Case study: Global Sourcing

Company overview:

  • Multiple Grocer with a total group turnover >£55bn
  • Category sales of topfruit of £500m p.a
  • 3,800 UK shops in multiple formats and over 7,000 worldwide

Business challenge:

To collaborate with growers and producers to ensure 52 week availability of key SKU’s. Involving the creation of grower and producer clubs to improve loyalty, in a commodity market with volatile pricing.

Our approach:

  • Creation of growing clubs in RSA, NZ and Chile to guarantee southern hemisphere supply
  • Agreement on an agreed basic return to ensure supply even when the price was below market prices
  • Systematic programming by supplier and country to ensure 52 weeks of supply

Value Delivered

  • The creation of grower clubs ensured supply during difficult seasonal changeover periods – helped by the guaranteed cost price on offer
  • 1st UK retailer to create the clubs helped reinforce reputation within the primary agriculture sector – unknown positives from the PR generated and customers