Diagram of leaky supply chain

A 'leaky' and disparate supply chain often hinders Manufacturers and Distributors from communicating item specific discounts to buyers. These missed opportunities cost organisations money and essentially dictate poor procurement efficiency and productivity.

Furthermore, depending on organisational position and sector, certain suppliers may offer special discounts specific to certain profiles. However, most supply chains do not have an effective method of communicating this specific discount through to the end user. This is at the detriment of the supplier and the buyer.

Importantly for the supply chain, the ability to drive discount sales enables faster new product introductions, which in turn benefits the buying organisation. Stock that ages at the Distributor tier may demand Manufacturer price support for discounting.

Price support across a supply chain can be very expensive for the Manufacturer, which often sees delayed new product introductions priced up to account for ageing stock. Unlocking this 'log jam' of product and increasing supply chain throughput long term drives better deals for buyers and faster product introductions. This is healthy for both buyer and supplier.

SCP removes 'leaks' from the supply chain enabling discount pricing to be effectively and competitively communicated right through to the end user buyer.

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Leveraging Mercato's Data Management engine to manage, process and profile supply chain data, the Mercato SCP tool operates as a management mechanism that empowers buyers to open symbiotic communication with any level of the supply chain.

Overview of supply chain relationships
Manage relationship list

A manufacturer, distributor or reseller can then create direct-to-buyer pricing structures from discounts to fixed prices and bundle offers to government framework deals, all in a transparent fashion.

Product price detail

The pricing structures can be offered as broad offers or tailored to granular niche end user groups such as schools in Yorkshire.

Importantly, when one of these end users logs-on, Mercato SCP automatically recognises their profile and highlights the special discount associated with a specific SKU from a named deal provider. This tool gets discount deals directly to the end user with 100% accuracy, fast. And by integrating with Mercato procurement the tool can enable direct and quick purchasing.

SCP Price data displayed as part of a procurement solution in the IT Vertical

From a position of control, the buyer can decide to accept the deal and Mercato SCP acknowledges the purchase to the relevant supplier before connecting with the buyers Finance Management System to automate a PO communication and in turn confirm this to the appropriate ERP systems.

For the buyer, secure role based access and functionality offers auditable tracking, forecasting and trend mapping alongside management reporting that delivers 360 degree spend visibility.

For the supplier, the tool reports back to the supply chain all sales activity through Mercato SCP. This holds unique Business Intelligence for every tier within the supply chain, as it provides for detailed sales-out reports and qualification that the right customers are receiving the correct prices. It also confirms what deals are relevant to specific niche audiences, which facilitates continuous marketing improvement and sharpening of deals to buyers.

Mercato will engage with your supply chain to manage the process of providing an automated 'feed' of data into the Mercato Data Management engine. We apply or develop translation programs that automate and translate supplier data into a standard format that the Data Management engine can use.

This data is then seamlessly integrated with the Mercato SCP tool, which in turn can be delivered solus or as part of the Mercato Application suite of tools.