Arena Round Table Discussion - April 2025

In partnership with IGD

28 April 2025

The discussion began by exploring the current challenges faced by wholesalers and operators, before moving on to the support they look for from their supplier partners and how the whole supply chain can work better together for the benefit of all parties.

Participants

Rhian Thomas

Director of Shopper Insights, IGD (Chair)

David Kinder

Head of Buying, Bidfood

Gemma Benford

Head of Sector Customer Marketing, Bidfood

Andy Milner

Director of Procurement and Supply Chain, WSH

Dawn Collison

Head of Procurement, Entegra

Philip de Ternant

Strategy Director, Creed Foodservice

Diane White

Head of Supply Chain, Mitchells & Butlers

Charlotte Crawford

Category Lead, Foodbuy

Cathy Amos

Heasd of Customer Marketing - Catering, Sysco

Event Review

10 years of change - and new pressures

The Brexit vote, pandemic and cost of living crisis have brought huge change to the foodservice industry and now changes in government policies plus upheaval to global trading relationships mean uncertainty looks set to be an ongoing factor for businesses.

As costs rise and complexity increases operators look to wholesalers for guidance, who in turn seek insight and support from their suppliers. Leading businesses throughout the supply chain have a collective responsibility to protect and support the industry, and need to work more closely together to do it.

Better data and insight is crucial to tackling challenges – and targeting opportunities

However, a lack of data is impacting business’ ability to respond to the challenges they face. More than ever, decisions need to be based on fact through analysis of data to understand sources of issues. Complicated legacy systems mean wholesalers and operators struggle to get to the detail of what is happening, putting them on the back foot compared to their retail counterparts when it comes to honing their proposition or gaining investment. Accuracy is also crucial. Legislation has increased complexity, and information needs to be regularly updated. All parties in the supply chain need to prioritise improving data provision.

At the same time, where there are opportunities consumer insight is needed to enable wholesalers’ and operators’ to be proactive and react quickly to changing consumer preferences.

Get the basics right: service and communication

It’s not only data and insight that needs focus but service and communication too. Stock availability is not back to pre-covid levels and to continue to provide a reliable service to operators, wholesalers are having to increase stockholding.

More transparent and proactive discussion of risks in the supply chain will improve efficiency and profitability. Talk supply chain to supply chain and discuss risks before they become an issue.

Wholesalers and operators want to expand their supplier base

The good news for suppliers is that wholesalers and operators want more of them to enter the market. Some already have incubator schemes and on-boarding programmes for new or small suppliers in place. A broader supplier base offers increased security, choice and innovation.

However, the foodservice model doesn’t work for everyone, and suppliers need to understand that successful retail products don’t always translate to commercial kitchens. Before entering the market they need to understand the categories they sit in and the value they will add (the “so what?”) from a chef’s point of view.

Suppliers should think about solutions – ensuring products are fit for purpose with minimum wastage. And if they have a brand, think about where it is appropriate and why a brand is more important to chefs or consumers than an own label

A tailored plan is needed

Generally, suppliers of all sizes need to demonstrate a deeper understanding of the nuances of the routes to market in foodservice, and differences in wholesalers’ business models and sector needs. Good ones spend time out in the market, talking to wholesalers and operators about their business, understanding their struggles, and then adapt their proposition to suit the specific needs of each business: do the research, identify a need and innovate to fill the gap.

The journey doesn’t end with a listing. Continuous support is needed to gain pull-through of sales. This is where working more closely with marketing can have a positive impact. Good suppliers can be goldmine of insight and marketing teams can work together on joint plans.

This is where brands can play a big part. They are a source of great insights, generally have bigger teams and understand the marketing levers to pull. Again, wholesalers and operators need the “so what?” to make it relevant to their business and their customers, not a one-size-fits-all plan.

Take a partnership approach

Whether working with a wholesaler or operator, the best and strongest supplier relationships are partnerships. Starting with understanding stakeholders, partnerships can evolve to co-develop products, train teams, align on sustainability targets, and so on.

These kinds of relationships seem few and far between. When they do occur success can be dependent on individuals. High staff turnover can prevent relationships from developing especially where knowledge isn’t transferred. A strong, consistent team is a key factor in successful relationships.

Five recommendations for suppliers

In the face of continued pressures and uncertainty all foodservice businesses need to work more closely together. The wholesalers and operators around the table had some final words of advice for suppliers:

1. Understand your customer. Spend time in the market, starting with chefs and their culinary needs. Don’t assume wholesalers are all the same, understand their strategy and form a two-way business plan.

2. Provide solutions with insights to back them up. The industry is hungry for data, insight and new perspectives from suppliers.

3. Talk about risks before they’re an issue. Be more transparent and proactive around upstream risks in the supply chain. And focus on improving accuracy.

4. Get a proper contract matrix. No matter the size of the business, make sure your customers know who is responsible for what.

5. When it comes to teams, choose people who want to play in foodservice. Enthusiasm and dedication to the industry counts for a lot.

The hospitality network