how do supermarkets decide which products they sell?

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I don’t mean, whether they sell bread or milk. But rather which company do they choose and how?
Does the company send a salesman to the supermarket and they say “hey we have this great new product!”?
Or do the supermarkets actively search for new products?
And how do they decide, yes we take X in our store but not Z?

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5 Answers

Anonymous 0 Comments

First off, much of the decision making is done at the chain level or region level, not usually on a store level…

There are a few ways:

– A large percentage of new products are from companies they already have existing relationships with, whether it’s a new flavor of Oreos, an existing brand adding products in a new category, or a new brand from a bigger holding company.

– A sales rep meets with a grocery chain buyer and pitches the product… the benefits, the cost, taste test, etc. for store to decide whether to carry it or not.

– There are trade shows where producers of various foods display their products in hopes of getting picked up by grocery chains and the like

– A grocery chain might seek out products in a growing category. Say Thai cooking at home is getting more popular, they might seek out some Thai products to anticipate demand (or they head about a pick up in sales at Asian markets, etc)

– Customers ask for the product. Might be as local as a single store manager can place a one-off order for a customer, to a number of requests cause the chain to add the product across the board.

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