Distribution Canada Inc.

CELEBRATING30YEARS OFCOLLABORATIONCEL EBRATING30YEARSOFC OLLABORATIONCELEBR ATING30YEARSOFCOLL ABORATIONCELEBRATI NG30YEARSOFCOLLAB ORATIONCELEBRATING 30YEARSOFCOLLABOR CELEBRATING 30 YEARS OF COLLABORATION

Brian Parker (R) and Steve Sharpe (L)

CELEBRATING 30 YEARS OF COLLABORATION

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very spring for the last four years, Fernbrook Springs kicks off a promotional program for members of Distribution Canada Inc. (dci), the buying group founded in 1981 for independent Canadian grocers. “Everybody buys into it,” says Bob Elliott, president of Fernbrook Springs, which supplies

bottled spring water. If you don’t, he adds, dci president and CEO Brian Parker “will pick up the phone and persuade you to join the promo program. Dealing with dci is like having a really well-connected salesman working for us – I don’t know of an operator or organization that really promotes our company as well as they do.”

Elliott’s observation is right on the mark. Over the last three

position three years ago. “In the last three-and-a-half years, we

decades, dci has worked to establish itself as a collective voice

added almost 25 per cent new members, giving us more critical

and negotiator for independent grocers. Today, it boasts more

mass and making us an even greater force to be reckoned with.”

than 80 members, including small grocery chains, convenience

But dci’s greater power can be attributed to more than

store chains, wholesalers and distributors.

“We are growing,” says Parker, who assumed his current

just its growing roster of members; as it celebrates its 30th anniversary this year, it stands stronger than ever as a

“ Being smaller makes us more nimble – we don’t have to wait for someone at head office to tell us we can go ahead with this particular promotion.”

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BOARD OF DIRECTORS: dci is governed by a Board of Directors elected from the membership .

Brian Parker President & CEO

selling organization. What started out as a buying group focused

At the same time, a number of dci members are adding

on getting volume rebates for its members has, over the

new locations, giving them economies of scale and providing

last three decades, evolved into an organization that drives

even more opportunities for vendors to bring their products to

collaboration between retailers and vendors, and amongst

consumers.

the members themselves, with one ultimate goal in mind: to sell more products.

“For dci to continue as a successful organization, we needed to enhance our business model,” says Parker. “Instead of

Peter Cavin, director of Country Grocer, which operates six stores with 550 employees in Vancouver and Salt Spring Islands, points to another defining characteristic amongst independents: their strong support of national brands.

constantly just pushing for rebates, we needed to also make

“The independents have always championed the national

sure the vendors get good value out of their relationship

brands and will continue to do so,” he says. “There’s great value

with dci members, and what better way to do that than to

in that for vendors, who increasingly have to compete with

show them we can help them move their product in new and

private-label brands.”

innovative ways.”

So what advantages do independent grocers wield over their larger counterparts?

“Independents’ biggest strength is their ability to respond quickly to their customers’ needs and to changes in the

Building on these strengths, dci works with vendors to create promotions and contests that drive members to sell more.

These promotions might, for instance, award cash prizes or gift certificates to retailers who achieve the largest percentage increase in sales of a participating vendor’s product.

market,” says Steve Sharpe, owner of Sharpe’s Food Market

Of course, vendors can choose to deal directly with inde-

in Campbellford, Ont., and a dci board director. “As entrepre-

pendent retailers and avoid paying volume rebates. But Elliott

neurs, we’re the guys who are out there working hard on the

at Fernbrook Springs says it makes more business sense to go

floor, talking and listening to our customers, and making quick

through dci.

decisions on merchandising and shelf positioning to create excitement and boost sales.

“Being smaller makes us more nimble – we don’t have to wait for someone at head office to tell us we can go ahead with this particular promotion.”

“I get the benefit of the volume of many end customers as opposed to one at a time,” he says. “And dealing with dci means getting paid in time – I reduce my credit risk by working with dci.”

Selling through dci allows battery giant Energizer

Steve Sharpe Chair Sharpe’s Food Market Campbellford, ON Cori Bonina Secretary Stong’s Markets Ltd. Vancouver, BC Gary Alderson The J. Rabba Co. Ltd. Mississauga, ON Piero Carbone Garden Foods (Bolton) Ltd. Bolton, ON Peter Cavin Island Independent Buying Group Ltd. Chemainus, BC Gordon Dean Mike Dean’s Super Food Store Winchester, ON Brian Johns Vince’s Country Grocer Sharon, ON Gabe Torchetti Lady York Foods Toronto, ON

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A Supplement to Grocery Business

Canada to ensure a widespread presence in its market, says the

and whether or not they would recommend it,” she says. “It’s

company’s president, Ed MacLellan.

like being part of one big family.”

