Wholesalers Put Value In The Middle

Detroit wholesalers partner and expand to serve the food scene.

Detroit wholesalers are the lifeblood of the region’s produce distribution stream. “Our Detroit produce terminal brings in some of the best produce anywhere in the country,” says Joe Santoro, senior produce buyer at Nino Salvaggio Market in metro Detroit, MI, with four stores. “Independent retailers like us are looking for top-shelf produce, and they find it for us.”

The two largest and most well-known wholesale hubs in the Detroit area are the Detroit Produce Terminal and the Eastern Market. “These markets are massive distribution centers for everything from produce to flowers, and they primarily serve other wholesalers,” says Jeremy Galli, wholesale delivery manager at Joe Randazzo’s Fruit & Vegetable in Detroit, MI.

The Eastern Market, in addition to housing some distribution companies, includes an upscale retail-type market. “Local growers use this market to sell to the public,” says Dominic Russo, general manager of Rocky Produce in Detroit, MI.

SERVING CUSTOMERS

Detroit’s strong independent retailers are known for the quality of their products. “We make sure they can always deliver on their promise,” says Jordan Grainger, vice president of sales and business development for Ben B. Schwartz & Sons in Detroit, MI. “We stay competitive by always delivering only the best produce, and have expanded to include value-added services, such as repacking, bagging, and more, so however people need their produce, they can get it.”

The independent retailers in Detroit drive the market, states Russo. “They are very strong and hold a high standard,” he says. “The level of care they have in their departments is unbelievable. They move a lot of produce.”

Detroit wholesalers help customers offer value. “Our customers have come to expect the best quality and value,” says Santoro. “We take great pride in offering the best produce at the best value to our customer.”

Customers at University Foods in Detroit, MI, seek out good deals and freshness, states Norman Yaldoo, owner-operator. “We buy quality,” he says. “We buy No. 1 produce, and keep it at a low price.”

Quality, service, and cost have long been the factors in selling produce in Detroit, explains Dominic Riggio, president of Riggio Distribution Co. in Detroit, MI. “Trends in packaging and varieties come and go, but quality, service, and cost determine success.”

Agility is another benefit for wholesale customers. “Our customers find value in shopping from us because we offer flexibility,” says Russo. “They can buy as many times a week as they want.”

Santoro shops the market six days a week. “It allows us to be nimble,” he says. “We lean on our experience to make an educated guess on what we need, but things happen. So we can be nimble when we’re buying every day.”

Having customers at the high-end and at the value-end means bringing in something to meet everyone’s needs, states Russo. “We have an ideal blend of different types of customers, which allows us to move a lot of produce,” he says.

ENHANCING PERFORMANCE

Detroit wholesalers add services, expand areas, and employ technology to better serve customers. “As our customers’ needs change, we’re not limiting our service to them,” says Russo. “We’re doing more to ensure our customers have what they need to be successful.”

“There’s a large customer base for value-driven produce in Detroit. Those types of customers move a lot of produce when they get the right price.”
— Dominic Russo, Rocky Produce, Detroit, MI

Yaldoo emphasizes the relationship with wholesalers is important. “We need to meet the expectations of our consumers, so we must have a supplier that backs us up.”

Ben B. is experiencing increased demand in value-added services, including everything from bagging to repackaging. “Consumers want to buy produce in different quantities and preparations, so it’s important that we’re able to prepare commodities in a number of ways,” says Grainger. “We’ve always considered ourselves a partner, not a vendor, and in that spirit, we’re focused on expansion.”

Ben B. is now serving new markets, such as North Carolina, Georgia, Tennessee, Arkansas and Missouri, and offering new services including white labelling, repacking, mesh bagging and more. “We’re also working on making it easier to order and track deliveries with our proprietary ERP platform,” says Grainger. “Our passion has always been delivering the highest quality produce and always will be; we’re just focused on making it better and for more people than ever before.”

To stay competitive, Joe Randazzo’s is constantly implementing technology, including online ordering, inventory management and route optimization. “It makes business more efficient and easier for our customers,” says Galli. “While price is always a factor, we win customers by providing a better balance of quality, service, and value. We strive to be seen as long-term partners rather than just a supplier.”

LOCATION ADVANTAGE

Detroit is ideally centrally located on the Canadian border and connected to an international airport and major freeways, while also being near a thriving Midwest grower community. “Detroit is also close to Leamington, Canada, which is the greenhouse capital of North America,” says Grainger. “This gives us easy access to nearly any produce item possible, while also allowing us to serve a wide range of U.S. locations quickly.”

Its location in the upper Midwest provides proximity to the local growing regions of Michigan, Ohio, Indiana, Ontario and beyond, explains Riggio. “At the same time, we can service customers in those same regions very efficiently,” he says.

Russo notes Rocky Produce brings in many local items to support the growers and take care of customers. “We act as a one-stop shop for local, which benefits the customers,” he says.

The Detroit market has a unique connection to farms in Michigan and the Midwest, explains Galli of Joe Randazzo’s. “This allows wholesalers to get fresh, seasonal produce directly from growers, a major plus for local restaurants and grocers,” he says. “We are able to provide restaurants with fresh, local and seasonal ingredients, definitely an advantage for them as well.”