“Restaurants have changed a lot in the last 15 or 20 years. They are far more aware and knowledgeable about industry trends and product offerings than they were in the early ’90s,” says Brian Hopkins, VP of Sales and Marketing for Flanagan Foodservice Inc., an independent foodservice distributor based in Kitchener, Ont. “Today, if you’re a decent sized operator, you have a lot of relationships with the manufacturing community, product knowledge, product offerings and freedom of choice.”
Add a growing supplier involvement to that, and it translates to think-tank sessions with partnered vendors, where operators learn industry trends and taste test new food items developed especially with the restaurant in mind. And, the pendulum swings the other way — whether it’s a low-sodium soup or gluten-free bread, chefs are approaching their partners and asking “what can you do for me?” At the Burlington, Ont.-based SIR Corp., when the development team discovers a new idea for a menu item, “We may go back to [one of our suppliers] like Ace Bakery and say, ‘We’ve seen this in the States — can you develop it for us?’” explains Margaret Dowell, VP of Purchasing.
There’s a multitude of places to search for the perfect product. “Chefs have two options — go to the large distributor’s website and search [the product], or get out in your community and see what people are doing. There’s farmers and food all around us, and it only takes you to go directly to the source and put a face and a name to your tomatoes,” says Jason Labahn, executive chef of the Vancouver-based Browns Socialhouse, who set off on foot to find the perfect heirloom tomatoes. “We hit up different markets or go to Granville Island, [B.C.], where there’s this one stand that has these amazing brandy wine tomatoes,” explains the recently appointed chef.
It’s a whole new world of personalized solutions, especially in an era when suppliers are investing in advanced research facilities, such as Maple Leaf Foods’ 25,000-sq.-ft. ThinkFood culinary collaboration centre in Mississauga, Ont., which houses 60 employees, including executive chefs, culinary food scientists, microbiologists, home economists and biologists. “We don’t believe in a ‘one-size-fits-all’ ready-made solution; our customers know their operations better than anyone, so we take the time to understand their vision for new products, recipes and growth plans towards healthier and diet trend products — like natural ingredient use, antibiotic-free meat, gluten-free menu options, sodium reduction or portion- and calorie-controlled menu options,” explains Scott Strickland, senior director of Foodservice Marketing for Maple Leaf Foods Inc. in Toronto.
It’s not an uncommon practice. When SIR Corp. was entertaining a new smoked-bacon product for its Jack Astor’s menu, a nutritional analysis showed its sodium levels were off the charts. Luckily, all was not lost. Instead of scrapping the product, Dowell asked its supplier to redesign the recipe with 25-per-cent less sodium. “They brought it back to us, and we found it was to the other extreme, so we had them raise it 10 per cent,” recalls Dowell.
Larger operators can demand reformulated recipes, but many small operators have to get creative. The owner of Holy Chuck, a Toronto-based burger hotspot that sells up to 1,000 pounds of beef each week, spent four months searching for the perfect gluten-free bun. “The quality of my burger is amazing, and I didn’t want to hinder it with a bad bun. So, I went out, tested, asked around and finally discovered one,” says Johnny Prassoulis, owner and chef.
Interestingly, it was a similar story as the big chain A&W prepared for one of its latest menu roll-outs. After an 18-month search, the company introduced burger meat that doesn’t contain added steroids, hormones, preservatives or additives. “It was a significant change in understanding what we’re looking for, how suppliers could deliver on it, and how the tracking and verification procedures work so we’re certain we’re delivering what we promised,” explains Susan Senecal, chief marketing officer at A&W Food Services of Canada, Inc. in Vancouver. Luckily, the company was able to continue its partnership with its current distributor, which formed new producer relationships, including one with Spring Creek Ranch in Vegreville, Alta.
When it comes to negotiating the best price, it’s no secret buying greater volume secures deeper discounts. At Browns Socialhouse, which is approaching 60 units in Canada and the U.S., there’s power in purchasing. “We are talking about negotiating on a very different pricing field, because there’s not too many people that would have the luxury of being able to get 20,000 pounds of shrimp in one shot,” explains chef Labahn.
Brokering a good deal may come easy for chains such as Browns, but, for many independent operators, who lack buying power, forming strategic relationships can help them secure a good price, without high-volume purchases. Flanagan’s Hopkins says some operators are opting to stick to one distribution channel, so they can leverage their buy. “A lot of smaller independent operators believe they need to buy from three or four different distributors, but what that does is dilute their purchasing power. We feel that smaller independents unifying their purchases of core products under one distributor negotiate a better position on their basket of goods.”
But, often it’s worth it to keep the small guys around, especially in a pinch. “We may not always go to a big player to get 50 cases of a specific sauce or cut of meat, so we’ve learned you need to keep those partnerships with smaller vendors alive, because they are a little bit more nimble and easier to react,” SIR Corp.’s Dowell explains.
The right price may kick-start a partnership, but, for many operators, stellar service keeps them around. “Price is obviously taken into consideration, but it’s not the be all and end all,” says Dowell, who also named quick response times, updates on trends and market predictions as further benefits. And, now, coupled with loyalty programs, online menus, newsletters and recipe ideas, operators have it all. But, despite the abundance of online ordering, social-media platforms and smartphones, there are some that still treasure face-to-face interaction with their suppliers. “I’m going to buy more product from somebody who is coming to see what I’m doing, who shows interest in what’s going on with me, my restaurant and my group,” says Browns’ Labahn.
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