Restaurant Buying Groups - Group Purchasing Organizations for Restaurants
The restaurant business can be like fighting the tide.
It's a 24 hour/365 day business complete with general management operationational responsibility of all areas.
Not even parenthood.
The task of purchasing from all kinds of suppliers is a full time job of its own: food supplies, packaging, & equipment, uniforms?
It hurts just to talk about it.
You got into this business to follow your passion for food.
Let's face it.
The problem is... it takes to much time to constantly shop for the best prices while maintaining quality?
You don't have the time or energy to shop your vendors price lists every year.
You also don't have the purchasing power of a major national restaurant chain.
Need some relief?
Pass this chore off to the experts so you can focus on the reasons you got into owning a restaurant:
The Customer Experience.
In the meantime, we'll likely save you a bunch of money and you'll be glad you did.
Try a restaurant buying organization or Group Purchasing Organization: GPO.
The idea is simple:
Really, It's that easy.
With only about 11% of the independent restaurants in the U.S. currently purchasing through larger buying groups, there's really a paradigm shift happening in the industry right now where independent restaurants can change how you purchase, buy the same products, but get access to better prices.
Here's an idea, before you join a restaurant buying group, or Group Purchasing Organization
make sure you will save money.
We will give you a free cost analysis to make sure and take the guesswork out of it.
Just run your quote here based on actual invoices and we'll send over the actual GPO pricing:
Otherwise, let's get into it!
You can jump to any of these main categories here:
First, let's compare the three big approaches to purchases.
National restaurant chains have a competitive advantage with larger resources on so many different levels:
What can you do?
Your strengths are different as a local restaurateur.
You can focus on creating fresh and unique food where the craft and taste is the priority, and the food isn't massively processed.
But, it still leaves you with all the challenges of operating the business.
Take advantage of a GPO's volume purchasing power!
Cutting costs = increasing profit.
That's why you're in this business right?
Best part, as they add members, the volume increases and the prices keep going down so member savings get better.
You can get a quick quote on actual invoice here to check this pricing advantage:
In any industry, there are always choices on who to buy from.
This is true for GPO's as well. We have a few to chose from.
All the best foodservice Group Purchasing Organizations provide some very simple services to you at a great value.
Where we start to see certain companies break from the back deals with the particular industries, pricing, and partners.
There 5 major companies that loosely fit the mold of restaurant group purchasing organizations:
Of the 5, it really depends on your market segment.
We go through the reasons why at our Restaurant Buying Group Comparison page which is a must read!
You can always quote an
invoice to see if it even makes sense to look further.
Any interest in saving money on the very same food products you're already purchasing?
Then you're probably a good candidate.
The thousands of products and services available is so wide, you can pick and choose which products individually you want to utilize the Group Purchasing Organization.
There are some items where it doesn't matter how much money you spend, all brands are pretty much the same.
Let's face it.
Salt tastes like salt.
Plastic forks are all pretty much plastic forks.
If EVERYTHING tastes like chicken you're buying from the wrong place and it's time to rethink things.
Whether that's produce for you, or steak, we can help pick and choose where your money is best spent.
So how do we gauge what to expect before even starting?
That tells you a lot.
A large majority of the remaining 10% stopped operating.
If 50% of restaurants go out of business and our favorite GPO has a 90% retention rate....
That's a good place to be.
First, take advantage of the pricing program in two major areas cost wise:
A major chain may purchase at up to 40% less than an independent restaurant due to volume contract pricing.
How can you afford NOT to work with a GPO?
Email us with any questions.
Our favorite GPO will save you time!
New enrollees are always focusing on the savings (which are there) but don't realize that the better GPO's can do a lot more!
Use the GPO's expert teams of staff instead to compare suppliers, prices, track transactions, shipments, & price negotiations etc..
The GPO will act as your internal in-house:
This way, your hands are free to run your restaurant(s).
What about Sales Support?
If something goes wrong, you have a 3rd party advocate for purchasing!
Don't take a chance on getting stuck fighting your own customer service battles.
You'll have access to our expert staff & management for quick resolutions on little and big issues.
They'll solve the problem.
You know that sick in the gut feeling you get in your stomach when you see a Salmonella or E Coli scare on the news and you're wondering if you have to worry about the food purchased in your restaurant?
Leverage a good GPO's tracking and sourcing systems in a food health scare instead of sitting, waiting, wondering.
What else benefits you?
Get access to annual SaveServ events, connecting the manufacturers with independent restaurants.
I know what you're thinking... 'what's the catch?' It's free to join, and I just start saving money? Where can I get burned?
Group Purchasing Organizations are a great resource of information regarding trends and innovations in the industry you don't have time keeping up with.
Work with a GPO who will bring the important items to you!
This leads us to...
Apples to Apples?
For one, all your preferred products may not be available.
That doesn't mean you can't source them directly.
It's very common to have a local food source for that perfect item.
Take advantage of it as needed!
Since manufacturers and suppliers are different companies we're not going to have the exact brand name product you're used to available in the GPO package suite, so check the lists carefully.
Every big food supplier whether local or via Group Purchasing Organziation has their own branding.
It's not the name or logo that matters.
It's the qualify level!
It's this lack of 'UPC's' or Universal Product Codes which creates some complications for matching products across suppliers when price comparing.
If you're ordering small amounts from a range of suppliers and used to having a shipment placed and delivered whenever you want, this may change.
Some GPO's may require larger orders in general, to be delivered at regular intervals.
But, typically well worth it for the cost savings.
The main reason restaurants are switching to GPO's in droves is cost.
It's a simple calculus.
If we can get the same qualify food and supplies at a leverage pricing, that's easy.
So...what can we expect?
A few factors affect the expected savings:
The easiest way to see is quote an sample invoice below.
It can be a real invoice or just one you want to test.
Use real items though so you can get a sense of expected savings.
Take the guesswork out of it and request your free cost analysis today and we'll tell you exactly how much you'll save.
We're happy to help with any questions by email.
So, yes, GPO's are growing..and there's plenty of room to grow.
Jump ahead of your competition and start the savings today!
Ready to see if saving money by joining a Group Purchase Organization is right for you?
There are several ways to get started.
You can request your free cost analysis by contacting us via:
Email us and we'll walk you through the steps.
Complete this request for free cost analysis request form and we'll get started on your case right away.
Again, there is absolutely no cost to you for our services. Email us at firstname.lastname@example.org
"No... Thank you. I wish I had found group purchasing earlier. It's a no-brainer"
"We have seen a reduction of 18% for last quarter for one location. Can't wait to roll it out other sites."
"The cost savings I realized on purchasing went right back into upgrading our meat and produce quality. We basically subsidized the needed move to higher grade at no cost."
"Thank you so much! Very happy with service. If there is any way I can contact supervisors to let them know about your great service let me know"
"I'll be honest...I didn't believe the pre-rollout saving estimates. Seemed to good to be true. I'm pleasantly wrong on that"
"After test at one location, we're ready to move forward across chain. Great resource to have. "
"Wow, I can't thank you guys enough for your help...I couldn't imagine trying to tackle this on my own!"
"Thank you so much for your marvelous work. I don't want to tell any of my restaurant buddies so this stays with us"