How To Get Into Raley’s
- Understand you client: Before you spend a lot of time and money creating a product, you should know if anyone will want to buy it. Learn more about Market Research
- Learn if it’s protectable: Know if you can defend your product against cheap copies if it gets knocked off. Learn more about Copyright and Patent your product
- Test your product: Make sure that there’s a demand for your product and the customer understands what you are selling when it’s on the shelf and nobody is there to explain it. Learn more about Product Testing
- Perfect your pitch: Before you speak to decision makers, know your numbers, know your retailer and know your logistics in and out. Learn more about Pitching Your Product
- Don’t do it alone: If you haven’t been successful in retail before, a secret of success is that you can’t do it alone. Having great sales staff, customer support and marketing partners can take you from zero to success faster than if you tried on your own. Learn more about Retail Partnerships
How To Get Into Raley’s
Founded 84 years ago, Raley’s Supermarkets (also known as Raley’s Family of Fine Stores) is a privately held, family-owned supermarket chain that operates stores under the Raley’s, Bel Air Markets, Nob Hill Foods, Food Source, and Market 5-ONE-5 banners in northern California and Nevada. The company was founded in 1935 by Thomas P. Raley in Placerville, and employs around 12,000 team members as of 2019. Headquartered in West Sacramento, California, Raley’s is the dominant supermarket operator in the Sacramento metropolitan area.
The retailer’s product offerings include Bakery, dairy, deli, frozen foods, general grocery, meat, pharmacy, produce, seafood, snacks, and prepared foods.
To enter into business with this retailer, you need a unique selling point. This means that your offers must be different from the commonplace. You must look for something that makes what you sell very different from several products that this retailer sells.
Raley’s competes in the market on three things: price, customer service, and topmost quality. To achieve price, the retailer must get the products at affordable prices from the suppliers. Customer service is with the company. The last part is topmost quality. This is also a point with the supplier. The retailer would sell what the supplier supplies. Thus, to maintain the standard, the products must be of topmost quality. All food items must have passed through several regulatory checks to ensure that they are fit for consumption.
To get your products noticed by this retailer, you need to get on the RangeMe platform as the buyers of the company use the platform to source new products. You can create a free profile to get started. The platform works by getting you connected to potential buyers who would see the range of products you have on your supply dash.
The grocery market in the United States has gotten to the point where it has to be personalized. The sector is one that tries to connect with the individual customer. This means, the supermarkets try to address the needs and interests of individual customers. This is by offering local, international, and metropolitan products. The company’s stores offer natural and organic grocery products, such as organic produce products; bulk food and private label products; dry, frozen, and canned groceries; meat and seafood products; dairy products and dairy substitutes; prepared foods; bread and baked products; seafood; and beverages.
Raley’s has a long history in grocery retail. It is one of the oldest and it has been able to remain relevant since it got into the grocery business. This, this retailer, has achieved by offering several varieties at awesome prices to customers. This retailer ensures that all the products are compliant with regulations. This is to ensure that the best retail experience is given to its customers.
Become A Raley’s Supplier
Preapproval
New partners have to go through Raley’s preapproval by a Raley’s professional. This comes before completing any paperwork. In order to get in contact with a Raley’s manager you can call: (916) 373-3333 to schedule an appointment.
Ensured Requirements Needed
Resale Goods New Vendor Checklist
- Trading Partner Authorization Packet – complete and submit to Raley’s
- Terms & Conditions – read, understand & sign
- Taxpayer Identification Number & Certification (W-9) – complete and submit to Raley’s
- Certificate of Insurance – complete and submit to Raley’s
- Label Insight Onboard
- Product Safety and Quality Assurance – read and understand and complete and submit to Raley’s
- Global Trade Item Number (GTIN) – read, understand, comply
- Digital image – complete and submit to Gladson
- Transportation Logistics – read, understand, comply
Non-Resale Goods & Services New Vendor Checklist
- Trading Partner Authorization Packet – complete and submit to Raley’s
- Terms & Conditions – read, understand & sign
- Taxpayer Identification Number & Certification (W-9) – complete and submit to Raley’s
- Certificate of Insurance – complete and submit to Raley’s
- Transportation Logistics – read, understand, comply
Trading Partner Authorization
You will have to complete a Trading Partner Authorization Packet which will contain instructions needed to be gone over and understood.
Terms and Conditions
The terms and conditions is a legally binding agreement that details the terms and conditions between Railey and the partners they work it.
Resale (Merchandise) Goods
Non-Resale (Non-Merchandise) Goods & Services
Taxpayer Identification Number and Certification
Raley’s has an updated W-9 form.
Payment Policies
Purchase Orders
When Raley issues you a purchase order number, you will have to include the PO number on your invoice to Raley’s. Not doing so will delay the processing of your payment. This only applies to the vendors that Raley is issuing purchase orders.
Payment Methods
Raley’s partners are required to use a Wells Fargo Credit Card or Automated Clearing House in order to receive payment. Remittance will be sent via Electronic Data Interchange (EDI).
If you aren’t being paid by ACH, please complete the appropriate form.
- Vendors: Trading Partner Authorization Packet
- Extra Credit customers: Extra Credit Form
Payment Remit Changes
Changes to payment related addresses or account numbers will have to communicated on Raley’s Change of Remit Address/Banking Information form, along with a Taxpayer Identification Number and Certification form (W-9) and cover letter detailing the request. Until Raley has received written notification no changes will be made.
Payment Due Date Calculation
An invoice due date will be determined based on the Invoice Date or Receiving Date. Terms will be calculated from the purchase order, invoice or Trading Partner Authorization packet.
