PROMOTIONAL PASS METHODOLOGY
CHAIN GROCERY + COST PLUS INDEPENDENTS
LIST LESS INDEPENDENTS
PUBLISHED OI ( OFF INVOICE ) & MCB ( MANUFACTURER CHARGE BACK ) PROMOTIONS ARE PASSED THROUGH DOLLAR TO DOLLAR
• Book deal with any combination of MCB or OI
• Example :
• Sell price from KeHE to retailer : $ 1.20
• Manufacturer MCB or OI : $. 15
• Retailer promotional price : $ 1.05
• The pass is penny for penny OI to the retailer
ACCOUNT SPECIFIC DEALS
• MCBs are negotiated by Account Manger using customer price
• Contact the Account Manager with any retailer specific questions
PUBLISHED OIs ARE CALCULATED OFF SUPPLIER COST ( JOBBER )
• Deal calculation ( jobber ($ 2.00 ) x 10 % OI = . 20 deal )
• KeHE passes . 20 / unit retailer . 100 % of Supplier ’ s promotional allowance
PUBLISHED MCBs ARE CALCULATED OFF ITEM WHOLESALE
• Deal calculation ( wholesale ($ 2.89 ) x 10 % MCB = $. 289 deal )
• Pass calculation ( wholesale ($ 2.89 ) x 10 % published = $. 289 deal )
•* applied to base wholesale then VD is applied after
FEATURED DEALS & NATIONAL CASE STACK TIER DEALS – OI IS “ OVER REFLECTED ”
• Deal calculation ( jobber ($ 2.00 ) x 15 % OI = $. 30 deal )
• Pass calculation ( wholesale ($ 2.89 ) x 15 % published = $. 43 Deal
• True Pass to retailer is 15 % off wholesale ( 4.62 % KeHE funded )
• The Pass is over reflected ( OI component only )
• MCB component off item wholesale
• Cost + Retailers receive only supplier monies
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