Australian Convenience Store News & C-Store Exhibitions | Retail automation

Up to 30,000 route and convenience retailers across Australia stand to benefit from the new Quatro Four Retail system, which is being rolled out in the month before Christmas. Soon to be available with the system are budget priced point of sale computer systems, which the suppliers say can help smaller outlets to stay competitive.

The Quatro Four Retail system marries scanning point of sale and inventory management systems to an online ordering and payment facility. The retailer selects the suppliers and pricing on offer and Quatro places orders, maintains inventory, provides category management data and allows the retailer to pay all his participating suppliers in one transaction.

Peter Henriques heads up Quatro four retail.

"Rather than talk about who and what we are," said Mr Henriques, " it's perhaps worthwhile spending a moment to talk about what we're not.

"Quatro is not a supplier or a distributor or a wholesaler of any kind of goods and it never will be. We're not an internet company or a young startup dot com. We are a service provider. And our concept is to offer value for money to manufacturers, wholesalers, other service providers and, most importantly of all, to convenience retailers. We're well resourced to do exactly that. And we're here for the long haul."

The developers say that the Quatro system is also designed to provide industry players with the tools to better manage the growth and profitability of their businesses.

Quatro was developed by leading global Supply Chain Management Company, i2 Technologies, under the guidance of leading supplier British American Tobacco and a number of retailers operating various styles of Convenience and Route stores. A number of stores have been operating under the Quatro system for most of this year.

"Quatro's web application links retailers to suppliers, wholesalers and direct delivery manufacturers, and all points between," said Mr Henriques. "It is designed to produce faster movement of orders, communication, invoices and promotions, and vastly improve levels of stock control for suppliers, as well as for retailers.

"It is our intention to provide retailers with access to affordable leading edge point-of-sale scanning systems and internet, plus superb management software as well as information reports and communication. This will benefit retailers in terms of stock control, time and cost savings.

"Quatro will streamline the entire supply chain, reducing wastage for everyone. In addition, retailers will gain easier access to Service Providers for services they need to run their businesses. These will include financial services, human resources and other key services"

According to Mr Henriques, the high cost of establishing 'stand alone' IT systems has proved a barrier to smaller retail businesses. With Quatro, small retailers should soon have access to complete point-of-sale scan hardware and software systems, custom installed, and a secured internet solution at prices previously available only to very large chains.

As the Quatro system is rolled out, they will be able to use these devices and web-enabled system for order placement, automatic replenishment of stock, margin management and overall improved financial management of their business. There will also be comprehensive training and service support. Alternatively, Quatro says it will be able to interface with existing retail management systems.

For the past twelve months a pilot program has been running in the eastern states of Australia, with the Quatro system installed in a range of retail outlets, and a number of suppliers.

According to Quatro, feedback from the pilot has been extremely positive, with retailers claiming cost and time savings, and increased profitability due to a better understanding of their own business. One retailer with over twenty years of experience said, "I didn't know that I had 3,500 SKU's in my shop, and I was selling a fair number below cost! I save time by using Quatro, and these savings will be increased even more as more suppliers come on-line."

There is also a convincing value proposition for manufacturers, according to Mr Henriques, "As far as a manufacturer or supplier is concerned, the ordering process from a convenience store usually costs anything from $8 to $25 per order, depending on the order capture method and the additional manual intervention required. Through participation in the Quatro exchange, the cost to suppliers can be reduced substantially, when one considers that National Suppliers can handle in excess of one million orders per annum from the Route, Impulse and Convenience channels.

"Quatro will enable sales reps to go back to being professional representatives for their companies, helping retailers to build their sales, rather than spending inordinate amounts of time as order takers."

Wholesalers should expect bottom line improvements, as order management is consolidated and moved online. Improved focus on the value-added components that wholesalers have the skills to offer, could result in additional business through increased customer bases, and additional activities. Similarly, service providers, such as transportation companies, are set to benefit from reduced administration and communication costs.

Rodney Boyle, managing director of i2 Australia and New Zealand said, "Until recently, supply chain management and e-business investments haven't been high on the agenda for convenience store retailers. However, as manufacturers' and retailers' margins from the convenience channel tighten, an online trading hub of this kind helps to ensure long-term profitability of the convenience store channel."

Following the Australian rollout, the company plans to export the Quatro Four Retail System to other leading consumer markets around the world. Quatro Four Retail will be demonstrating the new system at the C-Store 2 Exhibition in Sydney in March.

PIC 1. Quatro Four Retail boss Mr Peter Henriques says that his company's retail system will allow suppliers reps to offer increased assistance to retail customers.

PIC 2. Quatro says it's not a supplier or a wholesaler, but a service provider which all players in the industry can use.

PIC 3. The Quatro offer can include a full POS and back office system down to basic access to the system for sites that are already automated.