OUR CUSTOMERS
Independent Operators
Independent businesses are a very large segment of the foodservice universe, but they are the segment most vulnerable to games played by distributors. Labatt offers independent operators a completely new way to be treated by distributors. Our program Labatt Online, offers consistent and dramatically lower pricing for all our independent customers. We provide a web interface with a powerful search engine and a direct link to company buyers. Our sales representatives do not have the ability to increase margins; their job is exclusively to follow the motto “Grow Your Customer’s Business.” For the first time, Labatt Online gives independent operators a way to avoid the game of salesmen pricing and to buy competitively with chains.
Chains and National Accounts
Labatt focuses on medium-size, multi-unit operations, regional chains, and major accounts. We have single-source programs with over 110 “national accounts,” with relationships reaching back as far as 1976. We pride ourselves on having been part of the successful growth of such well-known chains as Laredo Taco Company and Posado's Cafe. Labatt is one integrated company, with one computer system. We offer common pricing and centralized controls for all our chain accounts.
For growing chains that need to step outside Labatt’s geographic foot print, Labatt created Distribunet, a virtual national network that uses the bricks and mortar of other affiliate distributors but with the pricing controls and program of Labatt. The “national account” and quick serve segments represent over 50% of Labatt’s business.
Quick Service
Quick service is an important part of Labatt’s broadline customer base. Labatt is not a quick service specialty company, but it seeks out a limited number of large chains which partner with Labatt to drive expenses down together. Labatt provides common pricing—services and inventory across Labatt’s five distribution centers. Labatt services large chain customers with up to 600 different locations—up to 7.5 million miles a year of delivery miles.
K-12 Schools
Labatt pioneered the development of single-source fixed-price contracts in the schools of the state of Texas. The taxpayers of Texas have the very best system possible in school purchasing—multi-year contracts at guaranteed fixed pricing with the distributor chosen by transparent competitive bidding. Labatt has earned a dominant position in this segment, with 75% of the school districts in Texas. Labatt has extended this model to New Mexico. The school segment is a major customer segment for Labatt.
Military Bases
In 1996, Labatt helped initiate “prime vendor” distribution when the U.S. Military closed its depots and began contracting with private-sector food distributors to deliver to dining facilities on military bases. Labatt earned five contracts and was named DLA Rookie Supplier of the Year.
On Labatt’s contracts, the bases went from a 70% fill rate and a lead time of over a week to 98% fill rates with skip-day delivery, and overnight had access to high-quality national brands. Labatt wrote over 100 special computer applications to pioneer with the government in creating the systems to support the Prime Vendor program.
Today, years later, Labatt supplies military bases including Fort Bliss (El Paso), Fort Sam Houston, and Lackland Air Force Base. We recently co-developed with the government the concept of a fixed price contract similar to that used in the schools of the state of Texas.