“Batteries are ubiquitous – they need to be everywhere,”

These days, dci is also seeing more members participate

he says. “What dci does is provide us an opportunity to sell to

in committees and focus groups. Last November, the organiza-

independents in Canada whom we would probably not be able

tion embarked on a rebranding project, which culminated in a

to reach directly ourselves.”

new logo in an attention-grabbing shade of purple, a switch to

Today, dci members sell billions of dollars’ worth of products each year – solid proof of its evolved identity as a selling organization. It is evolving in other ways as well, says Parker.

In addition to embracing a new mission statement focusing on collaborative selling relationships, dci members are re-engaging with the organization and with each other.

“They’re starting to realize that the other people in the room are not competitors – they’re colleagues and part of the

a lower-case acronym – dci instead of Distribution Canada Inc. – and the redefined mission statement.

Many members came forward and volunteered their time during this rebranding effort, recalls Parker.

“Just as an example, we had a focus group on rebranding that drilled down further into smaller focus groups,” he says.

“Our members were really engaged throughout the entire process, and they came up with some truly great ideas.”

dci community,” says Parker. “As a result, they’re starting to

A number of members also came together to form a

share ideas and best practices around things like how to be

steering committee whose mandate is to get more vendors to

more customer-oriented or more involved in the community.”

work collaboratively with dci – a goal integral to dci’s newly

Rina Virgilio, director of operations for Concord Food Centre in Thornhill, Ont., and Oak Ridges Food Markets in Oak Ridges, Ont., says being a member of dci has made it easier for her to tap into the knowledge and experience of her fellow independents.

redefined mission statement.

Virgilio, who is part of this committee, says she’s already seen results from this initiative.

“Vendors are definitely coming around to being more open to us – something that a lone independent would find

“If I’m thinking of putting in new equipment or new

hard to accomplish without the collective clout of dci,” she says.

store fixtures and I know that another dci member actually

“After all, why would a vendor give you volume rebates when

has the same thing in their store, it’s pretty easy for me to

they’re already dealing with you now without having to give

reach out to that member and ask them about their experience

you those rebates?

From buying to selling: dci gets behind a new mission statement “ DCI is a national organization of independent grocers that fosters collaborative selling relationships between its shareholders, manufacturers, and key stakeholders in the Canadian grocery industry.”

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C ONGRATULATIONS D ISTRIBUTION C ANADA I NC . on your

th AN

N I V E R S A RY

C OMMIT TED

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TO YOUR SUCCESS !

“Vendors know that if they want to move a trailer of paper

Charles Coppa, co-owner of Highland Farms, says his

or any other product, they can easily work with dci to set up a

membership with dci has put him in touch, not just with manu-

promo where they offer the product at a competitive price and

facturers who want to put their products on his stores’ shelves,

all the members are going to buy.”

but also with dci members that offer products and services his

To keep members engaged and further increase the value of their membership, dci has expanded its website to include a secure section where members can log in to get information

company needs – such as packaging, employee benefits and gas.

“We have made valuable connections through dci, that’s for sure,” he says.

about product launches and the latest industry news. Members

Penny Chapman, president of Chapman’s Ice Cream, says

also get regular communiqués loaded with updates on vari-

that after many years of working with dci, she looks forward to

ous subjects, including changes to packaging, the latest vendor

more years of fruitful collaboration.

deals and merchandising ideas.

“Independent grocers are very much like us at Chapman’s

“Manufacturers know that through these regular com-

– we’re renegades, we’re characters, and we put our hearts and

munications, they’re able to talk to our members every

souls into our business,” she says. “But these days, it’s become

day,” says Parker. “This helps our members be up-to-date

so tough to be an independent, and that’s why it’s important

with the information that’s relevant to their business while

for all of us to work together and to support each other. Because

also helping manufacturers get their message out in a more

we all want the same thing: to give consumers the products

effective way.”

they want.”

But even as it has intensified its activities, dci has man-

John Scott, president and CEO of the Canadian Federation

aged to maintain a lean and cost-conscious operation from its

of Independent Grocers, says dci has always played an impor-

office in Burlington.

tant role as the buying group for the country’s independent

“As a not-for-profit organization, we work within the resources we have, and are always doing what we can to cut

grocers. With its new focus on selling, dci brings even greater strength to its members.

costs,” says Parker. “This allows us to do so much more today,

“Under Brian’s leadership, dci has defined a value propo-

essentially providing more services and giving added value with

sition that is good for the supply community and, in turn, for

the same amount of resources.”

independent retailers,” he says. “In the end, everyone wins.”

“ We

have made valuable connections through dci, that’s for sure.”

Charles Coppa, co-owner of Highland Farms

DCI represents a unified group of thousands of stores that help our shareholders/members sell more product and gives our vendors the ability to cohesively execute programs.

To see how you can benefit call dci, we have momentum.

Brian Parker President & CEO brianparker@ distributioncanada.ca (905) 681-3933 Your Partners in Selling

on your

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