Danone adopts digital procurement in marketing for improved agility

Industries

HIGHLIGHTS

Danone transforms its disparate marketing procurement system to be extremely connected and integrated with TCS’ next-generation source-to-pay platform, TAP.
TCS proposed its TAP source-to-pay platform to build a repository of catalogs to drive efficient sourcing and better management of promotional materials across geographies.
TCS' TAP, the source-to-pay platform, powered by digital, AI, and cloud, fueled end-to-end transformation for the client and enabled access to all shopper marketing supplies.

Danone faced challenges in managing indirect marketing spend

Danone, a large-scale consumer food company, was facing challenges with managing decentralized marketing operations, maintaining localized catalogs resulting in low visibility of the designs, and having little to no control over high spend and lengthy procurement of their trade promotions.

Danone thoroughly identified the root causes of marketing spend inefficiency within the shopper marketing area (for example, POSM: point of sale materials, coolers, and so on).

The decentralized, often fragmented marketing operations, limited the visibility of already available POSM formats beyond a specific country, often even beyond a concrete Danone business unit within a country. Multiple local trade marketing teams were recreating similar POSM formats, without having a platform to share effectively within their company.

TCS implements one portal for suppliers across businesses and geographies

TCS proposed its TAP Source to Pay platform – the next-gen procurement portal bundled with domain expertise and services to build a repository of catalogs – to drive efficient sourcing and better management of promotional materials across geographies.

It also helped conduct competent budget checks through digital enhancement.

TAP used agile prototyping and a customized user interface to enable like-to-like comparison across all catalog items, a robust search engine for guided buying, and visibility into best prices, ratings, and feedback provided by end-users.

TCS and Danone started with four European pilot markets to operationalize the new procurement process and incorporate user feedback in subsequent rollouts. The platform was designed on top of the enterprise procurement and ERP systems for a high level of user-friendliness and to enable smart shopping.

Using the intuitive digital web-shop, Danone achieved transparency and sustainability in managing the catalogs with better collaboration among stakeholders.

Danone digitalized its procurement for sustainability, agility, and improved savings

This end-to-end transformation powered by digital, AI, and cloud helped the company to access all shopper marketing supplies.

The easy maintenance of catalogs through a next-gen UI enabled better collaboration, savings, speed, innovation, and sustainability.

The process step-up and productivity improvement included:

Removing the repetitive process of reinventing and rebuilding POSM designs and formats
Enabling the marketing team with fast orders using the available designs
Identifying the most sustainable POS materials with the supplier and retail partners

Key figures

7-10%

Savings

across categories

3-5

Time-to-market

weeks

100%

Catalogs

digitalization

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