September 17, 2008

Welcome to the Second Annual “Can’t Beat the Experience” National Team Selling Competition! We are looking forward to meeting all of you when you arrive at the Indiana University campus on September 26th.

We hope everyone will find the case challenging and will learn from the experience. At the same time, we want everyone to have fun working with your teams, interacting with the Philip Morris staff, and meeting students from other universities.

As the corporate sponsor of the competition, we worked closely with the faculty and staff at the Center for Global Sales Leadership at the Indiana University Kelley School of Business to develop a case that would showcase your abilities. Our goal is to give you the opportunity to take your classroom knowledge and experience and apply those skills in a selling situation that is realistic and relevant in today’s market.

The Philip Morris USA employees judging the case competition have enjoyed long-term careers with the company. In addition to sales, our work experience crosses over multiple areas. During your visit, we hope you will take the

opportunity to get to know us a little better.

On behalf of all of us at Philip Morris U.S.A., good luck and good selling!

Sincerely,

Kevin McCoy

Indianapolis District Sales Manager

“Can’t Beat the Experience”

Team Selling Competition

Sponsored by Philip Morris USA

and the Center for Global Sales Leadership

Friday, September 26, 2008

The Team Selling Competition will take place at the William J. Godfrey Graduate and Executive Education Center of the Indiana University Kelley School of Business, located at 1275 East 10th Street.

Directions to Bloomington

FROM INDIANAPOLIS AIRPORT to HILTON GARDEN INN

·  Exit the airport and take I-465 south.

·  Follow I-465 south to the Harding Street/SR 37 exit.

·  Take SR 37 (52 miles) to Bloomington.

·  Exit SR 37 at the Highway 45/46 East Bypass.

·  Make a right turn at College Avenue (south).

·  Follow College Avenue to Seventh Street.

·  The Hilton Garden will be on your right.

FROM INDIANAPOLIS AIRPORT to FAIRFIELD INN

·  Exit the airport and take I-465 south.

·  Follow I-465 south to the Harding Street/SR 37 exit.

·  Take SR 37 (52 miles) to Bloomington.

·  Take the IN-48 ramp toward Third Street/Whitehall Pike.

·  Take the ramp toward Bloomington/Third Street.

·  Turn left onto IN-48 E.

·  Turn left onto S Franklin Road.

·  Turn right onto S Fairfield Drive.

·  End at 120 S Fairfield Dr Bloomington, IN 47404-5242

FROM INDIANAPOLIS AIRPORT to INDIANA MEMORIAL UNION

·  Exit the airport and take I-465 south.

·  Follow I-465 south to the Harding Street/SR 37 exit.

·  Take SR 37 (52 miles) to Bloomington.

·  Exit SR 37 at the Highway 45/46 East Bypass.

·  Make a right turn at College Avenue (south).

·  Follow College Avenue to Seventh Street.

·  Make a left turn on Seventh Street (east) and follow to the center of campus.

·  The IMU will be on your right.

Directions to the Kelley School of Business

FROM THE HILTON GARDEN INN

·  The Hilton parking garage exits on Morton Street. Make a right turn on Morton (north).

·  Make a right turn on Seventh Street (east).

·  Make a left turn on Walnut Street (north).

·  Make a right on 10th Street (east).

·  Make a left on Fee Lane (north).

·  The entrance to the Kelly Parking garage will be on your left.

FROM THE FAIRFIELD INN

·  Start out going south on S Fairfield Drive towards S Franklin Road.

·  Turn left onto S Franklin Road.

·  Turn left onto W 3rd Street.

·  W 3rd Street becomes S Adams Street.

·  Turn right onto W 5th Street/W Kirkwood Ave. Continue to follow W Kirkwood Ave.

·  Turn left onto N Walnut Street.

·  Turn right onto E 10th Street (east).

·  Make a left on Fee Lane (north).

·  The entrance to the Kelly Parking garage will be on your left.

FROM THE INDIANA MEMORIAL UNION

·  From the IMU parking lot, make a left turn on Seventh Street (west).

·  Make a right turn on Woodlawn (north).

·  Make a right on 10th Street (east)

·  Make a left on Fee Lane (north)

·  The entrance to the Kelly Parking garage will be on your left.

FROM INDIANAPOLIS

·  Take I-465 to the Harding Street/SR 37 exit.

·  Take SR 37 (52 miles) to Bloomington.

·  Exit SR 37 at the Highway 45/46 East Bypass.

