buying groups
Moving with the times Sterling Supergroup is approaching its 50th birthday, although when it was formed – back in 1966 with five Midlands-based members – it was known as Independent Cash & Carry Group and soon after under the abbreviated ICCG. The founder, Nick Luton, is still going strong at the age of 75, living in Exeter. When he retired, it was his long-established associate Anne Tomlinson who took over the reins, and when she herself decided to adopt a more restful lifestyle in Scotland five years ago, it was Vanessa Cooper who stepped in to take control. The group, which is itself a member of Landmark Wholesale, has changed course over the years, not just in location (originally in London, then Chelmsford and, for the past 18 years another Essex town, Maldon), but in the way it operates. In the dim and distant past, its membership comprised just cash & carry operators. But over the years, more delivered wholesalers have joined, along with those specialising in foodservice. Ten years ago, the group embraced 48 operating Stirling CEO Vanessa Cooper companies with combined turnover of around £480m. Today, the numbers are not much different – 50 members and joint sales of £450m. Like all buying and marketing groups, some operators have been with Sterling (and ICCG) for many years, some have moved to other groups and some simply decided to call it a day. “The membership consists of family-owned wholesale companies located throughout the UK, supplying over 40,000 retail and catering outlets,” says Cooper. “By offering excellent prices and promotions, our members help their customers to remain profitable in an increasingly competitive market place. “Many C&C/wholesalers also carry a range of catering products. A delivered service is also available from some of the C&C members.” Referring to the delivered side of the Sterling membership, Cooper says: “They supply the catering, licensed and impulse trade and pride themselves on exceptional service, keen pricing, product and customer knowledge and flexibility. Most of them have sales representation and telesales operators. “Some of our members export ambient, chilled and frozen products to all corners of the world.”
40
• Cash & Carry Management • September 2011
Castell Howell has been a Sterling member since 1997.
Cooper’s staff includes financial controller and company secretary Sue Garnham and Sterling Caterers Essentials co-ordinator Kirsty Abrams. The in-house catering range of around 70 products is expected to generate turnover of more than £20m this year. The top three product categories for the group are: frozen vegetables (including chips), cheese & butter and canned fish (mainly tuna). While Sterling Supergroup’s membership includes several which have been loyal for many years (notably Crown Crest, which has been an affiliate since the group was founded, Wm McLure, since 1991, and Castle Howell Foods, since 1997), a recent disappointment was the defection to Landmark of CPT, because it wanted to focus more on wines & spirits. “It was an amicable parting of the ways,” says Cooper.
Strength in buying team The group has a buying team comprising representatives of the leading 10 foodservice members; it meets monthly. There are also quarterly catering get-togethers to which all members are invited. The highlight of the year is the annual conference, which is held in September, and there is also a spring exhibition. Reflecting on the major change which has taken place over the past three years, Cooper says: ”It was in 2008 that the board decided to rebrand Sterling and seriously investigate the various options for supplying own-label products. “The buying team was set up for this purpose, as well as providing a forum for other ideas to be discussed. The Sterling Caterers Essentials range was launched soon after this. We started with a few core lines and, since then, we have gone from strength to strength.” On a final note, Cooper says: “We are always looking for ways to better serve our members. There are, of course, frustrating times when things don’t go quite as planned. But I have a good team behind me and we have always been able to work through any problems. A sense of humour and a swear box are essential in the office! “We have a good rapport with our own-label suppliers and with major branded foodservice producers.”
www.cashandcarrymanagement.co.uk