Supporting a Store Brand

For private labels, price can be a sensitive issue. National brands tend to set pricing, and private labels typically sell at a 25 percent to 30 percent discount. If farmers are facing a difficult year, costs may be driven up. Retailers may need to accept reduced margins, consider offering their consumers less of a discount relative to major brands, or find a cheaper source for their ingredients.

To secure greater flexibility in pricing and availability, consider developing a stable of suppliers for any given commodity. If one is unable to fulfill a contracted amount, another may be able to make up the balance. Most processors allow for multiple suppliers, ensuring a higher assurance that end demand can be met.

Stay on Top of Special Requests

Consumers are increasingly seeking out foods with specific qualities: certified organic, kosher, vegan, and gluten-free are just a few of the overriding buzzwords on grocer’s shelves. For some consumers, their selections have a real impact on their overall health and well-being, so it is critical to find vendors and suppliers with reliable and traceable sources. Maintain any relevant certifications, in addition to those for food safety, to provide customers with documentation if requested.

Traceability is an essential part of the manufacturing process. The ability to follow a material or product through all stages of the supply and distribution chain is vital to consumers’ safety. A fast response to food safety issues not only helps protect public health and safety, but is instrumental in protecting the viability and longevity of an organization and its reputation.

For retailers of private label products, traceability also provides important information on the quality aspect of the finished good. If a particular product receives rave reviews, manufacturers can pinpoint the farms and their specific varieties that contributed to its superiority, allowing manufacturers to refine their recipes. Likewise, products that underwhelm consumers can be evaluated down to the suppliers, and recipes again can be tweaked to make a more palatable finished product.

Quality From Farm to Fork

Fundamentally, choosing a supplier comes down to need, availability, qualifications, and price. Within these parameters, there is room for implementing practices that can help protect the integrity of a sourced product and, ultimately, the final product delivered to consumers. Evaluate all partners closely and maintain a commitment to frequent audits to ensure quality from farm to fork.

Boyd is FSQA manager of Trailblazer Foods, which produces co-pack, private label, and branded products. Reach him at [email protected]. Jackson is director of purchasing for Trailblazer. Reach him at [email protected].