Group Purchasing Organizations in the Food Service Industry
As an independent restaurant owner, you may feel frustrated by the fact that national restaurant chains have massive amounts of purchasing power and are able to negotiate significantly lower rates with manufacturers, while your restaurant has to take what the manufacturers give you. Product cost is on average 17% higher and distribution fees are 133% more than a national account. Thankfully, those days have passed due to a concept known as food service Group Purchasing Organizations (GPO’s).
What Are Group Purchasing Organizations in the Food Service Industry?
Food Service Group Purchasing Organizations work directly with manufacturers to negotiate competitive contracts for groceries and other items your restaurant needs so that you can leverage the collective purchasing power of all the members within the program.
The SC2 Allowance Program/GPO
Thanks to the SC2 Allowance Program, you’re able to harness 10 billion dollars’ worth of purchasing power (making us the largest food service GPO in the nation) to bring those costs down for your restaurant to the levels a national chain would enjoy. This Allowance Program is at no added cost to you (other than a few minutes out of your day to set it up), as we make money directly from the manufacturers by driving purchasing volume to their businesses.
When you purchase your products, we work to gather that data, we submit that data to the manufacturers for allowances we negotiated, and finally we send you a check for the allowances you have earned. We currently have 350+ manufacturer contracts, covering 165,000 books that are growing all the time. We do not dictate to you what you can and can’t buy; those decisions are completely within your control. There are no gimmicks – only savings.
Learn more about this process by watching a short video developed by Mark Hampton (the President and Owner of SC2) that lays out exactly how this process works. You may contact Mark Hampton via phone at (303) 883-3355 or via email at mark.hampton@comcast.net today to learn more about this amazing opportunity for your restaurant!
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