Background
Sell-Thru Services, Inc. (STS), established in 1987 and headquartered in Austin, Texas, was a prominent provider of sales, marketing, information, and retail services tailored to the convenience store and small outlet formats. The company's mission centered on delivering comprehensive solutions that addressed the unique needs of the small-outlet universe, thereby enhancing product visibility and sales performance for its clients. STS's vision was to be the leading partner for brands seeking to penetrate and excel in the convenience retail sector. Its significance in the industry was marked by its extensive network, servicing over 70,000 unique retail outlets and headquarter buying locations across the United States.
Key Strategic Focus
STS specialized in offering a suite of services designed to drive retail sales growth, including retail services, headquarters sales representation, information products, and specialty services. The company's strategic focus was on leveraging its proprietary information systems and a collaborative approach between retail sales professionals and clients to optimize product placement and sales strategies. By concentrating on the convenience store channel, STS aimed to provide targeted solutions that addressed the specific challenges and opportunities within this market segment.
Financials and Funding
In 2012, STS was acquired by Acosta Sales & Marketing, a leading full-service sales and marketing agency in the consumer packaged goods (CPG) industry. This acquisition was part of Acosta's strategy to enhance its convenience channel expertise and expand its reach and coverage in the sector. The financial details of the acquisition were not publicly disclosed.
Leadership Team
Prior to its acquisition, STS was led by a team of experienced professionals:
- Chris Lusher: President and Chief Executive Officer, who continued with Acosta post-acquisition.
- Vince Sullivan: Marketing and Business Development Director, responsible for targeting business opportunities, managing the Hispanic and Specialty Services Divisions.
- Mark Mathiasmeier: North Central Zone Director, overseeing the headquarter and retail sales force in the North Central United States.
Their collective expertise in sales, marketing, and category management significantly contributed to STS's success and seamless integration into Acosta's operations.
Competitor Profile
The convenience store sales and marketing sector is characterized by a competitive landscape with several key players:
- Crossmark: Offers sales and marketing services with a focus on retail merchandising and in-store solutions.
- Advantage Solutions: Provides a range of services including headquarter sales, retail merchandising, and marketing solutions across various retail channels.
- Daymon Worldwide: Specializes in private brand development and retail services, offering comprehensive solutions to retailers and manufacturers.
These competitors, along with STS, have played significant roles in shaping the strategies and operations within the convenience retail sector.
Strategic Collaborations and Partnerships
STS's acquisition by Acosta Sales & Marketing in 2012 was a strategic move that combined STS's specialized expertise in the convenience channel with Acosta's extensive resources and broader market reach. This partnership aimed to enhance service offerings and provide comprehensive solutions to clients in the CPG industry.
Operational Insights
The integration of STS into Acosta's operations allowed for the leveraging of STS's proprietary information systems and established relationships within the convenience store sector. This strategic alignment enabled the combined entity to offer enhanced services, optimize product placement strategies, and drive sales growth for clients.
Strategic Opportunities and Future Directions
Post-acquisition, the focus has been on capitalizing on the combined strengths of STS and Acosta to expand market presence, develop innovative sales and marketing strategies, and adapt to the evolving needs of the convenience retail sector. The integration aimed to position the company as a leader in providing comprehensive solutions that drive product visibility and sales performance in the convenience channel.
