Sales role in food and beverage evolves
Suppliers need technical capabilities to sell effectively
This is the fourth of our trends that we have published for 2026. Our SKUFood trends are different. We focus on the entire value chain and look for insights to help you as you navigate through another year in this challenging industry. There are several sources for trends to help you understand what is happening with consumers. They are important and we encourage you to consider how they impact your target market and your products.
Retailers expect suppliers to do more work as they shift data entry for listings, price quotes and promo planning to suppliers. This can be a challenge and the technical expertise is more than just understanding a spread sheet. Every retailer’s system is different and the instructions to help suppliers understand how to do it are not always great. They just expect suppliers to know. Some retailers are also eliminating the social components of the relationship with new policies designed to reduce or eliminate the gifts such as tickets or dinners employees can accept.
Every retailer is different
Great sales departments understand customers. You want great results but purchase orders do not just appear because you have a great product or they like you. Selling into the larger retailers is complicated and sales departments need to understand the rules of the game.
Doing business with retailers is like flying
If your business is going to interact with the large retailers you need to have the technical abilities to foster the relationships. Some of you might remember when you wanted to fly somewhere the process was very different than it is today. Back in the day, you bought a ticket from the airline by calling to make a reservation or visiting a travel agent. You went to the airport and there was a person who checked you in and took your bag to put it on the conveyor belt. Now you book your ticket online, check in at the kiosk at the airport and put your own bag on the conveyor. You can get all the way to the gate with no personal interaction with the airline. Some day we wonder if we will have to fly the plane.
Doing business with retailers is getting close to this. You do need the person to approve the listing but after that a lot of your interaction is with their portal. You get the login credentials and you are expected to complete the onboarding process and get your item listed in their system. In the eyes of the retailer, this is more efficient. This is true in that you should have all the relevant information such as product details, costing etc. Where it is not efficient is that every retailer has a different system and you do not do this work often. You probably have to learn every time. There are also not a lot of resources to help you.
If you want to sell into Walmart, for example, you need to use their Item 360 platform. Not for the faint of heart!
Your sales people need these skills if you are going to interact with these retailers. Great people skills are important but they also need the technical ability to navigate through each retailer’s portal.
The relationship is complicated
Retailers tell you how they want to do business. They each have their own expectations and your sales people should develop relationships with these guidelines in mind. We have found each retailer’s public facing supplier expectations. Obviously, you learn more as you develop relationships but this is the starting point.
Loblaw Companies Limited
As one would expect, the Loblaw supplier expectations are very detailed and definitely approved by a few lawyers. Loblaw has had the most issues related to the bread price fixing story. Since those revelations, they have put a lot of emphasis on the interaction with Loblaw employees and suppliers. This business is probably the most sensitive to the relationship and how transactions happen.
One area where there are differences from retailer to retailer is suppliers and gifts. Loblaw outline their perspective in their supplier code of conduct. Suppliers should check these regulations regularly as they do change. When upper management changes they can have their own view. This is from the Loblaw Supplier Code of Conduct.
Gifts & Entertainment
- Do not give or accept gifts or entertainment that could be perceived to be an attempt to influence a business decision, create an obligation to do something in return, or a personal reward for making a business decision.
- Adhere to the following principles in deciding whether to give or accept a gift or entertainment. Gifts or entertainment given or received should:
- Be of nominal value and not extravagant.
- Be infrequent.
- Be related to a reasonable business purpose and primarily benefit Loblaw.
- Be consistent with acceptable business practices, given the industry and the geographic location.
- Be permitted by law, Loblaw Policies and the policies of your company.
- Not reflect or have the potential to reflect poorly on—or embarrass—Loblaw.
- Not be indecent, pornographic or otherwise seen as offensive.
- Not be provided if a tendering process is ongoing involving your company.
- Maintain records of all gifts, entertainment, or hospitality provided to Loblaw.
Loblaw have implemented a small supplier program to work with businesses across Canada. The following link takes you to the details of the program.
If you want to learn more about Loblaw expectations you can click on this link for the Loblaw Supplier Code of Conduct.
