4 Things Wholesale Buyers Look For in Food Suppliers

Learn what wholesale buyers seek from local farms. Consistency, competitive pricing, branding, and certifications are key to breaking into wholesale.
Fresh Tomatoes and Green Tomatillos in Market Baskets
Written by
Nina Galle
Published on
November 5, 2024

Selling farm products wholesale can be an excellent way to grow your business and reach more customers. However, to succeed in this channel, it’s essential to understand what wholesale buyers are really looking for. 

Buyers need reliability, quality, and products that align with their store’s brand and customer expectations. Here are the top four things buyers prioritize when sourcing from local producers, along with tips to help you stand out.

👉In case you missed it, we hosted a free workshop: Break into Wholesale. In that session, David Vitanza, from the Local Line team, shared the best tips he learned while working as a produce buyer at Portland Food Co-op

1. Consistency: Quality and availability

Wholesale buyers expect consistency in the quality and availability of the products they purchase. 

Quality + Availability = Consistency

Buyers want a consistent quality product, one that’s going to look the same as much as possible every time you bring it to the store. This reliability builds customer trust as they come to recognize and rely on your product’s look, taste, and quality.

How to ensure consistency:

  • Quality control: Regularly inspect your products to ensure they meet the same standards each time. Buyers need confidence that your goods will maintain their quality week after week.
  • Supply reliability: Before committing to a wholesale agreement, assess your capacity honestly. Ensure you can meet the volume needs regularly and plan for ways to scale as demand grows.
  • Plan for variability: Natural factors may affect production, so have backup suppliers or strategies in place to handle unexpected shortages. Communicating proactively with buyers if an issue arises can go a long way in maintaining a good relationship.

2. Competitive pricing and flexibility

Pricing is crucial in wholesale relationships. Buyers need room for markup, usually between 10% and 50%. This margin enables stores to sell your product at a profit while offering customers competitive pricing.

David recommends researching pricing at potential partner stores: “Go into the store that you’re looking to sell at, see other similar products, and see what their prices are like.” Pricing flexibility is also important because wholesale volumes and customer bases vary widely. For instance, large chain stores may order in bulk, allowing for a discounted rate, while smaller independent retailers may order in smaller quantities, justifying a higher price point.

Tips for pricing your products for wholesale

  • Understand cost structures: Calculate the cost of production, including labor, packaging, and distribution, and ensure that you’re pricing at a point that allows for profitability while remaining competitive.
  • Research comparable products: Visit local stores and examine similar products to understand how your pricing compares. Competitive pricing is key, but ensure it aligns with the quality and uniqueness of your product.
  • Offer tiered pricing: Consider offering tiered pricing based on order volume, allowing larger buyers to benefit from lower rates. Flexibility with pricing models can make your product more appealing to a variety of wholesale buyers.

3. Strong presentation and branding

Wholesale buyers prioritize products with strong, professional presentation and branding. A well-packaged product not only catches the buyer’s eye but also appeals to end customers on the shelf. Branding is crucial to convey the quality and uniqueness of your product, making it stand out among competitors. As David advises, “Be bold, simple yet descriptive” with your branding, whether it’s a label or packaging.

Key elements of presentation and branding:

  • Clear and attractive labels: Your labels should be bold, eye-catching, and informative, letting buyers and consumers know what the product is and what makes it unique.
  • Highlight shelf life: Buyers need to know the shelf life of your products to manage inventory and minimize waste. Clearly communicate this on your labels or packaging.
  • Stand out on the shelf: Consider how your product will look on a crowded shelf when developing your branding. Use colors and designs that draw attention, and think about what makes similar products stand out. “Go into a grocery store,” suggests David, “and look at the shelves to see what stands out.”

In addition to labels and colors, consider how unique your product is compared to others. Finding a niche product or a different take on a common item (like a specialty lettuce variety) can give your product an edge with buyers.

4. Meeting requirements and certifications

Different buyers have varying requirements and definitions of what makes a product local. Understanding and meeting these standards is essential for successful wholesale partnerships. Buyers often look for certifications like organic or GAP (Good Agricultural Practices), which signal quality and safety standards to customers. Knowing these requirements upfront ensures you’re prepared to meet them and market your products effectively.

