Distribution Channels
You've identified your target retail trade channel, but how do you get your product delivered? You may want to consider taking your products to market through the following distribution channels:
 | Specialty/Gourmet Foods Distributors: Mainly dry
groceries.
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| Health/Natural Foods Distributors: Mainly dry foods,
sometimes ref. and frozen.
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| Rack Jobbers: Dry groceries, usually high volume items
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| Wholesalers: These supply supermarkets with most of
their inventory. Huge variety of groceries, dry, frozen, refrigerated, frozen,
plus HBA, and sundries.
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| Warehouse Distributors: Anything and everything in
pallet quantities.
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| Food Service Distributors: Anything and everything a
food service operation uses.
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Other Distributors: Meat, Produce, Magazine, Mail-Order fulfillment and other distributors offer alternatives to the above. Each has its own unique up and down sides. Consider each carefully before making a move!
This list is not absolute. Local unions can create exceptions, and some distributors are department-specific, but this list gives you an idea of the options available to deliver your product to the stores.
Strategic development of your distribution base is key to ensuring long term success and profitability of your food product. Positive relationships with key distributors in the trade is essential to your success. Create mutually profitable partnerships which ensure that your distributors will want to do business with you. Make all of your decisions as to the best combination of distributor types (even specific distributors) that will maximize the potential of your product based on facts. Determine your short and long-term distribution goals: are you seeking local or regional distribution to a specific trade channel, or national saturation across multiple retail channels? You have to know who can service your product best, and at the best price.
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