Considering a Broker?

by | Jun 7, 2017 | Sales

If you are considering brokers to represent your brand, it’s important to understand fit and expectations before you enter into any commitment. There’s a lot at stake for both parties, so do your due diligence. To get you started, we’ve provided a few questions that will help determine broker fit, expectations of both parties, and timing on when best to engage in an agreement. You may be surprised at the differences you hear based on the responses you receive.

Retailer/Store Engagement:

  1. Which retailers do they engage and who has the butt-weight to get a distributor to bring in a new product?
  2. For each major retailer, when is the review for your products’ category? Does the retailer stick to the schedule, make one-off decisions, or are decisions on-hold?
  3. Who are the decision-makers at each retailer and how often does the broker meet with them?
  4. Which stores do their teams visit and how often?

Broker Relationship:

  1. How many brands does the broker support?
  2. What’s their mix of large and small-size brands and how many are in your category?
  3. Do they carry competing brands? If ‘yes’, how does the broker represent competing brands to the same retailer? Do they currently represent a brand(s) that is considered a competitor to your brand?
  4. How large is the broker team and how are they aligned to the retailers/stores?
  5. What proactive communications will the broker provide to you? Don’t hesitate to dive into the details, especially as it pertains to understanding scheduled communications, ad-hoc communications, and frequency.
  6. What data will the broker provide to you regarding your products (ex. free-fill activity, list of stores with your products)?
  7. What does the broker expect from you and how often?
  8. What is the broker’s fee structure and commitment timeframes?

Once you start experiencing positive vibes towards a broker, feel free to ask if you can speak directly with one of their team members to gain a stronger appreciation for how their team operates. And if you’re in their area, see if they’ll take you on a ride-along so that you can witness them in action before you commit.

Feel free to dive in a little deeper to learn more about what brokers do, what to ask food brokers, and the habits of highly effective food brokers.

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