The food supply chain plays a major role in America’s economy. Thanks to the well-developed network of local and national food distributors, goods can easily be moved from states that have strong agricultural sectors to those without. Nationwide food suppliers are a vital part of that process. They source products from different manufacturers and producers and distribute them to local suppliers and other businesses in the food service and retail industries. Some national food distributors specialize as grocery store distribution companies while others focus primarily on restaurants, hotels, and other food service companies. In the following paragraphs, we’ll elaborate on the topic of national food distributors. We’ll share the main differences between working with local and nationwide suppliers. Make sure to also check our posts on the different food distribution services offered by food wholesalers and what are the biggest broadline food distributors in the country.
Key takeaway: There are hundreds of national food distributors that offer a variety of food products, beverages, and bulk restaurant supplies to grocery stores, restaurants, and other businesses. National food distributors have a well-developed network of warehouses and distribution centers across the country. They also specialize in services such as product sourcing and import.
What Are National Food Distributors
National food suppliers are big distributors that offer their products throughout the United States. They usually have dozens of distribution centers that help them deliver products to businesses in different areas of the country. Some nationwide distributors also partner with logistics companies in order to deliver their goods to restaurant businesses and grocery stores. National food distributors are commonly broadline suppliers that sell high-demand products in a variety of categories. They have modern eCommerce catalogs where customers can easily check prices and availability of different products. However, some national food distributors focus on a specific product category or type of goods. For example, KeHE is a national food distributor company that focuses on sales of natural and organic products.
National Food Distributors VS Regional Food Suppliers
There are both pros and cons to partnering with nationwide and local food distribution companies. Let’s examine them.
Reasons to partner with national food distributors:
- A wider selection of products;
- Better pricing;
- More technological integrations and opportunities for vendor-managed inventory;
Reasons to partner with local food distributors:
- More flexibility in terms of MOQ (minimum order quantity);
- More thorough quality control and product sourcing;
- More focus on local manufacturers, producers, and growers;
- Better customer service;
How to Choose National Food Distributors
If you wish to find suppliers that fit your company’s needs and requirements, there are various factors to consider. Here are some of the important characteristics to look for when choosing between wholesale food suppliers for restaurants or grocery stores.
- Pricing. Naturally, prices are really important when choosing between different distributors. Although there are very small differences between the wholesale prices of different suppliers, higher prices can lead to a lot of additional costs over time.
- Product sourcing. Companies prefer to buy wholesale products from suppliers that source quality goods. Furthermore, some businesses also look for distributors that have good product-sourcing capabilities and can find goods from different corners of the world.
- Additional terms and conditions. A lot of national food distributors offer business owners better terms if they purchase all their goods exclusively from them. Furthermore, large suppliers can offer more flexibility in terms of expedited deliveries or delayed payment.
- Variety. When partnering with national food distributors, businesses in the restaurant industry expect wholesalers to be able to offer a wide selection of goods. Otherwise, restaurant managers might need to also work with importers or specialty food suppliers.
- Marketing support. From marketing materials to market analytics and data, there are a lot of ways distributors can help their customers. When choosing between distributors, make sure they can support your company’s marketing efforts.
Top National Food Distributors
There are over 27,000 food suppliers across the country. Most of them are local wholesalers such as produce distributors or wholesale meat distribution. They specialize in a single product category and deliver primarily to businesses in their state. However, there are also hundreds of food suppliers that sell their goods nationwide. Here are some of the top suppliers across the US.
- Sysco Corporation;
- US Foods;
- Performance Food Group (PFG);
- McLane Company;
- Gordon Food Service;
- C&S Wholesale Grocers;
- Kroger;
- WEBstaurant;
- SpartanNash;
Some of these companies also have subsidiaries in different niche markets such as organic foods, dairy, snacks, or beverages. Most large distributors aim to follow the latest grocery and restaurant industry trends in order to adapt to the changes in demand.
Frequently Asked Questions about National Food Distributors
Whether you wish to read a comprehensive guide about wholesale restaurant supplies or you wish to know what is broadline distribution, there are multiple useful articles covering various niche markets on our website. Below we’ve answered the common questions regarding national food distributors and their role in wholesale sales of food.
Working with Broadliners VS Specialized Suppliers?
The majority of national food distributors are broadliners that offer a wide variety of products. However, some specialized wholesalers also sell goods nationwide. Businesses can choose whether to work with broadline distributors or to partner with specialized ones. The main benefit of working with broadliners is that it saves time when ordering all products from just one supplier. These companies also offer product-sourcing services in various categories. The pros of ordering from specialized distributors are their knowledge of the matter and the consultations they can offer. For example, wholesale coffee distributors can also offer services such as sales of brewing equipment, barista training, and continuing education.
What Businesses Work with National Food Distributors?
Nationwide suppliers traditionally aim at partnering with large businesses with hundreds of locations. That includes hospitality groups, big grocery retailers, and businesses in the hotel industry. Working with large companies allows distributors to benefit from economies of scale and reduce their storage and transportation costs. However, most nationwide food wholesalers also work with smaller catering businesses or restaurants. In addition to these businesses, institutions such as hospitals, schools, prisons, and military bases also search for bulk food suppliers. Some cash-and-carry wholesale chains are open to the general public and households with adequate storage space can buy in bulk.
What Services Do National Food Distributors Offer?
Bulk deliveries are the primary service of food suppliers. However, they can also help businesses in various other ways. For example, distributors can offer product-sourcing services. That includes finding the right products for their customers from the local market or internationally. Training and education are yet another thing wholesalers can offer. That includes food safety education or operational consulting. Private labeling and branding are among the common services offered by distributors. Some companies choose to integrate their inventory management systems with their distributors and benefit from vendor-managed inventory. Read more about what is VMI.
BlueCart: The Solution for Local and National Food Distributors
Whether you specialize in the distribution of products in only one category or your business offers a wide selection of goods, BlueCart can help you. Our software has multiple functionalities aimed at helping wholesalers with their B2B sales. From automation to better order analytics, BlueCart can assist both national food distributors and their customers. Schedule a free demo today and see the power of our software solutions.