What’s it all about?
Do you ever wonder why the largest chain restaurant operators use a single distributor to deliver 90%+ of their products?
- Because they build a partnership that is mutually beneficial in that it:
- Allows the operations staff to focus on high return activities rather than evaluating bids, or worse shopping at the club stores.
- Allows the distributor to focus on reducing costs rather than defending their share of business, or adjusting to changing business patterns on a week-to-week basis.
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.
Is the Independent Restaurant more profitable than the Chain Restaurant?
- NRA Industry Averages (net profit)
- Independent Restaurants 2%-6%
- Chain Restaurants 9%-12%
What is the most significant step an independent operator can take to improve their income ?
- Select a Primary Distributor.
- Hopefully Pate-Dawson, but if not us select someone else!
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?
- reduce your cost of goods.
- manage your theoretical food cost.
- reduce your operational expenses.
- assist you in building your business volume.
- assist you in increasing your bottom line.
- You should feel that we are, in fact, a partner in your business.
- You should feel that the value provided by us extends far beyond the products we deliver.
- We should always talk about your business not our business.
How do we reduce your cost of goods?
- 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 or a Chuck Flat.
- Provide information on dollars spent.
- Often a restaurant uses as many as 400 different items.
- Often 15 or fewer items account for 60% of the dollars spent.
- Point out unusual usage patterns.
- Analyze menu mix.
How do we help reduce your cost of goods?
- On the top 15-20 items that make up 50-60% of the items you sell to insure lowest possible cost
- 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.
How do we help you 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.
How do we help reduce your operational costs?
- 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.
- Offer programs to reduce costs on trash removal, linens, insurance, etc.
- Staff Training-including in-depth food cost management.
How do we assist you in building your business volume?
- Provide Trend information
- Co-op advertising
- Ad design
- Promotion design
- Staff Training
- Promote your restaurant within our own organization.
How can we help increase 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.”
Our Business Premise
- You will always be able to talk to the person in charge.
- We must be partners with our customers and behave as partners, which is to say that we must strive continuously find ways to reduce costs for both parties.
- We must continuously work to understand our partner’s needs, and always take the long term view of our role in filling those needs.
Contact Mike Turner, Director of Broadline Sales at (919-344-9859), or our Customer Service staff (800-899-3921) with any questions or to learn more!