Sales Competencies Analysis: Majed Sidani Interview

Head of E-commerce, Panda

Key Business Context

• Panda's e-commerce represents part of Saudi Arabia's 8-9 billion SAR online grocery market
• Total grocery business in Saudi Arabia: 80-90 billion SAR annually
• Panda's total sales: 11.5 billion SAR per year
• E-commerce growth rate: 15-20% compared to offline retail growth of 3-4%
• Operating through 40 stores, expanding to 100 stores by end of December

Sales Competencies Analysis

1. Customer Segmentation (High Importance)

• Clear segmentation between express and scheduled delivery customers
• Express delivery: Small basket size (~100 SAR), immediate needs, limited categories
• Scheduled delivery: Larger basket size (250-300 SAR), planned shopping, full category access
• Tailored delivery methods based on segment (bikes/sedans vs. trucks)

2. Solution Selling (High Maturity)

• Developed two distinct service models to address different customer needs:
  • Express delivery: 30-minute delivery for urgent needs
  • Scheduled delivery: Next-day or 3-hour slot for planned shopping
• Customized product ranges (8,000 vs 17,000 items) based on delivery type

3. Sales Operations Management (Medium Maturity)

• Sophisticated picking operations with mono-picking and multi-picking systems
• 7-9 pickers per store
• KPI tracking for picker rates and fulfillment rates
• Current fulfillment rate: 96% (improved from 78%)

4. CRM and Customer Tracking (High Maturity)

• Large customer database: 14 million records
• Developing subscription models for recurring purchases
• Tracking customer moments (e.g., first-time diaper purchases)
• Implementing personalized marketing approaches like "The Fruitful Day" campaign

5. Cross-Selling and Upselling (High Importance)

• Automated suggestions in checkout process
• Smart prompts for reordering based on previous purchase history
• Category relationship management for complementary products

6. Sales Forecasting (High Maturity)

• Daily monitoring of fulfillment rates
• Stock level optimization with supply chain
• Real-time inventory management across stores
• Handling of stock discrepancies between physical and system inventory

7. Team Training and Development (Medium Maturity)

• Focus on technical skills and adaptability
• Customer service training through third-party agency
• Monthly training sessions for customer-facing roles
• Challenge in finding and retaining e-commerce talent

8. Market Knowledge (High Maturity)

• Deep understanding of market size and growth potential
• Clear competitive positioning in the market
• Strong grasp of customer behavior and preferences
• Regular market analysis and trend monitoring

Key Challenges Identified

1. Last-mile delivery costs (16-18 SAR per delivery)
2. Maintaining high fulfillment rates
3. Stock accuracy between physical and system inventory
4. Talent retention in e-commerce operations
5. Technical infrastructure development

Strategic Initiatives

1. Partnership with Ocado for automation and efficiency
2. Development of dark stores/customer fulfillment centers
3. Implementation of subscription models
4. Enhanced mobile app development
5. Focus on customer retention through loyalty programs

Recommendations for Improvement

1. Strengthen fulfillment rate to reach 99% target
2. Further develop dark store concept to improve stock control
3. Enhance technical capabilities for better inventory management
4. Develop stronger talent retention strategies
5. Expand subscription model offerings

Innovation Focus

• Implementing robotic picking solutions through Ocado partnership
• Developing advanced mobile app features
• Creating personalized marketing campaigns
• Building automated fulfillment centers
• Integrating AI and machine learning for better forecasting

This analysis suggests that Panda's e-commerce division under Majed Sidani shows particular strength in customer segmentation, solution selling, and market knowledge, while areas like talent retention and technical infrastructure still have room for development. The operation demonstrates a strong focus on data-driven decision-making and customer-centric solutions, with clear strategic direction for future growth.