Page 40 - Demo

TOBACCO TABSOL ADDRESSES RETAIL CASHFLOW CHALLENGE The current economic climate is challenging tobacco retailers on many different levels, according to tobacco company TabSol. Faced with ever-increasing excise costs, reduced disposable incomes, Covid-19 related lockdowns and increasing illicit trade, Tabsol believes the Australian tobacco industry is weathering one of the most difficult storms in decades. But despite significantly changing conditions, the company says, one of the biggest challenges for retailers remains “stubbornly constant”: cashflow. “In what is fast becoming a high- value, low-margin industry, cashflow and ready access to working capital are necessary to help retailers maximise pre-excise increase buy- ups,” TabSol said. “Now more than ever, strong cashflow is the lifeblood that can best ensure long-term retail business survival.” ‘Value for money’ supplier and solutions provider Understanding the impact of these short- and long-term challenges on retailers is said to allow TabSol to deliver more effective solutions to its distribution partners. “These solutions are firmly rooted in our ‘value for money’ promise that extends from a diversified product portfolio spanning various consumer segments,” TabSol said. “It’s also the core tenet that drives quality and compliance, fast service delivery, consistent pricing and long-term partnerships.” Pay on your own terms With this in mind, TabSol has partnered with Shift Payments – a new trade credit platform developed by business lender GetCapital – to simplify the way the tobacco company does business with key partners. With Shift Payments, partners now have the flexibility to choose the payment terms that best suit their business, with the following advantages: • Up to 14-day free payment terms, no fees or charges. • Easy set-up process with quick access to the facility. Needs- based and revolving credit limits up to $500,000. • Streamlined payments ensure inventory is always on time. • Flexibility to also set up sub-wholesale customers: giving wholesalers the opportunity to grow their businesses without the worry of debtor management. • Access to other working capital facilities, such as a business overdraft. “The Shift Payments partnership is a first in the Australian tobacco industry,” TabSol said. “With no limits on purchases (unless a government-imposed quota is applied) and taking advantage of TabSol’s everyday low-price strategy, retailers can plan their demand/orders rather than being driven by short- term promotions. “Combining Shift Payments’ automated payments platform with TabSol’s consumer-driven product portfolio and unrivalled service levels, retailers will be able to confidently focus on growing their businesses with one less thing to worry about.” CONVENIENCE WORLD NOV/DEC, 2020