Sales Strategy Introduction

Agenda

• Route to Market Strategy• DVQ ROS• Value of my role• Needs-based-selling• Selling on features and benefits• Summary• Next Steps

Route to Market

• Customer vs. Consumer• Our channels

DVQ ROSDistribution:

– The SKU availability of any given product – Offering the best SKU selection to a customer

Visibility:– The strategic placement of our product and promotional materials for

the consumer– Creating presence through placement of our product and materials

Quality:– Quality is defined by the consistency in experience of our brands– For Labatt quality is defined by a number of things including,

consistently fresh product, and the knowledge and ability of our customers to serve the beer to consumers in accordance with our brand standards

ROS (Rate of Sale):– Pricing our brand offerings competitively and clearly

DVQ ROS Activity

Visibility

Quality

ROS

Distribution

Each brand must have a minimum of 8 bottles and/or 1 keg any size in stock

Tap handles, towers, tent cards, patio umbrellas, chalk boards, sandwich boards, branded glassware

Materials must be clean, up-to-date graphics and visible to shopper

Bud campaign program to drive pull through

All Labatt GA SKU”s under their expiry date and packaging not damaged

75% of defined SKU list available for purchase? (Retail only)

Value of your role and understanding your customer

Identify customer needs through meaningful relationship building and the use of AB InBEV processes and tools to provide and execute world-class solutions that will

satisfy those needs.

Relationships

Insights

Solutions

Execution

Your asset!

Build relationships of mutual trust and confidence with your customer and their consumers, and you will

have a solid base for doing business.

Your leverage!

Learn about your customer’s business and their consumers. If you understand your customer’s

needs you will have more opportunities to sell.

Your profit!

Build your recommendations from your knowledge of your customer’s business, the consumer, and our

business to develop the most successful and profitable solutions.

Your success!

Execute brilliantly and flawlessly to ensure your solutions drive success. It will deepen your relationships and open new

opportunities

YOUR VALUE!

Value of needs-based-selling

• Demonstrates our commitment to helping our customers

• Provides us the knowledge we need to recommend relevant solutions

• Shows the customer we are providing solutions that are relevant for growing their business

• Builds our credibility, and strengthens our relationship

Features Vs. Benefits

Features• A characteristic of a product

or plan• Explains what is different or

better • Part of the intrinsic make-up

of the product (i.e., includes pack, price, support etc.)

Benefits• Drives Customer Profitability

(up-selling to bigger SKUs, more profitable brands, etc.)

• A future favourable result forecast promised upon taking certain action

• Answers the questions: “What’s in it for me?”, “What does it do for me?”, “So what?”

• Supported by features to explain why or how a benefit is possible

Example: Bud Camp

Feature: T-shirt with a purchase of a 24pack

Benefits:

• Potential to up-sell customers that were going to purchase a smaller pack size, thus increasing revenue for the retailer

• Customers intending to purchase a discount brand may be persuaded to purchase a Bud 24 pack, thus further increasing revenue for the retailer

Learning Checkpoint

1. Why is DVQ ROS so important to us and our customers?

2. What are the four key ways you bring value to your customers?

3. Why is needs-based selling important?

Summary

• Understanding how we do business is integral to your success

• As you develop your skills keep the value you bring to you customers as the forefront of all of your actions. It will ensure your success!

• Needs-based-selling will help you sell more and will position you as credible to your customers

• When providing a solution, always remember to communicate the benefit (e.g., “what’s in it for the customer?”)

Next Steps

THANK YOU!

Appendix 1 – Route to Market Slides

• Alberta: Slides 13 • British Columbia: Slide 14• Ontario: Slide 15• Quebec: Slides 16 – 17 • Newfoundland: Slides 18 – 19 • Nova Scotia: Slide 20• New Brunswick: Slide 21• Manitoba: Slide 22• Saskatchewan: Slide 23

Select the slides that are representative of your region.

