I've spent the last three years obsessing over how food products get from A to B. From local makers to local retail. And here's what I found:
You're missing out. Actually, scratch that.
We're all missing out.
If you're in Southern Ontario, you're surrounded by talented chefs and food entrepreneurs. It's a fact. And yet, if you visit five different grocery stores, you'll struggle to find a meaningful difference in the products on offer.
And it's because of the D-word.
Distribution.
The conventional distribution system doesn't work for artisan makers. It is expensive. It demands big production, big shipments, and big sales. The result? Just 10% of food makers get the spotlight and a chance on the shelf.
I think we deserve better. So, we're doing something about it.
At Starling, we're launching Taste it First very soon. It's how we're helping grocery stores, cafes, and other food retailers discover and source Southern Ontario's most outstanding food products from thoughtful local makers, big and small.
We'd love to hear the perspective of the CFIN community so please tell us about your own experience in wholesale and what you would like to see improved.
And, if you're a retailer and food maker in the GTA you can also join the waitlist here 👉 http://bit.ly/tasteitfirst
I echo this, Richa!
At Beck's Broth we know we are a premium brand so we're focusing our energy towards more premium health stores & cafes. At our current price point it wouldn't make the most sense to invest our trade/marketing spend at conventional grocery. Distribution is an investment that's worth it for us when we are working with health food stores! I will say - being a shelf stable product has been a huge blessing. I couldn't imagine distributing a frozen product at scale as a small biz.
Looking forward to seeing what you're building! Feel free to reach out if you have any questions. Hehe thanks for the tag @Adrianne Assenheim
- Domenique
@Beckie Prime @Domenique Mastronardi @Richa Gupta @Trisha Bower @Katie Gardon @Maju Perezegana I am sure you've got some interesting insights here!
Thank you for tagging me @Adrianne Assenheim. I think the problem is a bit more complex and distribution is just one part of it.
Consumers, believe it or not play a big role, they tend to want consistency most times at prices bigger brands can deliver. Local ends up being a novelty to try once in a while. A lot of grocers implemented local policies to give local brands/products a chance however their sales are dismal as compared to big national brands.
A lot of produce that does grow in Canada gets consumed by Canadians. CFIA has rules about labeling at retail that inhibits some very small local food producers to sell at grocers.
I don't have the right answer to this but it is a challenge for sure.
I appreciate the insights here! Absolutely agree that there are a multitude of factors at play here and that ultimately a grocer or other wholesale space will look to carry products that consumers want.
With that said, it certainly feels like there is a chicken and egg dynamic for small and medium makers where you need to already be big to get big. The corollary to this being, bigger makers can then tap into more efficient distribution channels and be more competitive for consumers.