Meet the Retailer/Wholesaler: Brian Duff, Sr. V.P., Procurement, Mktg., Associated Food Stores, Inc./Corp. By Jeanie McIntyre, Manager of Content and Communications, GMDC A few days ago, I had the chance to catch up with a very busy Brian Duff, the senior vice president responsible for procurement for Associated Food Stores, Inc./Corp. And while he was in-between business trips, I asked him to tell me a little bit about the company and how they do business. Associated Food Stores is centrally managed, negotiates for their members and has the same practices for both their company-owned stores vs. their member-owned stores. When asked about what marketing message Associated Food Stores would like to convey, Duff replied, “We support the diversity of our members and supply mix. These businesses are in a wide range of demographics — from the rural to metro to even the resort areas — and we want to provide merchandising ideas and support that allow them to win in a very competitive market.” Associated Food Stores is an aggressive and educated advocate of General Merchandise and Health, Beauty and Wellness. They are dedicated to provide the necessary tools and planograms that allow their retail members and corporate stores to localize their product offerings and better meet their customer’s needs. Suppliers can help support Associated Food Stores and when possible provide: - A 12-week notice on the first ship date of new and special packs - New item/product form; include product samples rather than artistic images and renditions - Data regarding consumer/household panel data, consumer decision tree, market basket and shopper trends - New supplier forms, accompanied with a reclamation/spoils policy and $2 million in liability insurance - New item presentations - Category review cycles and promotional calendars/dates are available - Price change notifications (12 weeks in advance of advertised selling period) - The ability to replenish inventory initiatives and goals “We stress long-term planning and look beyond the next event. We take a critical look at how we can position a category for sustainable growth into the future,” said Duff. “New ideas, trust and collaboration allow Associated Food Stores and our vendors to think and share freely in the development of new strategies that more adequately address the needs of our future. It is important to develop analytical tools that allow us to more adequately address the needs of our retailers, not only from a global perspective, but from their local market needs. We prefer that our suppliers work directly with us or through a broker partner, preferably a local partner who understands and knows the market and our retailers.” Some of the merchandising initiatives that Associated Food Stores has taken on center around seasonal offerings and include in-store merchandising solutions and printed ad support. They provide over 300 GM and HBW schematics and a “code red” speed-to- shelf program. One category that Duff is particularly proud of is “Lifestyle Nutrition.” Associated Food Stores determined that there was an opportunity to not only increase their share, but garner a commanding share in the market as well. They have a philosophy that treats and markets the category as a “destination,” and have thus attained a commanding share in the market. When asked about private brands, Duff pointed out that they will continue to work with their private brands supplier in the development of new and innovative offerings and new categories. “We have a strong marketing message that our private brands are quality products and come with a satisfaction guarantee.” Associated Food Stores also has a company objective to create closer ties to the pharmacy side of their business. Associated Food Stores has a long history in the Intermountain West region of the country. They were founded in 1940 as a cooperative wholesaler and have 50 corporate stores, 29 Fresh Markets, 438 independents and several others that operate within an eight state region that is comprised of Utah, Idaho, Montana, Wyoming, Colorado, Nevada, Oregon and Arizona. Associated Food Stores also runs the store banners of Maceys, Dan’s, Lin’s and Dick’s, and they supply stores such as Harmons, Ream’s and Broulim’s Fresh Foods. Associated Foods only acquired Fresh Markets, a full-service grocery, in late 2009 and are very pleased with their performance and are optimistic about their future in the region. .