RTM…distribution through brewer owned wholesaler (BDL) to private and government retail

PR

OD

UC

TD

ISTR

IBU

TIO

N Government

BrewerOwned

3rd PartyWholesaler

PO

C

Government(Retail)

Brewer Owned (Retail))

On-premise

Private (Retail)

Import (Out of Country)(i.e., Stella from Belgium)

Domestic(Large Brewer)

BDL

Government(BC Only)

On-premise

Private (Retail)

Domestic (Small Independent)

Connect Logistics (Alberta only)

none

Canada – Route to market Alberta Region

RTM…distribution through brewer owned wholesaler (BDL) to private and government retail

PR

OD

UC

TD

ISTR

IBU

TIO

N Government

BrewerOwned

3rd PartyWholesaler

PO

C

Government(Retail)

Brewer Owned (Retail)

On-premise

Private (Retail)

Import (Out of Country)(i.e., Stella from Belgium)

Domestic(Large Brewer)

BDL

Government(BC Only)

On-premise

Private (Retail)

Domestic (Small Independent)

Independent Distribution

none

Canada – Route to market: BC REGION

Canada - Route to market Ontario

Ontario Brewer

The Beer Store (TBS)

LCBO Retail Gov’t Beer Store Licensee

Consumer

Licensees = On premise, Bars, Restaurants, Pubs, - On Premise consumption

LCBO Retail = regular stores (6 packs), Combination stores (all products), Agents (Market demands)

TBS = The Beer Store, self serve palletised, self serve flow rack

Liquor Control Board of Ontario (LCBO)

Foreign Brewer / Out of Province

Canada - Route to market Quebec

Labatt Breweries

Distribution Centers (Labatt company owned = 30)

Licensed Outlets - On

Consumer

**This is somewhat like the US distribution system, however distribution centres are owned by the breweries

Molson has similar system in place

Distribution centres are exclusive for the 2 major breweries - Molson and Labatt

Licensed Outlets On = Bars, Restaurants

Licensed Outlets Off = Convenience stores & Supermarkets

Licensed Outlets - Off

Canada - Route to market Quebec - “Foreign” Brands

Out of Province Brewers

Licensed Outlets - On

Consumer

SAQ = Societe Alcohol Quebec - Government run

Licensed Outlets On = Bars, Restaurants

Licensed Outlets Off = Convenience stores & Supermarkets

Licensed Outlets - Off SAQ

Foreign Brewers

Distribution agencies

Canada - Route to market Newfoundland

Labatt Breweries

Independent Distributors (both for Molson and Labatt)

Licensed Outlets - On

Consumer

This is the most like the US distribution system

Molson has similar system in place

Independent distributors work exclusively with either Molson or Labatt

Licensed Outlets On = Bars, Restaurants

Licensed Outlets Off = Convenience stores, corner stores, gas stations, Liquor stores

Licensed Outlets - Off

Canada - Route to market Newfoundland - “Foreign brands”

Foreign brewers

Independent Distributors (both for Molson and Labatt)

Licensed Outlets - On

Consumer

Licensed Outlets On = Bars, Restaurants

Licensed Outlets Off = Convenience stores, corner stores, gas stations, Liquor stores

Liquor Stores - Off

Out of Province brewers

Canada - Route to market Nova Scotia

Labatt Breweries

Licensed Outlets - On

Consumer

Moosehead has similar system in place

Licensed Outlets On = Bars, Restaurants

Licensed Outlets Off = Government run Liquor stores

Liquor Stores - Off

Empty Bottle Depot

Draught only

Packaged beer

Canada - Route to market New Brunswick

Labatt Breweries

Licensed Outlets - On

Consumer

Moosehead has similar system in place

Licensed Outlets On = Bars, Restaurants

Licensed Outlets Off = Government run Liquor stores

Liquor Stores - Off

Empty Bottle Depot

Draught only

Packaged beer

Canada - Route to market Manitoba

Labatt Breweries / Molson Breweries

Beer Distributors Limited - Brewer Owned (BDL)

Liqour Board Stores Licensed Retail StoresLicensees

Empty Bottle Depot

Consumer

Licensees = On premise, Bars, Restaurants, can sell for home consumption

Licensed retail Stores = Hotel, Pubs, they also have an on-premise outlet in the same building

Canada - Route to market Saskatchewan

Labatt Breweries / Molson Breweries

Beer Distributors Limited - Brewer Owned (BDL)

Liqour Board Stores Licensed Retail StoresLicensees

Empty Bottle Depot

Consumer

Licensees = On premise, Bars, Restaurants, can sell for home consumption

Licensed retail Stores = Hotel, Pubs, they also have an on-premise outlet in the same building