December 11, 2013
Supplying our customers with logistics equipment is our core offering. However, we have noticed that by including value-added services, both the customer and the service provider can gain effective business solutions and competitive advantage.
“Upgrading" our offering with integrated services is becoming an integral part of our expertise that the customers appreciate and even demand nowadays. Our current service offering includes asset tracking and supply chain consultation. We are however determined to expand this offering since we strongly believe that the value-added services also bring customer loyalty. Our organisational structure has been streamlined and K. Hartwall is now ready for the transition from a product supplier into a service provider.
Looking at the market in general, the economic situation seems to improve again. GDP showed modest +0.3% growth in Europe for the Q2, which was a positive surprise to most of the analysts. UK, France and Germany stood out as the bright spots in these recent developments. Global phenomenon is that the growth in convenience stores will accelerate at the cost of more remote hypermarkets. The leading and most mature market in Europe is UK, where convenience stores are expected to reach 6 – 8% of the grocery retail in 2017. As a consequence pick sizes and quantities will decrease, creating a demand and opportunity for further goods carrier development. Need for traditional goods carriers will be impacted and this will create a need for convenience sized roll cages and other innovative solutions. Automation will increase in the supply chain. Crate handling and associated solutions such as dollies will increase as well; a trend we have already noticed at some of our customers globally. The small pick sizes will be connected to greater demand for reusable secondary packaging in order to reduce waste, creating a great opportunity for the beverage Trays and modern Dairy Solutions!
We want to work very close to our customers to fully understand their needs of today and tomorrow. At K. Hartwall we value close partnerships and long-term collaboration which are the prerequisites for further development of the value-added solutions. From our innovation pipeline we have this autumn commercialized the K. Hartwall SmartShelf, an adjustable and fixed shelving solution for roll containers and two news products in our Lean family: the Lean Adaptor Pallet Next Generation and new Pallet Size Lean Dolly. With these new solutions already working at the customers supply chains, we have taken steps forward fulfilling our vision in improving our Customers’ logistics efficiency.