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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