The Challenge
A frozen food manufacturer in the process of updating its production line wanted to maximise the value they achieved from the sale of their obsolete machinery.
Our Solution
- Active worked with the frozen food manufacturer to develop a dealer promotion
- Active established the value of the machinery via the manufacturer’s current disposal route
- Active agreed to purchase the machinery in exchange for a higher ratio of Trade Credits
- The machinery was sold using the manufacturer’s established disposal route
- The frozen food manufacturer used the Trade Credits to increase their media budget part funding TV, sponsorship, press and outdoor activity
- The client received greater value in media than selling the machinery directly would have generated in cash
- Active has subsequently purchased further machinery from the client
The Benefits
- Received higher value in Trade Credits for their obsolete machinery than if they had sold the machinery for cash
- Value was realized on spending the Trade Credits as part payment for media
- Received increased media spend from the client
- Made profit from the sale of the machinery and Trading the media campaign
