALDI is a privately owned business that started in Germany in Two brothers, Karl & Theo Albrecht founded the company. They later split the company into ALDI North (lead by Theo) & ALDI South (lead by Karl). ALDI Australia is part of the ALDI South group. The name ALDI comes from the original family named store Albrecht Discounts. ALDI is a deep discount store that offers every day high quality grocery items (core range), mostly sold under our own private label brands. In addition to core range, ALDI offer a variety of special buys that are different each week.

4 4 WHAT MAKES ALDI DIFFERENT Limited SKU count. Between 1200 and 1350 core range (items available everyday) products. There are mixed variants (mixed cases) in addition to this line count. Special buys. Two on sale dates each Wednesday and Saturday with approximately 70 new specials on offer as different themes rotate throughout the year. Seasonal buys. Seasonal buys are available at appropriate times throughout the year. Every day low pricing. National pricing is offered with no discounting or multi buy deals on everyday items. Generic store layouts and merchandising plans. Efficient business model. Cost savings are passed on to our customers. For example, labour cost savings are made by selling high turnover lines off pallets or by merchandising product in coloured boxes (outer cases) that can quickly be loaded onto our shelves. Our registers scan products quickly. These efficiency initiatives flow through our entire business. Product quality is of branded quality. We strive to be as high in quality as market leading products (if not better).

5 5 GENERAL INFORMATION TO CONSIDER WHEN DEALING WITH ALDI ALDI will invite suppliers to submit on new or existing lines (Core Range & Specials). Products are tendered yearly. Each supplier must complete a product submission form and provide samples upon request. ALDI Operates on a net/net basis. ALDI require all suppliers to have public liability insurance to cover at least AU$20 million. For core range submissions, keep in mind that ALDI have a limited number of SKU s. Consider market share and niche when proposing new products. There will not be many similar products on shelf and this will help to drive volume and cost efficiencies for your business resulting in lower costs for ALDI. Cost efficiencies help ALDI to be able to offer everyday low pricing.

6 GENERAL INFORMATION TO CONSIDER WHEN DEALING WITH ALDI Costs a supplier needs to consider in addition to the product: Artwork and development costs. Colour display cases (Litho/Flexo). Consideration of D pallets or Chep pallets. Mixed cases (what is the cost impact). Due diligence costs. ALDI use Silliker as their due diligence agency for most of their products. Other organisations may also assist with quality assurance (e.g. Intertek for textiles). Delivery to each DC (you will also be asked to quote on other applicable delivery methods). Costs a supplier does not need to consider: Catalogue costs Marketing costs Merchandising and positioning costs In store POS costs Rebate costs 6

7 7 SUBMITTING COSTS AND DETAILS FOR PRODUCTS General Information: The ALDI confidentiality agreement and terms and conditions must be read, signed and understood prior to any negotiations. An ALDI product submission form must be completed in full (add as much detail as possible). A sample may be requested immediately or after your submission form has been reviewed. Suppliers should make their best efforts to achieve the product quality requested as quality is a large focus for ALDI.

8 SUBMITTING COSTS AND DETAILS FOR PRODUCTS Cost Scenarios and delivery methods: ALDI will request that you review the following cost options: Domestic Supply Delivered to each ALDI distribution centre(s), (palletised) by supplier. Factory Gate, ALDI or ALDI logistics supplier to pick up stock from your warehouse(s). International Supply DDP, Delivered to each ALDI distribution centre(s), (palletised) by supplier. FOB, Supplier delivers to assigned port or CFS (Container Freight Station). ALDI s logistic supplier will consolidate goods with other goods from other suppliers and arrange for shipment to Australia. DDP, Direct Container, delivered to the nominated ALDI distribution centre(s) by supplier. Ex Works (Ex Factory), Logistics suppliers collect the goods from the suppliers premises and arrange for shipment to Australia. 8

9 SUBMITTING COSTS AND DETAILS FOR PRODUCTS Logistics: ALDI has an internal logistics department who can assist Buying Directors and Buying Assistants with choosing the preferred delivery method. ALDI have preferred logistics suppliers who may be able to assist your company with importing and delivering goods in Australia, they are: APC Logistics Renee Roberts Ph Fax renee.roberts@apclogistics.com.au Associated Customs and Forwarding Andrew Hurt or Tania Vassie Ph Fax andrew.hurt@acfservices.net.au tania.vassie@acfservices.net.au Hennings Harders Christian or Sebastian Harders Ph Fax charders@harders.com.au SHarders@harders.com.au Logwin Air & Ocean Australia Limited Thomas Kilian or Carol Headington Ph Fax Thomas.Killian@logwin-logistics.com Carol.Headington@logwin-logistics.com 9

10 10 SUBMITTING COSTS AND DETAILS FOR PRODUCTS Costing and Payment: ALDI will make payment 33 days from delivery, unless otherwise negotiated between ALDI and supplier. Catalogue funding will not be requested for products from a supplier. Payment will generally be made in Australian dollars (via EFT). Therefore, when quoting, costs submitted must be in Australian Dollars as well as home currency (eg USD or EURO). Account for due diligence charges from our current partners Silliker (food/non food) or Intertek (textiles). Product testing costs can vary depending on the product. If you are unsure of these costs, please seek clarification from the relevant buying assistant. Consider the artwork and packaging costs (review the ALDI Outer Carton Strategy document). Consider CHEP & D pallet charges. Contact the Chep Helpdesk on for the latest rates.

11 11 SUBMITTING COSTS AND DETAILS FOR PRODUCTS How artwork is managed: ALDI have Brand framework and guidelines for most of their own brands. ALDI have preferred design agencies (who have created these guides). It is generally preferred for these agencies to do the artwork for your products (especially for core range lines). If the Buying Director agrees for you to do your own artwork you will need to obtain a style guideline from ALDI or the design agency, please note there is a cost associated with this. Thought must be given to barcode locations as all ALDI products must scan easily. Artwork will need to be reviewed by ALDI & Silliker (Due Diligence) before going to print. For an understanding of the process, review the artwork process document on ALDI s website.

12 12 We look forward to discussing a potential partnership with you!