·  Travel east on the Highway 45/46 Bypass to Fee Lane (the Indiana State Police Post is on the corner) and turn right onto Fee Lane.

·  The Kelley School of Business is located on the corner of 10th and Fee Lane. The Fee Lane Parking Garage is located just west of the Kelley School of Business, on the corner of 11th and Fee.

You will need a ticket to enter the garage. We will provide parking passes so you will not have to pay for parking. Park on Level 2 of the garage and follow the signs for the National Team Selling Competition. If you use the elevator, we are on Level B1.

CAMPUS MAP

“Can’t Beat the Experience”

National Team Selling Competition

Sponsored by Philip Morris USA & the Center for Global Sales Leadership

at Indiana University Kelley School of Business

Thursday, September 25, 2008

Registrants and judges arrive. Evening is on your own.

Friday, September 26, 2008

The Sales Team Competition will take place in the William J. Godfrey Graduate and Executive Educations Center of the Indiana University Kelley School of Business, located at 1275 East 10th Street. There is a parking garage connected to the building, and parking passes will be provided for participants.

An office/hospitality room is located off the Forum in room CG1004 – located on the 1st floor. Rooms starting with CG00 are located on the ground level; CG10 1st floor; CG20 2nd floor; CG30 3rd floor.

8:00 to 9:00 Continental Breakfast/Registration Forum (First Floor)

9:00 to 9:30 Welcome CG1040

Introduction of judges and key players

Logistics

9:30 to Noon Sales Presentation / Work Time Breakout rooms

See attachment A for breakout room assignment.

10:00 to 11:00 Break Refreshments Available CG1004

Appointments w/General Merchandiser Buyer

(14 groups will meet in 20-minute sessions in two rooms. Your interaction should be no more than 15 minutes, with the remaining 5 minutes allotted for judges’ commentary and debriefing. Teams will select their timeslot by random drawing when they arrive.)

CG3055 CG3074

9:30 to 9:50 Team 1______Team 2______

9:50 to 10:10 Team 3______Team 4______

10:10 to 10:30 Team 5______Team 6 ______

10:30 to 10:40 (Judges break)

10:40 to 11:00 Team 7______Team 8______

11:00 to 11:20 Team 9______Team 10______

11:20 to 11:40 Team11______Team 12______

11:40 to Noon Team 13______Team 14______

Noon to 1:15 p.m. Lunch Available CG0036

1:15 to 5:00 p.m. Sales Presentations to Buyers CG1040,

CG1034

2:30 to 3:30 p.m. Break Refreshments Available CG1004

(14 groups will meet in 30-minute sessions in two rooms. Presentations should be no more than 20 minutes, with 10 minutes allotted for judges’ commentary and debriefing.)

CG1040 CG1034

1:15 to 1:45 Team 1______Team 2______

1:45 to 2:15 Team 3______Team 4______

2:15 to 2:45 Team 5______Team 6______

2:45 to 3:00 (Judges break)

3:00 to 3:30 Team 7______Team 8______

3:30 to 4:00 Team 9______Team 10______

4:00 to 4:30 Team 11______Team 12______

4:30 to 5:00 Team 13______Team 14______

At the end of the day, please clear all personal belongings from breakout rooms. Office/Hospitality Room CG1004 is available and will be locked during Reception/Dinner.

5:00 to 5:30 p.m. Judges Discussion and Winner Selection CG 3055

Short 5-minute walk across the campus from Kelley School of Business to IU Art Museum. See Attachment B for directions.

5:15 to 6:15 p.m. Reception IU Art Museum

1st Floor Gallery is open to tour Atrium 1st Floor

6:15 to 8:00 p.m. Dinner IU Art Museum

Announcement of Finalists Atrium 2nd Floor

Winning sales team presentation during dessert


ATTACHMENT A

BREAKOUT ROOM ASSIGNMENT

Ball State / CG1019
Bowling Green State University / CG1031
Butler University / CG1033
University of Kansas / CG0034
Michigan State / CG1035
Northern Illinois University / CG1037
Ohio State / CG1039
Penn State / CG1041
University of Akron / CG1043
University of Houston / CG1045
University of Illinois / CG1047
Indiana University / CG0036
University of Mississippi / CG3110A
Wisconsin / CG0001


ATTACHMENT B

Walking Directions

From William J. Godfrey Graduate & Executive Education Center, 1275 E. 10th Street, to the IU Art Museum, 1133 E. 7th Street. Walk is approximately five minutes.

·  Exit the Grad & Exec Edu Bldg on the 1st floor through the exit left of the Forum.

