NEWS: Colgate - Palmolive, Wala na sa SM supermarket

**ghosthunter** · August 25th, 2009 05:33 PM

Originally Posted by shadow

I don't think it's a lower cost or lower quality product from the supplier but rather pareho lang yun, kung ano binebenta ng let us say best food mayonase, best food pa rin yun but repacked parang incentive ng SM if makabenta ng 100 boxes meron silang free 1 box..etc..kaya lahat ng product meron silang SM bonus eh wala naman silang manufcturing...

Er... unless you have direct dealings with SM, you don't have a position to "guess".

SM Bonus items are products manufactured to meet a certain price requirement. IF the manufacturer has to cut some corners to meet that price, the buyers aren't aware of it. There isn't any control of who is supplying the items. It could be "supplier A" this month and it might be changed to "supplier B" after a couple of months because of a better price offer by "B".

So to the question if "BONUS" food products are inferior to branded, yes they are. But the difference might not be in the contents, it might be in the packaging, etc.

**uls** · August 25th, 2009 05:33 PM

Originally Posted by shadow

I don't think it's a lower cost or lower quality product from the supplier but rather pareho lang yun, kung ano binebenta ng let us say best food mayonase, best food pa rin yun but repacked parang incentive ng SM if makabenta ng 100 boxes meron silang free 1 box..etc..kaya lahat ng product meron silang SM bonus eh wala naman silang manufcturing...

i couldnt confirm if the bonus products are of the same cost/quality as the branded versions but i'm sure they come from the same manufacturers (mostly contract manufacturers)

**ghosthunter** · August 25th, 2009 05:36 PM

Originally Posted by uls

i couldnt confirm if the bonus products are of the same cost/quality as the branded versions but i'm sure they come from the same manufacturers

SM learns from the big US retailers

Walmart, Target, Costco, etc

pareho mga style nila

Same manufacturer doesn't mean it's the same content in it's regular product vs the BONUS item.

**uls** · August 25th, 2009 05:42 PM

Originally Posted by ghosthunter

Same manufacturer doesn't mean it's the same content in it's regular product vs the BONUS item.

yep

if i was forced to produce something cheaper

i would use cheaper raw materials, packaging, energy, labor, etc... whatever way to cut cost

**tidus1203** · August 25th, 2009 05:42 PM

Hehehe even inside SM Malls BDO has a monopoly on credit card terminals. So everytime a non-BDO credit card is swiped there BDO makes money from that other banks credit card.

**shadow** · August 25th, 2009 05:47 PM

Originally Posted by ghosthunter

Er... unless you have direct dealings with SM, you don't have a position to "guess".

SM Bonus items are products manufactured to meet a certain price requirement. IF the manufacturer has to cut some corners to meet that price, the buyers aren't aware of it. There isn't any control of who is supplying the items. It could be "supplier A" this month and it might be changed to "supplier B" after a couple of months because of a better price offer by "B".

So to the question if "BONUS" food products are inferior to branded, yes they are. But the difference might not be in the contents, it might be in the packaging, etc.

hhhmmmm. aren't you also guessing...?

I'm with ULS that SM bonus products also came from whatever manufacturer/supplier that reach their sales quota.

availability of SM bonus products are not consistently available, maybe this month ang marami is ketchup then next month wala ng available etc.

speculating is very normal in any public forum, so I don't see what's the fuss about guessing something in a particulat topic

**shadow** · August 25th, 2009 05:50 PM

Originally Posted by ghosthunter

Same manufacturer doesn't mean it's the same content in it's regular product vs the BONUS item.

yup, you're right but it will be easier for the manufacturer just to repack their product, anyhow it's already there right in front of their nose.

**ghosthunter** · August 25th, 2009 05:56 PM

Originally Posted by shadow

hhhmmmm. aren't you also guessing...?

Nope. We were offered (more than once) to produce an in-house brand item for these companies.

I'm with ULS that SM bonus products also came from whatever manufacturer/supplier that reach their sales quota.

You are free to guess.

availability of SM bonus products are not consistently available, maybe this month ang marami is ketchup then next month wala ng available etc.

This is due to the flux in the prices of raw materials. Like the price of tomatos etc might be cheap during certain months or the cost of plastic has suddenly gone up beyond the margins of the manufacturer to sustain.

speculating is very normal in any public forum, so I don't see what's the fuss about guessing something in a particulat topic

Why guess when someone is already telling you the backstory behind it all?

**uls** · August 25th, 2009 05:56 PM

Originally Posted by tidus1203

Hehehe even inside SM Malls BDO has a monopoly on credit card terminals. So everytime a non-BDO credit card is swiped there BDO makes money from that other banks credit card.

yes

SM wants you to live under the SM umbrella

gusto nila bumili ka ng bahay sa kanila, bumili ng appliances sa kanila, mag grocery sa kanila, bumili ng damit sa kanila, mag bangko sa kanila, mangutang sa kanila, bumili ng gamot sa kanila...

ano pa? did i miss anything?

**ghosthunter** · August 25th, 2009 05:59 PM

Originally Posted by shadow

yup, you're right but it will be easier for the manufacturer just to repack their product, anyhow it's already there right in front of their nose.

Repacking isn't cheap. It's more expensive because you have to maintain two separate product lines plus all the inventories of finished goods as well as inventories which will be used to produce those goods.

On top of that, SM (or similar) can simply cut their orders from you for any reason (poor sales, new supplier with better price, fad, etc) and you will be left with an inventory of items you cannot sell.

And in the end, I am creating a product to compete with my own which has a brand which I don't even control and can be revoked and given to someone else at anytime without reason.