A new Datassential survey of chain and independent operators offer a snapshot for solutions the industry is leveraging for overcoming three great challenges heading into 2023. Supply chain, inflation and labor issues are at the top of the list.
Supply chain disruption is one of the top issues facing operators heading into 2023.
For chains whose operations were disrupted by unfulfilled promises and abandonment by suppliers during the pandemic and beyond, new suppliers stepped in to fill the void.
“As a privately-held, family-owned company our loyalties are with all of our customers.”
David Halt
Vice President, Foodservice
Red Gold
“We served broadline distributors, who services thousands of independent restaurants during the pandemic whose ketchup supplier had abandoned them during a historic pandemic,” say Red Gold’s Vice President of Foodservice, David Halt. “We met their needs, with our employees working 39 consecutive 7-day weeks to maintain restaurant inventories of PC packets and cups.”
“As a privately-held family-owned company our loyalties are with all of our customers. Our national brand competitor chose to favor national chains, particularly the ones their parent company owns,” Halt says.
Red Gold recently added a new 250,000 sq. ft. warehouse, to now offer 1.25 million sq. ft. of storage and truck loading capabilities adjacent to the company’s manufacturing facility In Orestes, IN.
The world’s largest privately-owned tomato company, Red Gold recently opened a new 250,000 square foot warehouse with leading edge technologies. Connecting to its existing Alexandria, IN Distribution Center (DC), and its nearby processing plant. There is now a total of 1.25 million square feet of warehouse storage and truck loading capabilities to speed deliveries of tomato products to retail and foodservice customers.
From its Midwest location, transport to and from Indiana is closer to major population centers. The newest facility adds 14 loading docks to the existing 42 dock doors to speed deliveries to our growing number of customers,” says Brian Reichart, President and CEO of Red Gold. “Additionally, we have added 82 truck-trailer parking spaces for our customers picking up loads or parking for Red Gold’s own RG Transport fleet for speeding deliveries with reduced lead times.”
To maintain supplies, Red Gold added additional portion control and pouch packaging lines and added a new modern warehouse to assure continued supplies of its ketchup and tomato products to foodservice operators nationwide.
From pouches and BIBs to cups, packets and bottles, Red Gold is a ketchup you can count on.
Yet while the pandemic has subsided, supply chain issues continue to hound chains with disruption. The new survey found that 75% of operators said out-of-stock issues were even worse than 2021. Supply chain issues caused 77% of survey respondents to switch to new suppliers during the year.
75% of operators say out-of-stock issues were worse this year than in 2021.
Portion control continues to be a priority even as consumers returned to restaurants this year. For next year, operators are planning to make takeout and delivery their top priority while faced with labor shortages in their kitchens and wait staff.
Transitioning to more takeout and delivery is a top priority in service models for 2023.
Ketchup is the most important condiment for one of the most profitable items for restaurants; fries. Datassential says 79% of operators use ketchup, ahead of BBQ sauce, mayo, or mustard as a condiment or ingredient.
Ketchup and tomato products will also remain at the forefront of menu development according to operators with nearly half saying their new menu item focus will be on sandwiches and pizzas.
Menu innovation is focused toward ketchup and tomato-centric items for 2023.
Summing up the new report, operators will continue to find workarounds to hurdles they will face in 2023. Most who have weathered the past two years have assessed their suppliers and are likely to stick with those that they can count on so their focus can be toward profitability in the new year. If you are contemplating a switch of your ketchup and tomato suppliers, Red Gold is ready. You are welcome to request free samples of Red Gold products.