
CASE STUDY
MANUFACTURER BUYS STAGNANT BRANDS FOR RELAUNCH
Case Studies > Manufacturer Buys Stagnant Brands for Relaunch
How a new manufacturer successfully relaunched a stagnant product line with limited trade and distribution staff and experience
SITUATION
A new manufacturer purchased a stagnant product line from another manufacturer with the goal of relaunching the acquired brands
The manufacturer only had a team of three with limited distribution and 3PL experience. They started with no state licenses, a 3PL agreement that needed to be assigned and renewed, brands that required compendia price decreases, and full-line wholesaler agreements requiring renegotiation
Archbow Consulting was engaged to manage the commercialization process and guide the manufacturer to a renewed relationship with the 3PL using a temporary title model, new wholesaler agreements, price compendia changes, and purchase orders
APPROACH
Archbow essentially became part of the manufacturer’s trade team and was empowered to represent the organization during the entire process
All the previous manufacturer’s distribution agreements and 3PL contract were reviewed for benchmarking
Archbow attended all 3PL/manufacturer meetings during the onboarding process to assist with technical and strategic decisions
Archbow participated in the distribution agreement redlining and negotiations process
The new vendor setup processes was completed to establish the manufacturer as an approved vendor with the Big 3 wholesalers
Price decreases and discontinuations were submitted to First Databank, IBM Micromedex, Gold Standard, Wolters Kluwer, and Cerner
Archbow facilitated introductions, distribution agreements, and vendor onboarding with four additional regional wholesalers
RESULTS
The 3PL partner was successfully onboarded using temporary title model
Distribution agreements were negotiated at the same rates the previous manufacturer had with no increases
The manufacturer was onboarded with “Big 3” wholesalers plus additional regionals
The price decrease process was successfully managed with compendia services
Archbow provided strategic guidance along the entire project so manufacturer was able to resume selling these brands with no extra FTE’s hired