How much (in % of revenues) does a food and drinks wholesaler/distributor spend in logistics, meaning, paying a 3rd party to pick up and deliver the products to the retailer’s warehouse?




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This is a Quora questions that I was asked to answer. Here is my answer.

That will depend on a lot of factors – your volume, distances, consistency, speed of delivery, does the product require cooling, how is it packaged (case and pallet configurations), carrier, etc.

For 8+ figures in annual sales, I have gotten that number down to as low as 5% of revenue.

For a small 6-figure company, I have run as high as 15% of revenue.

So, figure 15% on the high end for low volume and 5% on the low end for high volume.



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2018-05-17T12:01:11+00:00By |Categories: Production & Logistics|Tags: , , , |0 Comments

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I am a startup and growth company expert: sold 1, built 5, and crashed 2. I develop, launch and grow consumer products through uncommon methods that can lead to more sales – faster – and can make a company and its products more appealing to consumers and resellers, with less risk. More about me here.

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