Purchasing Master ClassSian Collins & Chris Marshall

Considering Purchasing & Tenders

• Agree stable pricing 6 monthly for food (Frozen/Grocery). Longer for drinks.• Core line very important but don’t forget low volume too.

(why pay more than necessary?).• Like for like when doing comparisons e.g. pro rata & drained weights.• Split case charges can be a hidden cost.• Invoice spot checking. Internally or use external.• Review Notification request at least 28 days.• Don’t forget prices can go down as well as up.

Buying Controls

• Authorised Buying Lists (ABL)• Stock & Order Sheets• Point Of Contact Sheets• Supplier Data

Month on Month Average Weekly Purchases - This Year v's Last Year

Year Total % Contribution Year Total % ContributionGroup Product Temperature Breakdown (Graphs)

Year Total % Contribution2014

JAN FEB MAR APRYear Account Data 4 Weeks 4 Weeks 5 Weeks 4 Weeks

2014 Purchases - Gross £ 3,031 £ 4,095 £ 3,973 £ 2,828 Number of Buying Accounts 3 3 3 3Number of Deliveries 18 19 21 19Average Delivery Value - Gross £ 168 £ 216 £ 189 £ 149

2013 Purchases - Gross £ 2,585 £ 3,171 £ 4,020 £ 2,922 2013 Number of Buying Accounts 2 2 2 2

2013 Number of Deliveries 15 16 20 152013 Average Delivery Value - Gross £ 172 £ 198 £ 201 £ 195

2014 vs. 2013 Yr on Yr Variance Purchases - Gross £ 445 £ 924 -£ 48 -£ 94 Number of Buying Accounts 1 1 1 1Number of Deliveries 3 3 1 4Average Delivery Value - Gross -£ 4 £ 17 -£ 12 -£ 46

2014 Purchases - Gross £ 1,718 £ 1,847 £ 1,941 £ 1,067 2014 Number of Deliveries 8 8 9 72014 Average Delivery Value - Gross £ 215 £ 231 £ 216 £ 152 2013 Purchases - Gross £ 2,040 £ 2,261 £ 2,449 £ 2,089 2013 Number of Deliveries 11 11 12 102013 Average Delivery Value - Gross £ 185 £ 206 £ 204 £ 209

2014 vs. 2013 Yr on Yr Variance Purchases - Gross -£ 322 -£ 414 -£ 507 -£ 1,021 Number of Deliveries -3 -3 -3 -3 Average Delivery Value - Gross £ 29 £ 25 £ 12 -£ 56

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Frozen/Chilled Contract Price List

Product Group ProductCode Product Description Pack Size Sell

Price (£)% Of

Spend101 BACON 70071 PMEAT DUTCH R/ L BACK BACON 4X2.27kg 43.07 7.12%103 CHEESE 27544 BRAKE GRAT MILD WHI CHED*C 10x1kg 88.77 14.67%103 CHEESE 29150 BRAKE MATURE WHITE CHED *C 8xMIN 2.44KG 218.10 12.20%103 CHEESE 71256 BRAKE MILD CHED CHEESE SLC 1x500g 6.51 1.08%103 CHEESE 71003 BRAKES BRIE WHOLE *C* 1x3kg 25.11 4.15%103 CHEESE 106923 BRAKES BURGER CHEESE SLICE 1.4KG 12.83 2.12%103 CHEESE 74546 BRAKES BURGER SLICES CB *D 4X1.4KG 53.30 8.81%103 CHEESE 74530 PREM BARREL AGED GREEK FET 4X200G 15.85 2.62%106 SPREADS 71514 BRAKES SOFT SPREAD *C* CB 6x2kg 17.68 2.92%107 MEATS/ CONT.SAUSAGE/ FISH COOKED 70173 BRAKE CHICK W/ MUSHRM PATE 1x500g 7.58 1.25%107 MEATS/ CONT.SAUSAGE/ FISH COOKED 74704 PMEAT SLICED HAM 80% 1x454g 4.10 0.68%107 MEATS/ CONT.SAUSAGE/ FISH COOKED 29177 PMEAT SLICED HAM CB 1x454g 5.40 0.89%108 MEATS/ PRODS & FISH UNCOOKED 71357 PM BEEF MINUTE STEAK (BRT) 1X25 113g 42.54 7.03%108 MEATS/ PRODS & FISH UNCOOKED 16809 PM BEEF T/ SIDE FAT/ TIED BR 3-4KG 13.33 2.20%

Choosing Suppliers

Innovating With New Brands

• Keep close to brand owners and be informed/inform others about market.

e.g. Funny Feet this year and Facebook.• Utilising available POS

e.g. Swing boards can plant the seed.Remember you have outside too.

• Help consumers to exercise choice and recognise products in a crowded market place.

e.g. Fridge planograms to fit the site.

Maximising Upsell Opportunities

• Sourcing good impulse lines can add not detract from sales.• Products purchased should compliment existing range.• Staff training by suppliers in upsell opportunities.• Supplier added value services can help e.g. menu layout.• Product location and visibility. E.g. utilise planogram resources• Utilising supplier promotions.

Forgotten Markets

• Waste Management• Over 5 years RPG have saved the group bin purchasing ~£227,000.

• Non Food has no R.O.I.• Goes in the bin, down the drain, down the toilet.• Estimated 15-20% of every day purchases within play site.

• Utilities roll over if notice not given. • Being aware of this can save on average 35%-40% on standard tariffs.