Observations for Suppliers
James Burke
James Burke & Associates
Observations
• Be Cost Competitive
– The number one topic raised
– Lower costs and higher volumes
– Consider unbranded product
• Irish Provenance
– Strong preference to use Irish produce
– Some cited “Irishness” more important
than price
– The door is half open
Observations
• Keep up with the Pace of Change
– Foodservice sector is going through
enormous change
– Suppliers need to change their model quickly
– Key areas for suppliers:
• Innovation
• Key account management
• Commercial pricing
Observations
• Create a Foodservice Strategy
– Develop:
• Foodservice strategy
• Foodservice business plan
– Define your foodservice USPs
– Recognise different needs of the
foodservice sector
• Case Sizes
• Branding
• Delivery Frequency
– Create an aggressive targeted sales culture
Observations
• Understand the Operator
– Research specific operators prior to approaching
– What does the buyer look for
– Learn how they do business
– Speak with other producers to gain knowledge
• Understand the Customer
– Study consumer research
– Observe consumers in the foodservice
environment
– Understand the demands customers are making
Observations
• Have a Distribution Plan
– Have a distribution plan in place to supply all outlets
– Some operators prefer direct supply, the majority will
nominate a specific distributor
– Consider direct supply Vs. supplying through a
distributor
– Choose a distributor by reviewing several before you
make the choice
– Consider national/regional options
– Put targets into place
– Meet quarterly at a minimum
– View the complete supply chain
Recommendations
• Develop Marketing Material
– Initial contact can have huge influence on
potential successful listings
– Foodservice operators as important as retailers
– Be clear on why you are unique
– Supplier toolkit:
• Brochures
• Product specification sheets
• Company profiles
– Threat from many “sleek” import proposals
Observations
• Develop Proactive Innovation
– 90% of innovation is tweaking
– 5% new to the producer
– 5% radical
– Don’t wait to be asked…be proactive
– Bring solutions and concepts
• Be Consistent
– Need to achieve high order fill rates
– Need consistent service levels
– Need product consistency every day
Next Steps!
“Opportunity is missed by most
people because it is dressed in
overalls and looks like work”
Thomas Edison