Zimpapers Logo

Vandudzayi Zirebwa Buy Zimbabwe
The upcoming Buy Zimbabwe Retailer-Supplier Conference scheduled for October 23 at Sango Conference Room at the Cresta Lodge in Harare is a must-attend for those who are passionate about promoting symbiotic relations between retailers and local suppliers. Judging from the overwhelming response we received after our last article, where we highlighted the rationale behind the conference, the forum is likely to create lively and memorable debate which will hopefully translate into meaningful action on the ground.

If initial responses to the conference are anything to go by we will need to consistently evaluate the dynamics of retailer-supplier relationships, as both have quite a number of concerns that they want addressed.

From the feedback received, it is evident that suppliers are grappling with challenges such as getting new products listed as well as accessing information or statistics from supermarkets.

They also cite phenomenally high retailer margins which translate to higher prices to the consumer. Inevitably, their products are shunned by consumers, most of who operate on shoestring budgets.

In addition, retailers are failing to adhere to the same price nationwide for similar commodities, disadvantaging suppliers.
That, coupled with the fact that retailers are failing to adhere to payment terms, does nothing to ease the challenges that suppliers are facing with retailers. But perhaps the most honest question raised by suppliers, which undoubtedly also begs an equally honest answer, is what it is exactly that they have to do to impress retailers enough to be accorded shelf preference.

What is it that suppliers are doing so wrong that they are being overlooked for shelf space?
Hopefully, retailers will be able to shed light on this seemingly simple, yet packed question.

On the part of suppliers, feedback from readers indicates that, to aid their own cause suppliers should conduct volume-based sales promotions with retailers. That way, their products can achieve volume sales and be sold at competitive prices through economies of scale.
The local suppliers are also urged, in the words of one reader, to “become less greedy” and appoint local sales agents who support local distribution of their products.

Not only would this aid suppliers to push volumes, it would also provide distributors with income. In this whole mix, Government is expected to play its part by promulgating policies which help to promote the sale of locally produced products.

Readers suggest that Government implements policies such as the reduction of counter taxes on local products and offers major long- term concessions to local manufactures. After all, as one reader rightly points out, most “local” products are actually global brands made in Zimbabwe.

Government is also urged to promote promising indigenous brands by revising its taxes and levies the local producer suffers too many requirements, some of them duplications from council and Government.

If local manufactures are able to produce at a reasonable price, their products are likely to be affordable and be of improved quality.
The sentiments from the feedback we received all bring us back to the age-old argument – of the pricing of local products vis-à-vis quality.
Zimbabwean products are known for quality. Yet as this may be, they seem to be a poor match for South African products which are faring better on our turf in spite of being of inferior quality and being pricier. Why is that? We decided to conduct a snap survey ahead of the Retailer-Supplier Conference in order to understand consumer preference for imports.

We noted that there are instances where our local products are priced the same as imports, yet consumers seemed to still prefer the imported products. A case in point is the performance of our locally produced Willards crisps vis-à-vis the South African Lays.

While both sell at the same price and taste equally good, during the 10 or so minutes we spent observing consumers’ reaction to the two revealed that buyers paid more attention to South African crisps. The simple reason for this is that the packaging of South African crisps is definitely more inviting than that of our local brand, which, without taking anything away from the product, is quite dreary and archaic.
We also observed, rather sadly, that although locally manufactured biscuits account for over 70 percent of the biscuits on our shelves, they are relegated to the back of shelves, probably because their packaging is not much to look at.

Yes, they might be of high quality and reasonably priced, yet their packaging does little by way of enticing one to actually buy and try them. Perhaps it is time we focus on packaging as a factor in consumer buying preference.

Then there are high performing local suppliers, who are worthy of mention. National Foods Limited comes to mind for its various rice brands which cater for different tastes and pocket sizes. The company has realised that although it might be producing locally, it is operating in a global market, where consumers have exposure and are spoilt for choice.

In essence, National Foods understands how to compete and make a mark. Maybe other local suppliers could take a leaf from them and up their game, too. Buy Zimbabwe congratulates the Contact Centre Association of Zimbabwe on hosting a successful award night in honour of local companies that have distinguished themselves above other local and regional companies through service.

The ceremony saw the inaugural Buy Zimbabwe Manufacturers’ Service Sector Award going to Unilever with Schweppes and Colcom coming in as the first and second runners-up respectively.

We congratulate the winners in all categories and thank CCAZ for such a brilliant initiative. This is the benchmark that will assist and encourage other local firms to ensure that the whole manufacturing process focuses on customer satisfaction.

Feedback: [email protected] or call 0773 751 878.