@ MEZZOTINT123RF/ 123RF.COM
RETAIL / 06
Andy Campbell advocates a partnership based approach to build strong supplier relationships
O
ver recent years, the supply base within the gardening industry has consolidated somewhat, with relatively few larger companies dominating the market. Like many other markets it changes constantly as a result of acquisition, merger, flotation, buy-ins or buyouts, and at worst liquidation and receivership. Gardening products are characterised by their seasonality, weather-dependency and, in the case of horticultural products, their perishability. In addition, they tend to be of relatively low value, bulky and difficult to manage through the supply chain. When these dimensions are
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combined it is clear that volatility in the market is inevitable and that if retailers and suppliers don’t work collaboratively, conflict will arise and opportunities will be missed. This working relationship becomes doubly important during periods of intense demand and restricted supply, as we have experienced in the last eighteen months. The challenge, therefore, is in choosing the right suppliers to work closely with, and to determine the best way of working with them. At one end of the relationship definition, the exchange can be viewed as a simple transaction between buyer and seller, no more than a clinical interaction, largely tactical by nature. At the other end, a much more strategic relationship can be sought and developed that will deliver sustainable
HORTICULTURECONNECTED / www.horticultureconnected.ie / Summer 2021
It takes considerably more time to manage a bad supplier who consistently underperforms, than a good supplier who delivers on commitments
