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With the foodservice market’s immense impact on the economy, more and more businesses are looking to make their mark in it. As dining trends rise, the Canadian foodservice market has seen a steady increase in sales, which has attracted many new players such as food and beverage distributors to the scene.
However, along with the opportunities comes a number of unique challenges; especially with catering to the Canadian market. With this in mind, it is important for food and beverage distributors to be aware of the specifics of the Canadian foodservice market to successfully tap into it and sell products. To point you in the right direction, here are the top 10 essentials for selling to the Canadian foodservice market.
1. Understanding the Canadian Dietary Guidelines: As Canada’s dietary policies tend to be stricter in comparison to other nations, food and beverage distributors have to be aware of the health regulations and other requirements that must be adhered to. By familiarizing yourself with the guidelines, distributors can make sure that their products meet the necessary standards to allow sale in the market.
2. Keep Up with Dining Trends: As mentioned above, dining trends in Canada are on the rise, including those of popular diets. Distributors should take the time to study these trends in order to create and distribute products that meet the current trend. By doing so, distributors can better target the niche market as well as appeal to the wider foodservice market.
3. Aware of the Labelling Regulations: Food distributors must be aware that in Canada food labelling regulations differ from other countries. This is particularly important when selling packaged products, as all necessary information such as nutrition facts and serving size must be provided. Distributors must also ensure that any product containing allergens such as wheat must be highlighted on the label. By being aware of the labelling regulations, distributors can ensure that their products adhere and meet food safety requirements.
4. Entering the Online Food Marketplace: The online food marketplace has become a popular platform for many distributors tapping into the Canadian foodservice market. Apart from increasing their customer base, entering the online food marketplace can also help distributors improve their product placement and visibility.
5. Get Familiar with the Local Retailers: For those distributors looking to expand their products locally, getting familiar with local retailers is key. By doing so, distributors can better plan where to position their products, as well as which retailers may be the best to work with.
6. Researching Competitors: As the Canadian foodservice market can become quite saturated, researching the competition can help distributors place their products accordingly. By being familiar with their competitors, distributors can better position their product and also identify gaps that they can fulfil.
7. Collaborating with Local Farms: Considering its location, Canada offers a large variety of fresh produce from local farms. As such, collaborating with local farms can help distributors increase their offerings and appeal to the Canadian market.
8. Pricing Strategy: Pricing is key in any market, and the same applies for the Canadian foodservice market. As competition in the market can be rather steep, creating a smart pricing strategy can help distributors differentiate their products and create a competitive edge.
9. Become Certified: As the Canadian market features a variety of challenging regulations, gaining certification from any related governing bodies can allow easy entry into the market. By doing so, distributors can ensure that their products comply with health, food safety and other legislations.
10. Artificial Intelligence (AI): Last but not least, distributors should look into leveraging AI technology to better understand the Canadian foodservice market and increase efficiency. AI capabilities such as machine learning and natural language processing (NLP) can help automate many of the mundane tasks associated with data collection, as well as help distributors identify existing trends and customer insights.
Understanding the complexities of the Canadian foodservice market is an ongoing process and takes time to get the hang of its different aspects. Nevertheless, following these essentials can help distributors better position their products and tap into this lucrative market.
