Getting Your Food Business to Wholesale and Retail Markets ( Part 2 of 3)
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Getting Your Food Business to Wholesale and Retail Markets ( Part 2 of 3)
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Text Ms June at Doing the Do in Business
Wholesalers and retailers play a critical role in helping food products reach the consumer, but they serve very different functions in the marketplace. Wholesalers purchase products in bulk and sell them to businesses such as grocery stores, restaurants, convenience stores, and institutions, allowing food brands to scale through higher volume and broader distribution. Retailers, on the other hand, sell products directly to the consumer through outlets such as independent grocers, specialty food shops, farmers markets, convenience stores, and large chains. To work with either channel, food businesses must carry product liability insurance, which protects the brand in the event of illness, contamination, or product-related claims and is often required by buyers before products can be placed on shelves. Understanding the differences between foodservice wholesalers, regional distributors, national distributors, specialty retailers, and big-box retailers helps food entrepreneurs choose the right path, set appropriate pricing, and enter the market with confidence and professionalism.
Up Next: Part 3 Food Manufacturing and Distribution
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