How to Get Product into Stater Bros
Headquartered in San Bernardino, CA, Stater Bros. Markets is proudly celebrating over 81 years of serving Southern California families. Today, Stater Bros. operates 171 supermarkets in seven counties throughout the area, and has approximately 18,000 employees with annual sales of over $4 billion.
Stater Bros. is rooted in the American tradition and proudly celebrates a rich legacy of service to this great nation. Tracing its beginnings back to a small grocery store in Yucaipa, CA, twin brothers and World War II veterans Cleo and Leo Stater purchased the original Stater Bros. Market from W.A. Davis with a $600 down payment. In the midst of the Great Depression, Stater Bros. officially opened for business on August 17, 1936.
Over the years Stater Bros. has become an iconic Southern California mainstay and trusted household name by consistently providing generations of customers with exceptional quality, everyday low prices, friendly service, fresh product offerings and full-service Meat Departments.
The Company has been named amongst the Top 20 companies in the United States to offer exceptional job security for its employees according to a recent report published on Forbes.com. The Company has also been rated as the “best place to shop for groceries” among Full Service Supermarket Chains in Southern California according to a Leading National Consumer Magazine.
Stores are mainly in communities east of the San Gabriel River in Los Angeles and Orange counties. A few are also located in northern inland areas of San Diego County and parts of northern Los Angeles County, such as Palmdale. Also there are two stores in Kern County in the cities of Ridgecrest and Mojave. However, throughout its Inland Empire base, they are concentrated heavily in San Bernardino and Riverside counties. Major competitor supermarket chains in Stater’s territory are Albertsons-Vons, Aldi, and Ralphs-Food 4 Less (divisions of Kroger).
Contact Mr. Checkout Distributors
At any time, there are hundreds of brands who are knocking on a retail buyers door in an attempt to get on their shelves. If you’re a small company or still trying to make a name for yourself in the industry, it’s best to contact Mr. Checkout Distributors who already have strong relationships with big box retailers around the country.
Mr. Checkout Distributors are always on the lookout for new products that have good margins and are ready for retail. When you put your trust in the experts, you have more time to focus on your business instead of worrying about fine tuning a last minute sales pitch to buyers.
How to get your product into Stater Bros
- 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
Contact Stater Bros Buyer
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.
Sometimes easier said than done, however you must get on Stater Bros radar.
Call the Stater Bros corporate phone number and ask for the names of the buyer and assistant buyers in your category.
Always leave voicemail with whomever the dispatch will connect you.
Use that information to connect with them on LinkedIn, RangeMe and any other professional social platform.
Ask your representative at your trade bureau to connect you to the Stater Bros buyers as they will potentially have a better history.
Use advertising, public relations and marketing to make your brand known to Stater Bros buyer through 3rd party websites & industry media sources.
Be everywhere that they look, the key is to position your brand as the obvious choice when Stater Bros is looking to either refill a slot or create a new category.
Latch on to the news of the day and any trend that will make your product fill that niche whether that be Non-GMO or Vegan Leather for example.
Investing in your brand can only benefit your opportunities in the future. As being “top of mind” will have a ripple effect when you physically present your product at a Stater Bros buyers meeting or trade show in the future.
Stater Bros buyers typically got to their position by picking “winners” and know how to see through the fluff.
Focus on the numbers, know your bottom dollar during a negotiation and how fees and chargebacks may cut into your position.
Know that long term success may outweigh short term sales, however financing large purchase orders from Stater Bros when the net result is negative is not sustainable.
Understand the playing field and the other brands that are in your space, what they are offering as promotion and pricing and how you can stand out against them.
By knowing that each buyer at Stater Bros probably knows more than you do, take an active listening approach to sales and understand that no is a perfectly acceptable answer that may have saved you millions of dollars on the backend.
How to Submit a Product to Stater Bros
There are several ways to get a product placed in Stater Bros. 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 Stater Bros, 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 Stater Bros.
1. Start with the right questions.) Before you try distributing your product to Stater Bros, 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 Stater Bros would be interested in selling your product? If you can strike a deal with Stater Bros, can you handle the production volume? Do you want to sell directly to Stater Bros, 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 Stater Bros? Can you sell your product at a reasonable enough profit to cover the packaging, shipping, commissions, marketing and wholesale distribution? Check Stater Bros 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. Big box retailers like Stater Bros 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 Stater Bros is the right store for your product.) The relationship between you and Stater Bros starts with you browsing their store for competing products. If Stater Bros already has a similar product, it is going to be very difficult to get your product picked up. Spend some time at your local Stater Bros 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 Stater Bros.
If your company is minority or women owned, check Stater Bros website and see if they offer specific opportunities for those designations.
4. Pitch your product to Stater Bros.) Decide whether it will be you or a representative to present your product to Stater Bros. 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 Stater Bros, 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 Stater Bros. The percentage of commission verses, however generally a broker will take around 5% to represent your product to Stater Bros.
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 Stater Bros broker, please give us a call for a recommendation. It could save you a huge headache and a lot of money.
5. Complete the required Stater Bros paperwork.) Often Stater Bros will have you go through an application process. However, before submitting the paperwork required by Stater Bros, you should contact a buyer at Stater Bros 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 Stater Bros 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, Stater Bros 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 Stater Bros, 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.
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