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Improving Profit Margins in 2011

Improving Profit Margins in 2011

When it comes to distribution of goods, the food and beverage sector has some unique challenges to contend with. Ensuring stock remains free from contamination and damage through the entire delivery channel is absolutely vital to ensuring repeat business - something our Chinese neighbours are learning the hard way.

Closer to Home:

Our own distribution channels here in New Zealand are much more reliable by comparison, although when importing and exporting, businesses may still be relying on the competency of an unknown cartage provider as part of the overall delivery process.

Therefore, working with trustworthy distributors becomes a business necessity rather than a ‘nice to have’, to ensure we avoid outcomes such as defrosted, contaminated or damaged stock.

In New Zealand, it is becoming more common for food sector businesses to ask for solid guarantees and service contracts. That way, a more transparent service can be provided where all parties understand the risks and requirements of a successful distribution channel.

Trimming the Costs of Logistics

Consistency of quality and promptness of service ensure food and beverage distributors the right to command healthier profit margins. And after the challenges of the last three years, healthy profit margins are what many need to fluff up the bank accounts to their pre-recession glory.

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Trimming costs wherever possible, and eliminating non-essential services are very necessary business processes; processes that arguably should be happening whether we are experiencing a recession or not.

Plumping up those Profit Margins

Putting all costs and supplier relationships under the magnifying glass is a process welcomed by Transtore Limited. Based in East Tamaki, Transtore work closely with clients in the food sector, including Flavorjen, Danisco and Invita. Transtore are the only logistics provider in New Zealand to publicly boast a 100% Service Guarantee – a promise that is reassuring to clients whose product is sensitive to light, moisture, or heat – and indeed, cross contamination.

Transtore have all the logistics requirements you’d expect of a 3PL (MAF Approved Transitional Facility, logistics partnerships and accredited memberships - and more). In addition, the training their staff receive ensure your stock arrives as it should – guaranteed.

Transtore provide a free service to businesses within the food sector who wish to evaluate their customs, cartage and storage requirements with a goal of growing profit margins. Often, through consolidation and careful evaluation, significant savings can be made.

Find out more via the Transtore website here.


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