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We work with local teams who already know the market, have a great network, speak the language and know the business culture.
The role of brokers in supermarket distribution is an important one. Brokers typically work with manufacturers to determine which products will be stocked at each store; they also often negotiate prices on behalf of the retailer. In addition, brokers may provide marketing services such as coordinating advertising campaigns or managing product displays at retail locations. With their keen knowledge of the industry, brokers help ensure a successful supply chain for supermarket distribution operations.
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The role of distributors and wholesalers in FMCG (fast-moving consumer goods) in the USA is significant. They are responsible for buying products from manufacturers and selling it to retailers, as well as providing services like inventory management, storage, transportation and more. Distributors provide a range of benefits to both manufacturers and retailers. By offering cost-efficient solutions for procuring goods from various vendors, distributors enable retailers to focus on their core competencies such as marketing or customer service.
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The Fast Moving Consumer Goods (FMCG) industry is a highly competitive business sector in the United States, with a total of over 5,000 brokers operating throughout the country. FMCG brokers specialize in providing and managing logistical services for businesses that sell consumer-oriented products.
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Alliance experts has a proven methodology to start or increase your sales in a new market. Our local teams in over 30 countries help you define your pitch and to find and convince the right sales channels or clients. The scan phase can be short, but is essential as preparation. The Launch phase may take several months, depending on the country.
You can see a sales agent as an extension of your own organisation, approaching potential customers. The role may be comparable to a broker, but an agent is more common in fashion, accessories or products for business users. Alliance experts can act as your agent in case your target group is not too big.
Albertsons Companies is one of the largest food and drug retailers in the United States. Founded in 1939 by Joe Albertson, they currently employ over 250,000 people across 2,200 stores located in 35 states and Washington D.C. In addition to their traditional grocery store format, they also own and operate supermarkets such as Safeway, Vons, Shaw’s Supermarkets, Jewel-Osco, Acme Markets and many more.
If we approach potential sales channels with your standard documentation, chances are high that they are holding of. If we make it crystal clear what are the benefits for them, like in the example presentation, we get a much higher response rate.
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Other major players in this space include Albertsons Companies Inc., which accounts for 5%, and Publix Super Markets with 4%. Ahold Delhaize, H-E-B Grocery Co., Wegmans Food Markets, Aldi US and Whole Foods Market are all other notable competitors with respective shares ranging from 2-3%. Together these companies hold over 60% of the total market share across all supermarkets in America.
Distributor marginsHS code listDistributor, agent or franchisorInternational distribution channelsCommission rates for sales agentsDirect or indirect exportListing and slotting feesFind foreign buyers for your productsWorld top retailersChina international market strategies
The United States of America has a population of 327 million. In 2022, 83% of the population lived in the cities, and this percentage is slowly rising. The average income per capita is almost 60,000 USD. This is promising to sell your goods, but you’ll have to know where to start.
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Depending on your product or service you may best start with one agent, distributor or broker for a first state or with a specific target group. As soon as you get the first reference clients, you may scale up.
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Be well prepared. All retailers expect you to prove why they are going to make more money with your product than with their current assortment. So you must know the competition.
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With our Scan-Launch-Grow approach we make this task significantly easier for you! Our local teams have a vast network of distributors and retail channels, know what is important to them and can reach out easily.
We put a lot of emphasis on drafting a good distributor pitch. Even if you already have great sales materials for your end-users, this often does not make clear what the benefits are for a potential agent, distributor or retailer to work with you.
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In addition to this, certain categories of FMCG may require specific permits from government agencies such as the Department of Agriculture and the Bureau of Alcohol Tobacco Firearms & Explosives. Furthermore, depending on what type of product is being imported, additional documentation may be required such as a Certificate of Free Sale or a Letter Of Exemption.
These brokers have become increasingly important due to the rise of online shopping. Online retail stores require more sophisticated delivery systems than traditional store fronts, making them reliant on FMCG brokers to ensure timely delivery of items sold through their websites. In addition, these brokers are also becoming an integral part of effective supply chain management for companies in the US market, helping them to reduce costs and increase efficiency.
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Walmart is one of the most well-known US retailers, with over 5,000 stores across the United States. Founded in 1962 by Sam Walton in Rogers, Arkansas, Walmart has become an iconic symbol of American retail. Despite its success and large footprint, Walmart’s presence in the US has been met with some criticism.
Kroger is one of America’s largest grocery store companies, with more than 2,700 stores across 35 states and Washington D.C., including Kroger Marketplace locations and convenience stores like Turkey Hill Minit Markets. Kroger offers an expansive selection of fresh produce, meat, dairy products and other items at competitive prices. The company also has its own line of private label brands such as Simple Truth Natural Foods and HemisFares International Specialties.
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Finding distributors or retail sales channels might be straightforward, but discovering the right one that drives revenue for your business is a real challenge.
Importers of Fast Moving Consumer Goods (FMCG) into the USA must observe several requirements. The first requirement is that all goods imported into the USA must comply with domestic safety and quality standards, as outlined by the US Food and Drug Administration (FDA). This means any food, beverage, drug or cosmetic products must meet relevant FDA regulations prior to import.
The supermarket industry in the USA is highly competitive. It is dominated by a handful of large companies that together control an impressive share of the market. The two largest supermarket chains in the US by marketshare are Walmart and Kroger. Walmart holds a staggering 29% of the total market share while Kroger has around 9%.
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We help you to formulate a message specifically for the companies that you want to target, because we know what is important to them.
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You can work with a 3PL (Third Party Logistics) provider who can help you with customs clearance, document preparation, freight forwarding, and delivery. They will also be able to advise you on the most cost-effective way to transport your product into the US. You will then need to ensure that your product meets all relevant regulations and safety standards for sale in US supermarkets. Once this has been done, you will need an agreement with a wholesaler or distributor who can handle orders from retailers such as supermarkets. They may have their own requirements so it’s important that these are met before they will agree to stock your product in their warehouses or stores across America.
We help you with a format specifically for your product or service that you can fill out and we give you feedback. Once we think it is great, we test it with a first few companies out of your target group.
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