Food Distribution
How Can Food Distributors Grow Margin?
From wholesale produce to specialty foods distributor, serving retail or foodservice, INSIGHT understands how to balance the complexities and sensitivities in the food distribution space to drive incremental margin improvement.
Pricing Waterfall: Common Untapped Profit Opportunities for Food Distributors
Common Margin Opportunities Gone Untapped
Price Setting
Daily to weekly target price setting based on differentiated customer and product segmentation, price drivers, and value-add components
High Margin Variation
Decision making, pricing logic, and market knowledge is highly decentralized and inaccessible, misunderstood, or not trusted across the organization
Lag Between Cost & Price Updates
Pricing isn’t keeping up with fast-moving commodity market and needs a more systematic, visible, and centralized approach
Route Profitability & Optimization
Less-than-full truckloads, route frequency, underutilized or underperforming routes, and margin variation per truck all signal significant opportunity
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Select Food Distribution Experts
With over 250 dedicated pricing and profitability experts, our team helps businesses achieve profit and EBITDA growth.
Alex Hagreen
Alex is a Principal at INSIGHT2PROFIT with 10 years of experience as a pricing consultant. He excels in defining pricing strategy, developing pricing excellence roadmaps, enhancing salesforce effectiveness, providing negotiation training, and delivering targeted high-yield price increases with our partners.
Examples of Alex’s experience include:
- Launched pricing process for a protein distributor with revenues exceeding $4B, providing profit-maximizing weekly price recommendations to approximately 80 buyers across 12 branches, resulting in a $7M pricing impact over 18 months
- Developed contract negotiation package, timeline, and best practices for a $700M industrial firm, including terms and conditions, scorecard, competitive scorecard, optimal timeline with stakeholder inclusion, and price scenario calculator
- Created $1M lift on $30M of revenue through a target price incentive program at a mid-size eCommerce company; secured management buy in, leveraged dashboard reporting, and aligned incentives to deliver results
- Identified $4M in discounting leakage leveraging a percentile-based peer benchmark model at a manufacturer with revenues exceeding $250M; built a recommendation engine to capture the price leakage and realign price positioning
Alex earned his MBA in Finance with a focus in Pricing from the University of Rochester, Simon Business School and a B.S. in Finance from Penn State University.
Gerry Thomas
Gerry is a Principal at INSIGHT2PROFIT. Gerry has 9 years of experience in pricing and commercial strategy across various roles, including consultant, manager, senior manager, and director. He specializes in B2B pricing, particularly for industrial equipment, heavy machinery, chemicals, and industrial manufacturers and distributors. He has also collaborated with several B2C clients in industries such as leather goods, white goods, face care, and consumer product goods.
Prior to joining INSIGHT, Gerry spent 8 years as part of the Accenture Strategy team in the Pricing and Commercial Strategy group. During his tenure at Accenture, Gerry worked in sales enablement, zero-based budgeting, and in pricing and commercial strategy.
Examples of Gerry’s experience include:
- Led a project contributing $80M in EBITDA improvement over 16 months by implementing a value-based pricing methodology across the portfolio for a heavy trucking OEM
- Achieved a 2.5% net price improvement during inflationary headwinds for a B2B valve and industrial equipment portfolio company encompassing over 30 distinct brands, implemented a configurable custom quoting tool and PowerBI KPI dashboard utilized across 15+ brands, providing ongoing support for continuous improvement over multiple years
- Delivered over $50M in EBITDA improvement as the pricing project lead for an industrial equipment manufacturer through value-based pricing strategy and implementation
Gerry earned his MBA from the Goizueta Business School at Emory University, M.Ed. in Secondary Education and Teaching from the University of Missouri-Saint Louis, and a BBA in International Business from the University of Georgia.
Joe Bogner
Joe is the Chief Data Scientist at INSIGHT2PROFIT. He has 15 years of experience at INSIGHT and over 24 years in total spanning Consulting, Technology, and Data Science. Joe leads the strategy and application of artificial intelligence and machine learning (AI/ML) practice. In his prior roles at INSIGHT, he was involved in the strategy and execution of client engagements, creation of the INSIGHT2PROFIT DRIVE platform, launching custom tools for clients, and modeling and analytics.
Prior to INSIGHT, Joe held various roles in financial software development at Ohio Savings Bank and in consulting software development at Avanade, a provider of innovative digital, cloud and advisory services, industry solutions and design-led experiences across the Microsoft ecosystem.
Examples of Joe’s experience include:
- Directed over 80 engagements leveraging AI/ML across dozens of industries and applications including pricing, demand forecasting, deal scoring, and predictive attrition
- Delivered integrated, real-time machine learning engines including a solution for a $4B metals distributor to eliminate 2 days from the quotation process by estimating the cost of infrequently purchased materials instead of sourcing an actual cost from vendors
- Drove growth at a large food distributor by mining 25M transactions to identify over 4 million cross-sell and up-sell opportunities
Joe earned his M.S. in Data Analytics from Western Governors University and his BBA from Cleveland State University.