Supermarket Distributor type of stores

For this website we’ll use the term supermarket to include all large stores including grocery stores, superstores and large pharmacies. If you are interested in Wholesale Products visit our Wholesale Portal.

Grocery Stores

Let’s break it down even further starting with Grocery Stores. These stores are stores like Albertson’s, Ralph’s, and Safeway but they can also be smaller chains or even independent stores. Not every grocery store has to be a giant 1,000 store. It is common to have single large grocery stores in many towns. It is also very common to find small 5 to 10 store chains and almost every single state has medium chains with 50 to 300 stores.

Superstores

Superstores are the new breed of stores. They are Costco, Sam’s Club and Wal-Mart. These stores are large and buy large. By the way, make sure you visit our Distribution Software Informative portal.

Pharmacies

These pharmacies can be very large; you get big 4,000 store chains like Walgreen’s. You also have chains like CVS, Rite Aid, Longs, Sav-on as well as medium and small chains. We’ll include all of these under this supermarket website because they are no longer just pharmacies. They are big stores selling novelties, bath and beauty items, camping items, toys, etc. They are now supermarkets.

Now that you know what types of stores we consider supermarkets let’s find out how to sell to them. It does not matter if you are a manufacturer, importer, wholesaler of distributor. You can sell to them. Sometimes it does not even matter if your price is more expensive than other competitors; there are many ways to sell to these stores under many circumstances.

Once you have your product, package and overall strategy and you determined your pricing including the retail pricing and wholesale pricing it’s time to continue. It is important to know all the types of pricing you need to sell to not only chains but also c-stores and wholesale distributors. Put a little time into this now and you’ll save lots of time in the future. Remember these retail chains will want to make 40% on this radios (it varies for different categories). If you have a middle man, broker or distributor they can make from 5% for a broker to 20% or 30% for a distributor. Some DSD full service distributors make as much as 50% of this type of product. Believe me, I was one of them. If you need help with your pricing strategy please fill free to contact us using the contact form.

OK, so you have your pricing, it’s time to determine exactly how you will sell to the distributor. Will you drop ship your products? Will you deliver them to a central warehouse or will you deliver them to each individual store?

This is probably one of the most difficult questions in the industry. You see, even though delivering full truckloads to a single location sounds like a lot of fun it’s not that easy and sometimes not very profitable. You have to consider any fees that the stores has for this type of program called Warehouse Program. You might be charged slotting fees, fees for broken product, some time they will charge you for advertising. Not every situation is the same and not every supermarket is the same. You can read more about Warehouse Programs and how to sell truckloads at a time under the next section called Warehouse Programs.

If you would like to learn about how to sell to supermarkets using Direct Store Delivery (DSD) please visit www.DirectStoreDelivery.com
This site will show you the benefits us direct delivery or using distributors to sell your products.

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