Retailers offer advice to suppliers at FPFC luncheon
Retailers offer advice to suppliers at FPFC luncheon
LA MIRADA, CA -- A panel of Southern California retail produce executives discussed vendor relationships during the regular bimonthly membership meeting of the Fresh Produce & Floral Council, held here April 9, which drew an overflow crowd of 250 industry participants.
Roger Schroeder, vice president of produce and floral for Stater Bros. Markets; Rob McDougall, vice president of produce for Gelson's; and Mike Yuro, produce buyer for KV Mart, discussed what vendors should and should not do when trying to sell them fresh fruits and vegetables, floral products and complementary items.
Mr. McDougall said that Gelson's is an upscale chain of 18 stores with a very discriminating clientele. "Don't tell me that you are doing great with a particular product at Vons or Ralphs (Southern California's largest chains). I want something different. It is not an advantage that the item does well at those larger chains."
Mr. Schroeder echoed the sentiments of all three panelists when he said that he does accept cold calls. He is particularly interested when the supplier can offer a better product or a unique service, but in any event, he will take a call and listen to a pitch. He said that he would prefer a telephone call to an e- mail.
Mr. McDougall said that he is open to new pitches but he prefers to be contacted by e-mail, and it is an absolute must that the supplier understand the Gelson's customer. "Send me an e-mail. If I am interested, I will call you back. Otherwise, I don't want to waste my time or your time."
Mr. Yuro called himself a "one-man show" and said that he does business the old-fashioned way by buying much of the product for his 21 stores off the Los Angeles Wholesale Produce Market. He added that he is always willing to listen to a deal, and his value-conscious customers want good quality first but a good price is also important. The longtime Southern California retailer told the audience of suppliers that the worst thing they can do is "ask me what I am paying."
He said that quality, price and service are the keys to getting his business, but that he "will hang up on you if you ask what I am paying my current supplier." Mr. Yuro said that he does business with most of the Los Angeles distributors and wholesalers and is always looking for new suppliers. His customers are on the value-end of the spectrum and are not big consumers of organic or pre-packaged items. Bulk commodities are still his best sellers.
Mr. McDougall said that his buyers are also on the Los Angeles Wholesale Produce Market every day and buy about 50 percent of their volume from the market. He said that the market is an excellent place to introduce him to a new product.
Mr. Schroeder, who oversees about 165 stores, plugged the upcoming FPFC expo, saying that the exposition floor is an excellent place for suppliers to introduce Stater Bros. to new items. He walks the floor with his buyers, and a good number of produce managers from the chain also participate. After the expo, the Stater Bros. produce executive visits with the other attendees to discuss what they saw and what might sell in their stores.
Concerning existing suppliers, Mr. McDougall said that the key to maintaining a good relationship is communication. If an item gets to his warehouse and it is different than what was ordered -- for example, a different sized piece of fruit -- he said he better know about it ahead of time. The Gelson's official indicated that in the world of fresh fruits and vegetables, he understands that circumstances can influence delivery, but he does not like surprises.
Mr. Schroeder said that food-safety concerns are increasingly important and that suppliers have to meet industry standards with regard to third-party audits and independent verification to even be considered for approved vendor status.
Although Tesco's Fresh & Easy stores are receiving a lot of press, the three retailers said that they have felt no effect from the opening of those stores in Southern California.
Both the Gelson's and the Stater Bros. representatives said, however, that the kind of value-added items the Tesco chain is featuring are growing in popularity.
Roger Schroeder, vice president of produce and floral for Stater Bros. Markets; Rob McDougall, vice president of produce for Gelson's; and Mike Yuro, produce buyer for KV Mart, discussed what vendors should and should not do when trying to sell them fresh fruits and vegetables, floral products and complementary items.
Mr. McDougall said that Gelson's is an upscale chain of 18 stores with a very discriminating clientele. "Don't tell me that you are doing great with a particular product at Vons or Ralphs (Southern California's largest chains). I want something different. It is not an advantage that the item does well at those larger chains."
Mr. Schroeder echoed the sentiments of all three panelists when he said that he does accept cold calls. He is particularly interested when the supplier can offer a better product or a unique service, but in any event, he will take a call and listen to a pitch. He said that he would prefer a telephone call to an e- mail.
Mr. McDougall said that he is open to new pitches but he prefers to be contacted by e-mail, and it is an absolute must that the supplier understand the Gelson's customer. "Send me an e-mail. If I am interested, I will call you back. Otherwise, I don't want to waste my time or your time."
Mr. Yuro called himself a "one-man show" and said that he does business the old-fashioned way by buying much of the product for his 21 stores off the Los Angeles Wholesale Produce Market. He added that he is always willing to listen to a deal, and his value-conscious customers want good quality first but a good price is also important. The longtime Southern California retailer told the audience of suppliers that the worst thing they can do is "ask me what I am paying."
He said that quality, price and service are the keys to getting his business, but that he "will hang up on you if you ask what I am paying my current supplier." Mr. Yuro said that he does business with most of the Los Angeles distributors and wholesalers and is always looking for new suppliers. His customers are on the value-end of the spectrum and are not big consumers of organic or pre-packaged items. Bulk commodities are still his best sellers.
Mr. McDougall said that his buyers are also on the Los Angeles Wholesale Produce Market every day and buy about 50 percent of their volume from the market. He said that the market is an excellent place to introduce him to a new product.
Mr. Schroeder, who oversees about 165 stores, plugged the upcoming FPFC expo, saying that the exposition floor is an excellent place for suppliers to introduce Stater Bros. to new items. He walks the floor with his buyers, and a good number of produce managers from the chain also participate. After the expo, the Stater Bros. produce executive visits with the other attendees to discuss what they saw and what might sell in their stores.
Concerning existing suppliers, Mr. McDougall said that the key to maintaining a good relationship is communication. If an item gets to his warehouse and it is different than what was ordered -- for example, a different sized piece of fruit -- he said he better know about it ahead of time. The Gelson's official indicated that in the world of fresh fruits and vegetables, he understands that circumstances can influence delivery, but he does not like surprises.
Mr. Schroeder said that food-safety concerns are increasingly important and that suppliers have to meet industry standards with regard to third-party audits and independent verification to even be considered for approved vendor status.
Although Tesco's Fresh & Easy stores are receiving a lot of press, the three retailers said that they have felt no effect from the opening of those stores in Southern California.
Both the Gelson's and the Stater Bros. representatives said, however, that the kind of value-added items the Tesco chain is featuring are growing in popularity.