Understanding and meeting buyer requirements:

  • Ask about their definition of local: Local can mean different things to different buyers, from a 50-mile radius to statewide or even regional sourcing. Clarify with buyers how they define local so you can meet their expectations.
  • Certifications: Depending on the buyer, different certifications may be required. Many buyers prioritize products with certifications, like organic or food safety standards, as a mark of quality. If you’re not certified, consider highlighting your growing practices or commitment to quality.
  • Meet food safety standards: Larger buyers, like restaurants or retail chains, may require GAP certification or similar food safety standards. For those new to these certifications, seek out local grants or assistance programs to help with the costs and training involved in meeting these requirements.

Bonus tips for working with wholesale buyers

In addition to these four key factors, here are some best practices to foster strong relationships with wholesale buyers:

  • Build relationships in the off-season: Approach buyers during the off-season when they’re more likely to have time for planning. Working with them early can help secure agreements for the upcoming season, and it also allows you to tailor your production plans based on buyer needs.
  • Offer flexibility with seconds: If you have produce that doesn’t meet aesthetic standards but is still fresh, offer it to buyers for use in prepared foods. This helps reduce waste and provides buyers with a cost-effective option.
  • Stay active on social media: A social media presence can benefit your wholesale relationships. “Social media is here, whether we like it or not,” says David. Buyers may share your posts with their customers, increasing your reach and reinforcing the partnership.

Finding new wholesale buyers to work with

Working with wholesale buyers requires attention to consistency, competitive pricing, effective presentation, and a commitment to meeting buyer requirements. By focusing on these four areas, you can set your farm up for success in the wholesale market, growing your business while building valuable, long-term partnerships. Whether you’re new to wholesale or looking to expand, keeping these factors in mind will ensure you’re meeting the expectations of buyers and setting your farm apart from the competition.

At Local Line, we work with hundreds of farms and producers who profitably sell their products to various wholesale buyers. Are you curious to learn more about what we can do for you? Book a meeting with our team! 👇

Get started with Local Line

Learn why Local Line is trusted by thousands of farmers and food hubs around the world.

Frequently asked questions about working with new wholesale buyers

What are wholesale buyers looking for from local producers?

Wholesale buyers prioritize a few key factors when sourcing from local producers. They look for consistent quality and availability in products to maintain customer trust. Competitive pricing is also essential, as it enables stores to price items attractively while making a profit. Strong branding and presentation are equally important, as they make products visually appealing to consumers. Additionally, many buyers value certifications (such as organic or GAP) that signal quality and safety standards.

How can farmers ensure product consistency for wholesale buyers?

Consistency is a critical factor in successful wholesale relationships. Farmers can ensure this by implementing regular quality checks to meet consistent standards for taste, appearance, and freshness. Assessing production capacity honestly and planning for seasonal or environmental fluctuations are also vital. Having backup suppliers or extra stock on hand can help handle unexpected demand or shortfalls. Building trust with buyers means proactively communicating any supply issues to maintain the relationship.

Why is competitive pricing important in wholesale markets?

Wholesale buyers need pricing that allows room for markup, typically between 10% and 50%, to ensure profitability at retail. Competitive pricing is crucial, as buyers want products that align with market standards and appeal to price-sensitive customers. For farmers, understanding production costs and visiting local stores to see competitor prices are essential steps in setting profitable yet attractive prices. Offering tiered pricing based on volume also gives flexibility to cater to different buyer types, from large chains to smaller, independent stores.

How does product branding affect wholesale success?

Strong branding sets products apart on crowded shelves and communicates quality, value, and uniqueness. Buyers prefer products with clear, bold labels that are visually appealing and informative for end customers. Including details like shelf life on packaging helps buyers manage stock and reduces waste. Unique branding, such as using vibrant colors, catchy logos, or emphasizing a niche (like a specialty crop), can attract buyers and make your products memorable to shoppers, enhancing sell-through rates.

What certifications do wholesale buyers expect?

Many wholesale buyers require specific certifications as a mark of quality, such as organic or GAP (Good Agricultural Practices) certifications, which assure customers of food safety and production standards. Meeting these certification requirements may be necessary to secure partnerships with larger retailers or restaurants. For smaller farms without certifications, highlighting sustainable or organic practices can still appeal to certain buyers. Farmers new to certification may also find local grants or assistance programs to support the costs and training involved in meeting these standards.

Nina Galle Local LIne
Nina Galle
Nina Galle is the co-author of Ready Farmer One. She continues to arm farmers with the tools, knowledge, and community they need to sell online at Local Line.
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