In recent weeks, modern trade sales have grown significantly due to the impact of the novel coronavirus (COVID-19) on consumer behaviour. As such, it has been increasingly important for manufacturers and suppliers to have a deep understanding and foster effective collaboration with key modern trade retailers.
To give our clients the opportunity to understand the retailers’ perspective, Nielsen Malaysia hosted a virtual event titled “Winning With MYDIN,” featuring YBhg Datuk Wira (Dr.) Haji Ameer Ali Mydin, Managing Director of MYDIN, as a special guest.
More than 170 representatives from Malaysia’s biggest fast-moving consumer goods (FMCG) companies tuned in to an engaging discussion about the changing shopper landscape, which continues to change as Malaysia enters the recovery phase of the pandemic. Additionally, the session explored how MYDIN uses data to guide their buying, assortment and even expansion decisions.
“We trace our humble beginnings to 1957, when we opened a small wooden shop in Kota Bahru, Kelantan,” said Datuk Ameer. “When we started, we relied on our gut to make decisions and it served us well, and we now have a MYDIN hypermarket that is housed within a MYDIN mall, as well as our own MYDIN Online Channel.”
“But the more we grew, the more we saw a need to make data-driven decisions, which is why we agreed to become one of Nielsen’s co-operating retailers—and it is a decision I don’t regret. Our buyers use Nielsen data to make purchase decisions, while we often refer to that very data to guide conversations with our suppliers.”
Nielsen’s Troy Donnell, Executive Director of Retail Measurement Services, echoed the importance of having retailer data at a granular level as it allows suppliers to improve stock availability, forecasting, promotions, SKU optimization and plan for festive celebrations.
“Ultimately, having retailer-specific data can be hugely beneficial for joint business planning and collaboration. In most cases, a healthy retailer-supplier relationship maximizes the returns for all stakeholders, whether it be for the shopper who has an enhanced shopping experience and overall satisfaction; or in this case MYDIN who can strengthen their sales, store image and store loyalty; or finally suppliers who can use a common data currency to drive growth together,” said Donnell.
Emphasizing the value of data to illuminate decision making, Donnell closed the session with a quote by Nielsen founder, Arthur C Nielsen: “The price of light is less than the cost of darkness.”
As shopper behaviour continues to evolve, collaboration between retailers and suppliers, using the extra granularity of chain- and store-level data will benefit both parties with their business performance.