Waitrose suppliers enter new era

Retailer Waitrose told its category leaders last week that they are entering a new era of collaboration, integrating more closely with the store's buying teams who in turn are becoming "relationship managers".

John Foley, head of buying, fruit, vegetables and horticulture, speaking at an internal conference last week, stressed the value of mutual commitment at a time when the high street is becoming increasingly competitive.

"We do not want to lose suppliers," said Foley. "We want them to respond to make both our businesses more secure in the future," he said.

Foley is convinced that the way forward lies in strengthening category planning, and stretching the use of technology to benefit production and distribution alike.

Supplier workshops to share ideas have shown there is the potential to strip several million pounds from costs. Waitrose has already adopted sophisticated monitoring systems which are providing valuable feedback along the distribution chain which serves its 144 branches.

This year it will open four more, as well as continue its modernisation programme. Central to the plans are flexible store fittings and fixtures to create 60 per cent greater capacity and provide a choice of either ambient or temperature controlled display conditions at the touch of a button.

"Our intention is to surpass our rivals in quality and service," said Foley.

Produce sales have also increased through Waitrose's internet service Ocado which Foley added: "Is now really beginning to motor."

He concluded with a warning: "The fresh produce industry can no longer consider itself an island ," he said. "It is all about drawing more customers into stores".

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