Restaurant Buying Groups - Savings with restaurant buying groups
There are twin pillars of doom we have to avoid in the restaurant business.
One is the whole cost and keeping of labor.
It drives our business (under if we're not careful).
Secondly, it's the raw cost of food and supplies.
Our margin can quickly be eaten up by high food and supply costs.
Especially, is we're trying to distance ourselves from fast food.
In light of both of these drivers, we have some pretty scary numbers to avoid.
How can we stay in the roughly 40% side of that equation?
We can't help with the labor side but there's good news on the food and supply side.
Group purchasing organizations for restaurants!
It's exploding right now and for good reason.
We're seeing savings up to 30% on food and supplies for restaurant and hospitality.
That's a big number.
It allows you to:
Let's understand how GPO's work for restaurants.
We'll cover these topics:
Lots to cover.
You can always quickly quote a recent or created invoice here:
Right now, let's find out how to save.
So...why are we even here?
Is that 30% in the title a real number?
It sounds too good to be true.
We see it every day.
On the same quality food or better.
Our favorite restaurant buying group is tied in with one of the big two nationwide food distributors.
We're getting access to any and all levels of food quality!
That's a big deal.
Most people initially think that the savings will come as a result of food quality.
Not at all.
In addition, we have complete online (and automated) ordering, tracking, and support if wanted.
So...where DOES it come from?
Let's understand what a restaurant buying group is.
So...what is a group purchasing organization (different name for buying group)?
A massive chain.
You still have your own deliveries. Your own account, Your own choice and control.
It's the pricing that's different!
Instead of negotiating with one of the largest food distributors in the US as a chain of 1 or a few restaurants..
You're going in there like a nationwide player!
It's that simple.
The aggregate volume of food purchases warrant much better pricing to the food supplier.
You can easily see what your expected savings will be here:
Just upload a current invoice and we'll send back the results with GPO pricing.
That brings up a good question.
Which companies can qualify for this savings with a GPO?
If you're just investigating GPO's, better hurry.
They're exploding in volume!
Here's the tidal wave:
With every joining member, the purchasing power gets stronger and it snowballs from there.
Definitely hitch a ride.
There's no downside!
Which companies can qualify for GPO discounted pricing?
The main requirement deals with volume.
This is more of a shipping concern in terms of how the distributor works but that's the basic requirement.
Keep in mind that as one of the top two distributors in the US, you can source almost anything you can think of (maybe not shark fin but then again..).
It's usually pretty easy to get to $1000/order even for a smaller restaurant with the full array of qualify food items and supplies available.
Everything from meats, beverages, produce to straws and napkins.
We can send over a full introduction to the available items with the quote here.
So...which GPO's offer these benefits.
Right now, there are two major GPO's that are worth considering.
If more join, we'll add them to the list but early adoption will only further separate them from new entries.
It's a function of buying power and they're getting more of it monthly.
Here are the two main group purchasing organizations for the restaurant segment:
Dining Alliance is tied in with Aramark.
Leverage Buying Group is tied in with a top 2 US food supplier.
The reviews we've researched have been much higher with the latter.
The pricing leverage also appears to be greater so that's been recommendation.
We can quickly quote expected savings on your actual invoice here:
Let us know if you have a preference or just want the best pricing and easiest process.
We'll quote accordingly.
How are these companies able to do this?
Why would the food distributors offer these discounts?
The big food distributors care about volume.
They operate quite differently smaller restaurant chains.
It's really two different worlds.
To them, it doesn't matter if they're delivering to a different location.
They just need a minimum volume and they're fine.
The logistics are all mapped out and they excel at that!
All we're doing is bringing together the purchasing!
Consolidating it across multiple restaurant chains.
You'll feel no difference to you.
So why would they do this?
By grouping together many small restaurant chains, there's an advantage to the distributor in terms of process and again..
Volume is the primary driver!
If they can bring supplies under the same purchasing agreement as food items (or vice versa), it's a win to them.
And a huge win to the restaurant!
Net net is that everyone seems to be happy.
It's a beautiful thing!
Let's see HOW beautiful for your restaurant.
In the end, the savings only matters if we like all other aspects of the day to day process.
In case you didn't notice, the restaurant business is a little hectic!
This needs to be easy.
For that reason, we like Leverage Buying Group.
You can quickly quote them here.
If things change, we'll update that on this website.
There's no cost for our service in helping restaurants get the most out of this new market segment.
We've made this really easy.
Most importantly, we're not dealing with unicorn numbers and pie in the sky math.
Here's how to quote your savings on food/supply purchases:
Usually, the savings is pretty impressive and people (owner/managers) have questions.
Feel free to reach out to us with any questions by email.
We'll walk through the mechanics of how the program works so you can be part of the fasting growing trend in restaurant purchasing.
With a lot of hand-holding.
We especially like Leverage Buying Group's process to get restaurants enrolled.
Once you've run the quote and addressed any questions, just contact us to enroll.
A quick email will do the trick.
We'll get in contact with you right away and get the process started.
Let's us know how we can help!
It's growing quickly.
With every new member, the strength of the purchasing pool increases.
You'll want to be in the pool as it will get pretty dry outside of it!
Let us see what you can expect.
We'll have a comprehensive comparison between the major GPO's shortly so check back.
Let's see if we can significantly bring down your food costs with a special kink in the food distributor's worldview.
You retain control and choice of food qualify and purchasing.
You just pay less!
Again, there is absolutely no cost to you for our services. Email 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"