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Topco Case Study

Now it all adds up for Topco

Topco leverages Vistex Solutions for SAP to improve member pricing, rebate and promotion programs. Enhanced pricing maintenance drives value and cost savings to members.

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TOPCO-WOW-Factors2

"Our business users responded well to Vistex and described it as clean and user-friendly compared to Legacy. Entering agreements and managing rebates, accruals, and promotions is much easier with Vistex than what we had before."

Jonathan Morse

VP of Technology and Continuous Improvement

Overview

Technology is the cornerstone of Topco's mission to offer the best possible pricing to its more than 50 retail and wholesale member partners, by aggregating demand and driving innovation. Topco members operate more than 15,000 stores in the U.S., Mexico, the Dominican Republic, and Puerto Rico, and efficient order processing on such a vast scale would be difficult under any circumstances. But the task was rendered even more difficult by multiple order-processing systems across the network, resulting in variations between programs, complicated order processing, and manual touches for promotions, rebates, and price updates.

 Topco launched a 3-year “transformation” project in 2013 to modernize its technology platforms and drive value and cost savings to members by satisfying their demands for shorter delivery windows, more agile pricing, more robust analytics, up-to-date sourcing calendars, and greater visibility into ordering processes

Solution

Seeking a modern, integrated platform that would enable greater collaboration and communication with members and also provide more visibility into the supply chain — including more granular product details that could help facilitate better sourcing and procurement — Topco selected Vistex Solutions for SAP to gain more agile pricing and price communication, robust analytics, and increased visibility into ordering processes.

Results

Vistex Solutions for SAP improved pricing maintenance, leveraging Data Maintenance and Pricing tools instead of the custom-developed pricing tool used previously. Enhanced price communication tools provided more relevant information to members, while greater accuracy and integrity of information improved program performance. Streamlined set up of rebate agreements resulted in more accurate rebate calculations.  

The rich capabilities of Vistex enabled Topco to streamline the set-up of rebate agreements, and fully automated processing enabled the company to boost hands-free order flow from 11 percent of total orders to more than 40 percent. Robust reporting tools provided capabilities for member-specific pricing reports, and automatic application of cash increased from zero to more than 50 percent of orders. 

About

Topco

Topco Associates is a privately-held grocery purchasing cooperative that provides innovative private-label products to its food industry member-owners and customers to compete with national brands. Topco’s membership collectively represents thousands of stores and billions in retail sales volume. 

Headquarters: Elk Grove Village, IL

Industry: Grocery

Products: Fresh and frozen food products for retailers, wholesalers and foodservice

Revenue: $15 billion

Locations: IL, CA, FL and MA

Employees: 500+

Vistex solutions implemented:

Solutions for SAP

  • SAP® Incentive Administration by Vistex
  • SAP® Paybacks and Chargebacks by Vistex
  • SAP® Data Maintenance – Pricing by Vistex