(ThyBlackMan.com) Every business owner knows that there are challenges, and the food industry has more than its fair share. Selling food requires a lot of work, and you have to be at the forefront of customer service, advertising, financing, food safety regulations and more to be successful. These challenges can seem insurmountable at times – which is why we’re here!
In this post we’ll go over some key challenges for those looking to start in this industry and how they can overcome them.
1. Product Distribution
The biggest challenge food entrepreneurs face today is product distribution. With major retailers and supermarkets getting increasingly more stringent about which suppliers they will work with, many companies are finding it hard to establish a dialogue that can lead to increased access.
Without product distribution, there would be no food business in the first place – the customer must have access to it, and they will pay more for what they want if it is difficult to source. For this reason, you have a responsibility as an entrepreneur to build relationships with potential clients, so that when a relationship develops and produces a sale you can supply it.
The importance of product development cannot be underestimated. Once a company has identified its niche through research with its target market (the people who will buy your products), the next step is to create new products which meet their needs.
2. Quality Control
Quality control is an essential element of ensuring you have the confidence of your target customers. If your company has a product that has several steps of production, it is important to oversee the process. This will make sure that each member of the chain adheres to your quality standards, which leads us to our next point. Food chains and distribution chains are difficult to build and manage; so you need the right people in place who can effectively manage them if you want to be successful.
Luckily, this challenge can be overcome by using quality controls such as:
- Testing of ingredients (foods, raw materials) to make sure they meet your specifications.
- Product testing to make sure their ingredients are safe for consumption (can your consumer buy your product and eat it?).
- Contracts with suppliers to ensure only wholesalers who meet your quality standards are able to sell your products. This means you will have the widest possible choice when selecting a supplier.
3. Marketing and Sales
It is important that the food you produce is not only safe and of good quality, but also looks enticing. You have to have a strategy in place to effectively sell your product. Marketing and sales may include things like new business development, public relations, social media marketing, internet marketing and email marketing, just to name a few.
It’s important to make a decision on where you will advertise your products. For example, if you are in the food industry, the proper place to market your product is on social media platforms such as Facebook and Twitter. There are also places that you can use for internet marketing as well, including Google Adwords and blogs.
Some other challenges
Food businesses around the world are constantly challenged due to the always changing tastes and preferences. Food also has to last a long time and be relatively inexpensive to appeal to consumers, who have increasing demands for convenience and affordability. Lastly, food businesses are now facing new regulations from local governments that require them to produce more waste than ever before.
These challenges are making it harder for entrepreneurs to run their own food business without considering all the factors which come into play when running a company full of rickety equipment with limited resources.
Over to you
We hope this article helps those budding entrepreneurs get into the food industry and overcome the challenges they face along the way. Many companies have been able to accomplish their goals through simple approaches such as: building relationships with quality suppliers, developing new products that meet customer needs and improving existing products or processes. With these small steps, your company can be successful.
Staff Writer; Corey Shaw
Have any Tech Tips? News? Hit up our Tech Guru at; CoreyS@ThyBlackMan.com