COMMERCIAL RESPONSE. South Africa 2026.
Assessment of the current distributor model. Structural weaknesses Growth blockages created by the model.
Assessment of the current distributor model. Structural weaknesses Growth blockages created by the model.
Assessment of the current distributor model. Structural weaknesses Growth blockages created by the model.
Assessment of the current distributor model. Structural weaknesses Growth blockages created by the model.
Assessment of the current distributor model. Structural weaknesses Growth blockages created by the model.
Assessment of the current distributor model. Structural weaknesses Growth blockages created by the model.
Identification of Commercial Growth Levers. Obppc.
Evaluation of Distributor Capability Fit. Capability gaps are realistically correctable within the current model Structural redesign of commercial responsibility for Jägermeister is required.
Evaluation of Distributor Capability Fit. Evaluation of Distributor capability – DGB As highlighted above DGB’s current portfolio does not align well with JMSA priority objectives in several priority segments. DGB will always prioritize internal structures and capabilities to service the Wine agenda first and the spirits agenda second. Historically the type of individuals DGB have recruited have been primarily suited to servicing a premium Wine agenda, this is perfectly illustrated in the make up of the 2 Formal on-trade teams in the Western Cape and Gauteng. Recently DGB have recognized that is not sustainable and they have brought in selected individuals with broader Liquor portfolio experience. As highlighted above DGB is not structured optimally to service Jägermeister from a regional perspective as the structures are primarily built around servicing the priority wine channels in the urban areas. This is not to say that they do not focus on Jägermeister, it is very important as the margin made on the Jägermeister portfolio would cover significant costs of their sales and distribution networks. In the past 6 months DGB have responded well to challenges put forward by JMSA. As mentioned above regards the Key Account teams DGB have several managers and reps that have been in the system for a long time and it would not be easy to make wholesale changes to the company, and they would have to bring in fresh talent in over time. In the current structure DGB do not have the capacity or capability to service the Main Market channel themselves and it does make sense to outsource this to a partner that truly understands the segment. The question to be asked is if we are outsourcing who should own the relationship and how should they be remunerated. I would recommend that in the next 12 months JMSA should start the process on bringing additional commercial functions internally and either work with DGB to change the business model or evaluate alternative service providers..
Commercial Control of the Business. Explain how commercial control influences Speed of commercial decision-making Alignment of investment with growth channels Ability to optimise commercial ROI.
Distributor Coverage vs Ideal Market Coverage. Current distributor coverage Ideal coverage required for Jägermeister growth.
How Owning Commercial Levers Can Unlock growth. Explain clearly how shifting commercial control can unlock growth.
Channel Ownership & Commercial Team Structure. Channels to be commercially owned by Jagermeister SA Channels to be serviced by the distributor Recommended commercial and sales team structure Use of third-party specialist resources.
Recommended Commercial Structure for Jägermeister SA.
Financial Flow Under the Proposal Model. What would be the new financial flow?.
Implications for existing Specialist Arrangements.
Margin Reallocation & Value Chain Redesign.