marketing team could justify the need for the item in the portfolio. In contrast, an item was killed if
they could not make the business argument.
The start of the process was the determination of a of sales rating/item. To assess a rating, items
were plotted by percent of sales on a monthly basis and grouped into three categories. In category
three were products with monthly cumulative sales contribution of greater than $200,000/item/month.
While items categorized in area two contributed gross sales of $200,000 and $30,000/item/month.
Category one products formed the long tail contributing sales of less than $30,000/item/month. More
than 50% of the items were long tail items with small contribution to total sales. This pattern is shown
in Figure 12.
Figure 12. Determination of Sales Rating by World Kitchen to Assess Item Contribution
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