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PUMA DISTRIBUTION CHANNEL

PUMA WAREHOUSE

FRANCHISEE

C&F OPERATORS

OWNED & OPERATED STORES

FRANCHISEE STORE

RETAILERS

DOWN THE LINE FRANCHISEE

LOGISTICS NETWORK PUMA

ORDER PLACEMENT BY DISTRIBUTOR

ORDER RECIPIENT AT PUMA

ORDER FORWARDED TO WAREHOUSE

DISPATCH TO DESTINATION

REVERSE LOGISTIC AT PUMA

GOODS RETURNED INVOICED BY RETURNING PARTY

APPROVAL BY PUMA

RETURNED TO MAIN WAREHOUSE

Similarities/Differences
Adidas = Puma
Distribution structure Sales Force Hierarchy

Margins
Adidas Higher margins to distributors.35-40% v/s 25% Puma - Higher margins to franchisees. 25-30% v/s 15-20%

Buy Back policy


Adidas Only from exclusive stores. Exchange among stores. Puma 10-15% as per contract.

Distributor
Adidas Stock goods worth 50 lacs to 1 crore. Puma Stock goods equivalent to minimum of 3 months.

Payment/Credit period
Adidas 30 days Puma 45 to 90 days

Puma Transportation losses bear by transporter, 4 Zonal offices.Major pt of conflict Prioritization of orders -Value vs emergency, by distributor problem faced - Stock delivery time lag

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