Resale Goods
Raley’s expects all of the brands it works with to have prevention based product safety and quality programs that make sure the products meet any and all regulatory requirements as well as consumer expectations.
Product Safety and Quality Assurance
Vendors have to go over the Supplier Quality Expectation Manual.
Afterwards the vendor must contact Raley’s Quality Assurance team in order to make sure that all quality and regulatory compliances documents are completed (quality_assurance@raleys.com).
Raley’s Quality Assurance Team will integrate a vendor into the Quality Management System Account, an email will be received that contains your account login, and you’ll required to review and/or submit the following:
- Supplier Information Form — Food, Non-Food
- Certificate of Insurance (Resale vendors submit to Quality Assurance)
- Raley’s Supplier Quality Expectation Manual
- Bioterrorism Act Statement of Compliance and Bill of Lading (Food Supplier Only);
- 3rd Party Audit (Food Safety or Good Manufacturing Practices or Alcohol Beverage Control License)
Other Requirements for Resale Goods
Raley’s Continuing Letter of Guarantee
Raley’s Transparency in Supply Chain Act (S.B. 657) –
Contact Raley’s
Do not trust any “list” of buyers.
Typically retail buyers change either companies or positions every few years. This strategy helps retailers know that their buyers are not taking “kick-backs” and are selecting the very best product for the very best position each time.
Buyers are typically held to a very rigorous standard of sell-through volume that they must hit and because of this they are risk averse. Your job as a supplier or vendor is to convince them that the buyers going into the stores not only know about what you’re selling but are actively seeking the product in the store currently.
How to Submit a Product to Raley’s
There are several ways to get a product placed in Raley’s. However, most entrepreneurs only dream about getting their product distributed to major retailers, few actually do it. We have experienced a significant rise in interest since the show Shark Tank started airing on NBC. Mr. Checkout has had the pleasure of working with a few Shark Tank success stories such as KISStixx and 180 Party Cups which are now currently being distributed around the country to stores like Walmart, Target, Kroger, 7-Eleven and more.
If you envision your product would be a good fit for Raley’s, we have a few steps to help you get your product on their shelves.
Here are the 6 steps you need to take to have your product placed in Raley’s.
1. Start with the right questions. Before you try distributing your product to Raley’s, you need to ask yourself a few basic questions. Do you need to build demand for your product, or is there already a demand for it? Do you know that Raley’s would be interested in selling your product? If you can strike a deal with Raley’s, can you handle the production volume? Do you want to sell directly to Raley’s, or do you want to license your product to a manufacturer that will handle distribution?
2. Be prepared to profit. Does your product offer enough of a profit margin for Raley’s? Can you sell your product at a reasonable enough profit to cover the packaging, shipping, commissions, marketing and wholesale distribution? Check Raley’s guidelines for other fees that you will have to build into the cost of your product in order for you to be able to turn enough of a profit to make the effort worth your while. If you work with a discount retailer, they will try to strip your profits down to zero in order to keep their prices as low as possible.
The typical breakdown of margins are: If a products costs $1 to produce, that product will retail for $4. That product that retails for $4 will wholesale for $2 to distributors and stores that purchase direct. Retailers like Raley’s = may offer to pay $1.25 to the manufacturer if the product costs $1 to produce. That is the typical profit margin.
3. Determine if is the right store for your product. The relationship between you and Raley’s starts with you browsing their store for competing products. If Raley’s already has a similar product, it is going to be very difficult to get your product picked up. Spend some time at your local Raley’s to see what kind of products they are selling, speak to the manager and see if he thinks your product will sell well in their store. Picture in which zone your product would best fit on the shelf and keep in mind that the most precious asset that these big box stores value are their shelf space. Keep this information in mind when you are preparing your presentation to Raley’s.
If your company is minority or women owned, check Raley’s website and see if they offer specific opportunities for those designations.
4. Pitch your product to Raley’s. Decide whether it will be you or a representative to present your product to Raley’s. Your presentation depends heavily on your strengths as a businessperson as they will most likely ask financial questions and logistics questions.
It’s common for companies to hire a broker to pitch their product to Raley’s, as it will be more likely that your product will make it to the next stage if the individual pitching your product has industry knowledge or a personal relationship with Raley’s. The percentage of commission verses, however generally a broker will take around 5% to represent your product to Raley’s.
We at Mr. Checkout have experience dealing with brokers and know that there are several retail brokers that have poor business practices that can potentially damage your brand. If you are seeking a legitimate Raley’s, please give us a call for a recommendation. It could save you a huge headache and a lot of money.
5. Complete the required Raley’s paperwork. Often Raley’s will have you go through an application process. However, before submitting the paperwork required by Raley’s, you should contact a buyer at Raley’s and let them know your intentions. Having a contact inside of the company will potentially move your application more smoothly through the process.
6. Anticipate the need for increased volume. Having Raley’s agree to stock your product will most likely mean a significant increase in volume. You should be prepared to ramp up your production and informing your manufacturer of this opportunity.
Having production, logistics and distribution to sync is not only difficult, it requires a significant amount of time invested in customer relations. Also, Raley’s may have stipulations in the contract that may penalize you for delays in shipping and production. Have an attorney explain all contracts to you if you don’t understand the terms.
If you’re looking to sell your product to Raley’s, be sure to thoroughly assess the marketplace, carefully prepare for production growth, and take full advantage of resources available to help you grow your business.
Submit Your Product Now
(est. time 3 minutes)