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Loblaw readies go-to-market program for small suppliers
Network of over 1,000 small-business partners to receive extra assistance in getting products into Canadian retailer’s stores.
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Loblaw said its roster of small-supplier partners includes Canadian growers, bakers, vintners and local product creators. / Photo: Shutterstock
Loblaw Cos., Canada’s largest food and drug retailer, is giving small businesses a hand in getting their products onto its shelves with its new Small Supplier Program.
Set to launch in January, the Small Supplier Program will provide extra support and resources to Loblaw’s network of more than 1,000 small-business partners, which the company said include Canadian growers, bakers, vintners and local product creators that fulfill customer demand for local favorites and freshness.
Brampton, Ontario-based Loblaw noted that it’s already Canada’s biggest agri-food customer.
“Small businesses are the lifeblood of our economy, and the path to this country’s successful future,” Loblaw President and CEO Per Bank said in a statement. “Every day, we experience the terrific power of innovation in many family-owned, traditional and local producers, and we want to assist their ability to develop new products and generate a truly diverse and inspirational range. By making the on-boarding and retailing process easier for small businesses, our goal is to reduce their time and costs, to the benefit of all Canadian customers.”
Key elements of the Small Supplier Program, Loblaw said, include the following:
• Faster payments: Loblaw will reduce payment terms to up to a maximum of seven days for new and existing small suppliers, a change that the retailer said will especially help its farmer partners in managing the growing season.
• Dedicated support: Small suppliers participating in the program will have access to dedicated associates at Loblaw’s main office and regionally, as well as to training and other resources.
• Small supplier assistance: To expedite the process of getting products onto store shelves, Loblaw said it can adjust to supply chain programs and subsidize retail industry fees to help small suppliers stabilize and grow more effectively.
• Six-month guaranteed listing period: To help small businesses cultivate a solid base of customers, Loblaw will provide a six-month on-shelf commitment and waive associated listing fees, making it easier for new suppliers to test their products.
“The fresh fruit and vegetable industry is a fast-paced business environment, which represents many small local growers and business owners,” according to Ron Lemaire, president of the Canadian Produce Marketing Association. “Providing these small businesses with the opportunity to access the market using this program can be a catalyst to their success.”
Overall, Loblaw’s retail network encompasses 2,442 stores, including 561 corporate-owned supermarkets under multiple banners, 543 franchised grocery stores and 1,338 Shoppers Drug Mart/Pharmaprix associate-owned drug stores.