Walmart
As one would expect with a huge business like Walmart, expectations are high. They do not have the time or the resources to work through small issues with many suppliers. Walmart are clear about how they want to do business. To ensure suppliers are compliant Walmart have a very detailed process for audits. This is their solution to keeping suppliers doing business how they want it done. These audits do add costs and some seem ‘over the top’ but they are consistent for their sourcing and procurement in all countries. They address a broad list of issues.
This is from the Walmart Responsible sourcing hub where they outline how they want to do business:
Audits, Certifications and Testing
Doing business with Walmart requires making your products, facilities, and records available for audits, inspections, and tests. You must obtain required audits, inspections, and tests in accordance with Walmart policy and provide the results to Walmart, collaborating with Walmart to resolve any issues. Depending on your product, you may be required to obtain a combination of the following audits:
- Food Safety
- General Merchandise Product Safety
- Health & Wellness Product Safety
- Responsible Sourcing
- Supply Chain Security
If you would like to learn more about Walmart supplier requirements click on this link
Sobeys
Doing business with Sobeys can be more complicated. They have more divisions and they also have some retailers like Longo’s and Farmboy that operate more autonomously. Sobeys also have a more complicated structure with people in sourcing and procurement from coast to coast. This excerpt is a summary of how Sobeys want to interact with suppliers.
1. Uphold ethical business dealings
Laws and regulations. Suppliers must comply with all applicable laws and regulations relating to anti-bribery, anti-corruption, fiscality and anti-money laundering wherever they do business. If local legal or regulatory requirements differ from this Policy, adopt the requirements with the higher standards.
Anti-bribery. Do not solicit, accept or otherwise engage in any form of corrupt practices including bribery, extortion, fraud and money laundering, kick-backs, gifts or other payment with the intent to obtain favours or preferred treatment.
Relationship with governments. Do not, directly or indirectly, participate in or facilitate payments, gifts or other forms of bribery schemes involving government or public officials.
Conflicts of interest. Do not contact our employee or store level teammates to provide gifts, payments or request favours or preferred treatment in exchange for personal favours. We also ask that suppliers disclose to their Sobeys business counterpart any close personal or family relationship they may have with a Sobeys employee or executive.
Gifts. To avoid real or perceived conflicts of interest or potential intent of bribery, do not give gifts of cash or cash equivalents to our employees or store-level teammates and their immediate family members. Invitations to meals, social events or any outside activities may be accepted only if the occasion is business-related, of moderate value, in good taste and occurs infrequently.
Confidentiality. All information about suppliers’ supply of products or services to Sobeys and any information relating to future programs, ventures or proposals between us needs to remain confidential and not be disclosed outside those of suppliers’ employees who need to know as part of their role. We also acknowledge that suppliers may share certain information to the extent required by applicable laws or regulations, or to respond to enquiries from government agencies. Suppliers need our prior written consent for any other intended disclosure of Sobeys’ information. In line with this confidentiality commitment, we also ask that suppliers maintain appropriate security measures and practices for all digital and electronic communications.
Information security. Suppliers must ensure that they have and maintain policies, standards and procedures to comply with applicable privacy laws and regulations, industry standards and contractual requirements.
Sobeys and Metro put the most emphasis on local sourcing in all departments. Here is a link to Sobeys local program
If you would like to learn more about Sobeys Ethical and Sustainable sourcing policy click on this link
Costco
As one would expect Costco is not as complicated in their public facing information. When you do enter into business with Costco they provide more information about expectations. They are very clear about gifts in their code of ethics.
Gratuities
Costco employees cannot accept gratuities from suppliers, members/customers, or service agencies with whom Costco presently does business, has done business with in the past, or any firm that may be considered for future business. Gratuities are interpreted to include gifts, moneys, trips, meals, lodging or special favors. Costco also restricts its employees from giving gratuities.
If you are interested in the opportunities with Costco, they are committed to working with qualified Indigenous (First Nations, Inuit and Métis), visible minority, and women-owned suppliers in the communities where they do business. You can click on the following link.
If you are interested in how Costco defines the relationship with suppliers you can use this link to contact them.
Metro
Similar to Sobeys, Metro do have a lot about local suppliers. They also publish a supplier’s code of conduct. Metro does use an outside business to assess the compliance of suppliers. Metro shares the results of supplier audits:
We continued assessing our suppliers against the principles of our Supplier Code of Conduct for responsible procurement. To date, 29% of our active suppliers have been evaluated, representing nearly 69% of our purchases. Of these, 91% of purchases were made from suppliers that meet our expectations.
