October 2008 Competitive Edge

Now is the Time to Add Value Beyond Price
By Jim Hertel

The Benefit
The current financial crisis is affecting all industry sectors, and food retailing is no exception. Economic pressure on retailers can quickly translate into margin pressures and price increase pushback for suppliers. As a result, suppliers need to understand, improve, and get credit for the total value they create beyond product and price. Doing so can help enhance senior retailer relationships, reduce margin pressures, and create sustainable competitive advantage.
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Sept 2008 Competitive Edge

Assessing Private Brands as Threat or Opportunity: A Supplier View
By Jim Hertel

The Benefit
It’s no surprise that in the current economic climate, food retailer interest in Private Brands is growing as fast as its shopper appeal. Many suppliers view the growth of Private Brands with concern and possibly alarm. The fear which suppliers feel is amplified by the limited availability of comprehensive Private Brands performance data; historically, it has been limited to aggregate sales and unit movement data only. But new performance data from Willard Bishop is emerging — including profitability; we’re developing a much clearer view of the full impact of Private Brands, and can better judge the opportunities and threats for suppliers.

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Competitive Edge Newsletter

The Rising Cost of Fuel and Its Impact on Grocery Distribution
By Paul Weitzel

The Benefit
Over the past 12 months, the cost of diesel fuel has increased by 47% and has tripled since 2002. Since most trucks in the grocery distribution system today are already cubed out, there isn’t a lot of slack in the system to absorb higher fuel costs. This means that the higher fuel costs are having a direct impact on supply chain profitability. As a result, many distributors are now pulling out fuel costs and adding surcharges to their service contracts to protect against sharp increased in the price of diesel. Read more