Why a Partnership?

What is the most significant step an independent operator can take to improve their income? Select a Primary Distributor. Hopefully, Y. Hata & Co., Ltd., but if not us, select someone else!

Consider the following questions:

  1. “How different would your business be if your foodservice salesperson never SOLD you anything?”
  2. “How much more profitable would you be if you knew your foodservice professional shared your goal for highest quality food and minimum cost?”
  3. “How much better would your organization run if you knew that foodservice professionals were looking for ways to streamline your operation and maximize your efficiency and success?”

 

The benefits of using a single distributor to deliver 90%+ of your products are innumerable. A savvy distributor can:

  • Reduce your cost of goods.

    • Rationalize Products: Be sure every single product used is the best possible value and is the right item for the intended use. Example: Should you be using a Top Butt vs. a Chuck Flat.
    • Track Usage: Provide information on dollars spent. Often a restaurant uses as many as 400 different items. Often 15 or fewer items account or 60% of the dollars spent. Point out unusual usage patterns. Analyze menu mix.
    • Negotiate contracts/rebates on the top 15-20 items that make up 50-60% of the items you sell to insure lowest possible consistent costs. Do this BEFORE the menu is costed and printed. Insure that the process is continuing and consistent with the menu review cycle. Group similar customers together when combined volumes may lead to manufacturer’s volume rebates. Facilitate meetings with top manufacturers to solicit rebates.
  • Manage your theoretical food cost.

    • Advance warning on cost changes.
    • Sponsor/share costs on a system to track theoretical food cost.
    • Provide ongoing Menu analysis.
    • Allow you to manage against a theoretical food cost on a weekly basis by downloading changes.
    • Develop menu specials to offset product cost fluctuations.
    • Develop systems to manage inventory.
    • Manual or automatic computer links.
    • Automate the process where possible.
  • Reduce your operational expenses.

    • Single Point of Contact who becomes another set of eyes.
    • Single set of paperwork.
    • Less time invested in ordering, receiving, inventory.
    • Develop discounts/share costs of management software.
    • Staff Training-including in-depth food cost management
  • Assist you in building your business volume.

    • Provide Trend information
    • Co-op advertising
    • Ad design
    • Promotion design
    • Staff Training
  • Assist you in increasing your bottom line.

    • Thorough quarterly business reviews.
    • Supply new menu ideas constantly.
    • Supply ideas to achieve operational efficiencies.
    • Supply comparative financial information.
    • Offer programs that provide other resources to allow the independent operator to “even the playing field."

In turn, this one-on-one partnership enables you to focus on:

  • High return activities rather than evaluating bids, or worse, shopping at the club stores.
  • Reducing costs rather than defending their share of business, or adjusting to changing business patterns on a week-to-week basis.

So if that’s the case, why do many independent restaurants use as many as 7-8 distributors to deliver their products?

  • Because there is no trust.
  • Because many salespeople either do not have the ability or the time to really understand your business.
  • Because there is no joint commitment.
  • Because the independent operator has no leverage beyond the distribution level.
  • Because there are long-standing relationships.

As your partner, we should understand your business!

  • What are your dreams for the business?
  • What about the business keeps you awake at night?
  • We should help you reach your dreams and overcome your problems.

What should you expect from us? We should:

  • Reduce your cost of goods.
  • Manage your theoretical food cost.
  • Reduce your operational expenses.
  • Assist you in building your business volume.