·  Walk toward 10th Street to the intersection of N. Fee Lane & E. 10th Street.

·  Cross the street and walk through the gated entry to the arboretum.

·  You will be walking toward a building straight ahead that is triangular in shape. Walk on the curved sidewalk just right of the small water pool and past the red clock. Continue straight until you see small parking lot on the backside of the museum. You should see small IU Art Museum banners on poles.

·  Walk to the small circle drive to the back entrance of the museum.

·  You have entered on the Mezzanine Level and need to walk down to the 1st level for the reception. Elevator access is to the far right down an angled hallway.

Driving Directions to IU Art Museum for drop off only. If you wish to drive and park your car, there is a charged parking lot available on 7th Street, across from Indiana Memorial Union.

Case Overview

NOTE: The case is a fictional situation.
The case situation was invented for the selling competition, though it reflects real-life conditions. Neither the company you are representing nor the account you are selling to is real. All similarities to genuine companies are coincidental and unintended.
We used actual market data about the beverage industry to develop the case scenario. The overview and background information about the beverage industry comes from reliable sources.
The selling situation depicts a regional convenience store chain that does not exist. The market share and pricing data for the account has been fabricated. Market information about the supplier you are representing was also fabricated.

You are an employee of Mile High Beverages. Mile High distributes a variety of beverage products including soft drinks flavored with real fruit juice, vitamin water and bottled water. The company was started in Utah in 1988 and has achieved significant success by expanding all across the West. After many years of growth, the company one year ago decided to enter the market in the Midwest.

Mile High has a new bottled water line called “Bighorn Sweetwater”. It comes from natural springs high in the Bighorn Mountains. It has done very well in test markets and the company thinks the time is right to introduce it into the general market.

Mile High Beverage’s mission is to efficiently provide an ever-escalating standard of service to its customers, and to responsibly enhance demand for its products.

The current president, Kevin David, founded Mile High in 1988. From modest beginnings, the company has grown consistently in profit and sales over the years and now has annual sales exceeding $77 million. Mile High has 170 full-time employees.

Your team is a part of the Mile High Retail Accounts Sales Team. Your team has responsibility for sales and distribution to all retail accounts in the Midwest Division, encompassing the states of Ohio, Michigan and Indiana. The Retail Accounts Sales Force is divided into two selling teams:

•  Convenience Store (C-Store) Team – Five Districts, each with Four Territory Sales Managers

•  Supermarket Team – Four Districts, each with Four Territory Sales Managers

Territory Sales Managers in the Retail Account Group report directly to Director of Sales Michael Baker who reports to the Vice President of Sales, Rodney Olsten.

Mile High also has a two other sales groups that report to Mr. Baker. Their responsibilities cover the wholesale distributors in the Midwest Division as well as the headquarters of all the large retail chain accounts (having over 100 stores).

•  Wholesale Accounts Sales Team – Four Wholesale Account Managers

•  Key Accounts Sales Team – Five Senior Account Managers

At last week’s weekly sales meeting, the entire group was excited to learn that the recently completed test-market on Bighorn Sweetwater was very successful.

Mr. Baker made it very clear that Mile High will immediately add Bighorn Sweetwater to the brand portfolio and begin selling it in the Midwest Division. This will be the major focus for the sales team over the next two months. Mr. Baker also outlined the expectations for planning, selling, and executing the new brand into the marketing area.

Bottled water continues to out-pace the rest of the beverage industry. Everyone on the sales team thinks that water has a better chance of making inroads against the national brands made by Coke and Pepsi than a new soft drink product would have.

You are on the Convenience Store Team. You and your TSM teammates are very excited because you feel that Bighorn Sweetwater can successfully compete with large national brands like Dasani and Aquafina. On the other hand, you also know getting new, unproven products into chain accounts is a real challenge.

The members of the Convenience Store Team each have a specific geographic territory and each is responsible for all of the independently owned accounts as well as the smaller chain accounts with less than 100 stores in those territories.

In addition to selling new products, the TSMs are responsible for managing their territories effectively. The average territory has about 130 stores in it. The objective for normal territory coverage is 13 calls per day, which means TSMs, are in their 130 calls at least every other week. A typical call would include analyzing store conditions, writing orders, eliminating low and out of stock conditions, selling and building displays, placing Point-of-Sale (POS) materials, selling and implementing in-store promotions, and providing category knowledge and recommendations to build the retailer’s business. A TSM normally spends about 30 to 40 minutes in each call.