When you run a restaurant, a stall, or anything food-related, your food supplier is more than just another vendor. They are your partner in the operations. A good supplier makes sure your business runs smoothly by delivering the best ingredients on time.
A good food supplier is someone who you can rely on, it’s someone who always delivers, because if they don’t your whole operation goes down.
Let’s assume, it’s Friday, the busiest time of the week, and a key supplier fails to deliver an essential ingredient on time. It results in you being left to scramble for a last-minute substitute which is never a good idea.
In this article, we’ll break down the most common mistakes businesses make when choosing a food supplier for their restaurant.
Focusing only on the prices
Price is usually the main reason when choosing a food supplier, in a highly competitive industry, it is really easy to fall into the trap of seeking the lowest price. After all, lower costs mean, higher margins.
Making price the only factor when running any sort of business is a mistake, especially in the restaurant industry.
While it is wise to keep the costs as low as possible often the cheapest option comes with a tradeoff i.e. comprise in quality. For example, a supplier offering low rates may be sourcing a product that is close to its expiration date, has inconsistent quality, or lacks proper handling of SOPs.
Instead of only focusing on the prices, start considering factors such as;
- Quality: Does the supplier always provide quality products?
- Reliability: Does your supplier deliver on time regularly?
- Customer Service: Will the supplier work with you when you need to adjust an order?
In many cases, paying a little more than the usual cost for a product with better quality and a reliable supplier is better.
Ignoring food safety and compliance standards
One of the main aspects of any food business is food safety. A supplier that does not follow proper food safety standards can risk your reputation and lead to legal problems.
Their inability could result in contamination risk and failing food safety standards is not something you can afford to overlook.
Make sure that the supplier is certified by HACCP, SQF, GFSI, or other local authorities in your local area.
Lack of transparency in sourcing and quality
Avoid suppliers who are not open about their sourcing practices. The chances of them cutting corners are higher as they are being hideous about their methods. It is important to understand where the ingredients for your food are being sourced from.
Transparency in sourcing is especially important for consumers who care about ethical food consumption, for instance, certain cultures have strict codes about how their food is treated.
Failure to test the product before committing
NEVER sign a contract based on a handshake, this mistake may cost you your business. You should demand a test and a visit, even if the supplier claims they provide high-quality products, you won’t know until you have tried them personally.
Always request samples before ordering in bulk, Test the products in your kitchen to assess that if the product is as per your standard.
Overlooking flexibility and customization
As your business grows or changes you may need suppliers who can adapt to new demands, for instance, if you decide to change the menu, or a risk in the business cycle, or you may require a customized order during the holiday season or need to adjust quantities based on seasonal demand.
Many suppliers offer strict contracts with little to no room for customization. Seek suppliers who are open to flexible contracts
Overlooking local sourcing options
Look inward and try local sourcing options. They can often offer fresher products, shorter lead times, and a smaller environmental footprint due to reduced distances.
Unfortunately, many businesses do not practice this, they often get used to distant larger suppliers.
Not staying up-to-date
Many modern food suppliers use advanced management systems that can play well with your ordering system.
This will make the supply chain better and reduce errors. If a business fails to stay up to date with modern technology, it starts losing the battle with its competition.
Ignoring reviews and references
Speak to other clients a supplier has worked with and check online reviews before committing. Failing to take reviews from other businesses can be a costly mistake, this will help you know the supplier’s reputation and find potential red flags.
Underestimating the importance of packaging
Packaging not only impacts the safety and freshness of food, but it also impacts the safety and freshness of the food. A supplier’s packaging can also affect sustainability goals, as plastic waste is harmful to the environment, and this may hurt your brand image.
Not having a backup plan
Relying too heavily on anyone is risky let alone a supplier, if your supplier gets into trouble e.g. supply chain issues, labour shortage, or finances, you will be left to collect the pieces of your doomed restaurant. It is a smart practice to have a backup supplier you can rely on in times of need.
Lack of customer service and support
Suppliers that provide good customer service may make a big impact in times of need. You may save time and money by working with a good supplier who helps you solve your problems, whether related to quality, shipment delays, or payment. You should find out the supplier’s track record for excellent customer service and confirm that they are easy to reach when necessary.
Ignoring sustainability and ethical practices
Today’s consumers are more aware of the ethical and environmental effects of food sourcing and manufacturing. Suppliers that don’t support sustainability objectives might harm your brands. Find out how the supplier handles these matters, particularly if your clients are concerned about ethical sourcing.
So, choosing the right food supplier is important for any food-related business. While cost is an important factor, quality, reliability, food safety standards, and customer service are also essential.