How much can you save by joining a foodservice GPO? Read more learn about the benefits of joining a GPO.
Improving Profit and Efficiency: The Role of GPOs in Foodservice
In the world of foodservice, every dollar counts. This is where Group Purchasing Organizations (GPOs) step in, wielding the power of collective buying to drive down costs and elevate operational efficiency. But what exactly is a GPO, and how can they help your dealership? We answer the 5 most common questions surrounding foodservice GPOs.
What is a GPO?
At its core, a Group Purchasing Organization is a collective powerhouse which pools the purchasing power of multiple dealerships to negotiate better pricing and comprehensive program coverage. There are two types of GPOs: vertical, which typically cater to one specific industry, and horizontal, which tend to incorporate multiple dealers from multiple different spans across diverse sectors.
How do GPOs Work in the Foodservice Industry?
GPOs operate by forging strategic partnerships with suppliers, leveraging the promise of bulk purchasing in order to secure competitive pricing and lucrative rebates. The benefits of this are that dealers receive significant savings on their purchases while gaining access to a wide array of programs tailored to their needs.
What Services do Foodservice GPOs Offer?
The services offered by foodservice GPOs are incredibly diverse. View some example services offered by GPOs:
- Rebate Management: We handle all rebate matters with suppliers so that you don’t have to worry about managing another relationship.
- Business Development: Our connections with vendors allow us to call the right person who can quickly solve the problem. We’ll work with vendors on your behalf to resolve all kinds of problems.
- Education and Training: GPOs assist their dealer community with the training and education tools they need to sell more effectively.
- Conferences: Educational training sessions, scheduled member/vendor interactions, networking events, awards ceremonies to recognize members, and more!
- Marketing Solutions: Foodservice GPOs also offer specialized products and services to help you set your dealership apart. Strata offers everything from website development to social media management for your dealership.
How Much Can You Save by Joining a Foodservice GPO?
The potential savings offered by GPOs depend upon various factors, however, as a rule of thumb, the more you take advantage of a GPO’s member services, the greater the potential savings.
Why should I join Strata GPO versus remain an independent dealership?
Strata GPO acknowledges industry challenges and thinks forward to provide resources and solutions to fit our members’ needs. Strata leverages its combined buying power to negotiate great programs that will help you compete with larger dealers and increase your bottom line.
Final Question: How Do I Join?
To learn more about membership requirements and the benefits of being in a group purchasing organization, please request an information packet here or call 720-361-1913 to speak to our sales representative.
