One Blog |June 23, 2015 | Case Studies
DeCrescente Distributing Cuts Permanent POS Costs with PermaTrak
Permanent POS System Enables Company to Oversee Its Hefty Ongoing Investment in Signs, Table Tents, Clocks and Glassware
Serving more than 3,000 customers across 11 counties in upstate New York, DeCrescente Distributing Company (DDC) has a rich history in the region dating back to its founding in 1948 by Angelo DeCrescente. Still family owned and managed today, the company employs over 375 employees and sells more than 10 million cases of beverage product annually, including beer, wine, spirits and soft drinks. It prides itself on its ongoing passion for customer service as well as its eye for innovations that improve its business.
DDC’s vast sales force invests hundreds of thousands of dollars each year in permanent point-of-sale (POS) marketing, including items as large as neon signs and as small as branded glassware. That investment was originally monitored via software that was developed in-house. However, by 2011, said Mike O’Malley, Vice President of Sales and Marketing at DDC, the company realized its focus should remain on its core business and not divert its attention away from servicing its customers.
“We’re not IT folks,” O’Malley said. “We sell beverages across 7,500 square miles of New York. And a lot of resources were being used to create and maintain our home-grown software solution. We had no one else to turn to until we found OnTrak Software and their PermaTrak product. We quickly discovered that PermaTrak answered our needs, as it allows us to more fully control our significant annual investment in permanent POS. It enabled us to strategically place our investment within our salesforce as well as monitor the permanent POS activity down to the sales rep level. PermaTrak creates efficiencies that result in a huge savings for our company.”
Today, more than 80 percent of DDC’s 2,300 accounts benefit from PermaTrak, a paperless, Web-based software platform that controls permanent POS inventory from receipt, to order, through picking and placement. It also can track POS costs and retail values.
“It was a very positive experience to shift to PermaTrak,” O’Malley continued. “DDC can now allocate permanent POS into what we call ‘buckets,’ allowing us to allot a certain number of each item to a certain brand manager or sales representative. This way, instead of someone getting all of the neon signs that were available, we can strategically determine the most advantageous allocation. It’s no longer a race to be the first to grab POS. It makes sense and saves money simply by adding efficiency and strategy to the ongoing process.”
After all, DDC’s investment reaches just shy of a million dollars each year – allowing even a modest percentage of operational improvement to be obvious. “Even if I get just 10 or 20 percent more efficient with how I handle POS, OnTrak Software is still saving us a lot of money. If I gain efficiency with each person who touches it, I’ve made big strides, since that involves the warehouse, a brand manager and a sales representative.”
By accurately tracking inventory and status, PermaTrak allows DDC to schedule regular maintenance and cleaning, and even gauge sales performance at specific locations to better understand what works and where. With a better picture of how these items work within its business, DDC can create updated sales plans or alter existing ones to optimize their ROI.
“PermaTrak is an extremely powerful system,” O’Malley said. “You gain a lot of control, but you also learn a lot about sales reps and their individual market or customer. We can instantly see what has been requested and by whom, as well and what hasn’t been requested – and easily figure out why. It forces accountability on multiple levels that we did not have previously.”
About OnTrak Software
OnTrak Software delivers innovative solutions that track and manage point-of-sale (POS) marketing efforts for beer, wine and spirits wholesalers. OnTrak enables sales, marketing, and print shop personnel to closely monitor their POS investments in custom and temporary printed signage, permanent displays, custom wine menus, and beverage sampling events – providing wholesalers unmatched cost savings, while also significantly increasing their accountability with suppliers and customers. Founded in 2007, OnTrak is headquartered in Cincinnati, OH. For more information, visit www.ontraksoftware.com or call 513-936-4032.