If you are interested in working with Metro this is a link to their Supplier code of conduct
Metro supplier code of conduct for responsible procurement
If you review each of these retailers and how they want to do business you will learn a lot about them. They each have their own way of doing business. If you want to grow your business with one or more you need to learn about them and develop relationships with their people using these guidelines. Notice we said people. They are all different and you have to get to know them and see how they perceive the corporate polices.
If you will be at the Future of Food event in Ottawa February 10 or the CFIN event the following day let me know. I look forward to seeing a lot of people in the industry those two days.
Peter
SKUFood Recipes for Success Podcast
In this episode of SKUFood Recipes for Success, we sit down with Jake Karls, the unapologetically authentic and refreshingly relatable Co-founder & Chief Rainmaker of Mid-Day Squares, the good-for-you chocolate brand that went from a Montreal condo kitchen to tens of millions of bars sold across thousands of retail stores.
Jake brings a no-BS approach to brand building. For him, the real differentiator isn’t just product innovation—it’s human connection, consistent storytelling, and having the courage to be fully yourself in a crowded category. As Mid-Day Squares scaled from idea to retail reality, Jake played a pivotal role in building community first, leveraging radical transparency, and turning everyday snackers into loyal superfans.
Widely recognized as a rising star in business, Jake has been a finalist for EY’s Entrepreneur of the Year, landed on Forbes 30 Under 30 (Food & Beverage, 2023), and has become a familiar voice in media across North America.
In our conversation, Jake takes us through the creative and chaotic early days of the brand, how daily content evolved into a trust-building machine, and why vulnerability became their most powerful marketing strategy. We explore how the founders navigated rapid growth without compromising authenticity, how they intentionally built a movement rooted in empowerment and inclusivity, and what their journey reveals about the future of food brands that resonate on a human level.
This episode offers an inside look at how Mid-Day Squares disrupted an entire category simply by showing up as themselves.
If you would like to be a guest send us a note. We are always working on the upcoming episodes.
Leveraging the opportunity for Canadian Products
We are excited to deliver this program with Food & Beverage Manitoba. So many opportunities for food businesses.
Food & Beverage Manitoba is hosting a targeted 4-part series with Peter Chapman of SKUFood to help processors navigate rapid shifts in the Canadian market. With rising trade uncertainty and growing demand for Canadian-made products, success now depends on clearly communicating your value, aligning with retailers, and building a strong sales and marketing foundation.
This series equips food and beverage companies—whether new to retail or expanding their reach—with practical tools to get products onto shelves and into carts. Three sessions are virtual, and the final full-day session is in person at FABMb. Attendance at all four sessions is required.
Jan 15 – Opportunities with Consumers (Virtual 9am-12pm)
Jan 22 – Alignment with Retailers (Virtual 9am-12pm)
Jan 29 – Developing the Retail Plan (Virtual 9am-12pm)
Feb 5 – Create a Quality Presentation (In person at FABMb, virtual option available)
Members Price all 4 sessions: $400.00 plus GST
Non-Member price all 4 sessions: $800.00 plus GST
How Canadian is it?
Almost every day there is something in the news regarding the trade relationship between Canada and US. This morning it was Bombardier. As we get into the negotiation to either renew or discard the free trade agreement, we have the rhetoric will probably be increasing again. When this happens consumers in Canada will put more emphasis on supporting Canadian products.
Your packaging needs to be ready. Our regulations are not easy for consumers to understand. We had never seen this Australian solution. Interesting and perhaps something to consider here. Producers and processors do not need to wait for regulations. We still maintain this can be the most effective point of differentiation in your category if you are the only Canadian solution.
Where is Peter speaking?
With the focus on Canadian food and beverage we wanted to share a program we have developed with Alain Bosse, the Kilted Chef. We partner to share insights about Canadian food and beverage at conferences and events. We talk about where products come from, share insights about some hidden gems and of course Chef Alain has great tips for using the products at home. This is designed to be entertaining and engaging. Not just for food industry audiences, it works for everyone.
I do have travel coming up to Toronto and Fredericton so if you want to connect or have an event in any of these locations give me a call or send me an email.