FOOD-360, YOU PRODUCE, WE DELIVER

A solution by FOOD-360 submitted to Co-operative Producer-led Initiative for the Artisan Food Sector

OPENING UP POTENTIAL MARKETS FOR ARTISAN FOOD PRODUCERS. USING A NETWORK OF REGIONAL DISTRIBUTION HUBS COUPLED WITH DIGITAL TECHNOLOGY TO PROVIDE ACCESS TO SALES MARKETS AT AFFORDABLE COSTS.

(Pitched: 12/07/2018)

One Page Summary

The Challenge

The challenge is to develop a suitable and sustainable regional model of viable regional distribution hubs.

The Food-360 solution uses a collaborative network coupled with bespoke technology to ensure the marketplace for local producers isn’t subject to regional borders. This “Uber” style approach allows for both a scalable and efficient solution to the common problem of Distribution for artisan food companies.



Solution Elements

1) Co-operative producer-led initiative for the artisan food sector providing market reach and sales potential
 *Survey the producers to determine their existing sales and market, the potential and barriers to growth.
 *Identify additional markets and customers
 *Utilising the Food-360 brand and marketing expertise bring new producers and products to market and increase the size of the sustainable markets

2) Regional central warehousing facility / distribution hub for storage of chilled and ambient with the ability to link to replicas in other regions
Initially the unit should be capable of catering for all immediate requirements of the core group of producers in the catchment area with the option to grow by taking additional space and / or installing purpose-built units for specialised operations.

3) Nationwide distribution capability at affordable cost based on producer-led model
Based on the current requirements and the growth potential that is immediately viable we will implement the following distribution strategies giving immediate access to wider markets:
 *Provision of regional fleet
 *Replication in key regions
 *Bi-directional trunking

4) Centrally manage order creation, processing, despatch and invoicing on collective basis
Done through a bespoke technology platform where communication, accuracy, traceability are key features. Transport Management System (TMS), Warehouse management System (WMS) features with a Fintech payment platform will form the basis of this part of the solution.

5) Appropriate structures and processes to ensure its sustainability
Our proposed solution is to utilise existing platforms and capacity of other operators. This is core to the overall sustainability of the solution. Structures will be determined by simplifying the efforts involved, minimising the costs and aiding the process to be complete without risk.

6) Solution suitable for roll out to other sectors
Our iterative and prototyping approach to this solution will give us a design output aimed at the artisan producers in the region. With the technology platform and a proven model the services of central warehouse, distribution and data return are transferable to the complementary and un-related sectors.

7) Sustainable businesses supporting social and economic development of rural area, ensuring wealth creation, social connection and adding vibrancy to rural area
In providing a service to the local artisan producers based around their core requirements and allowing them to grow we are achieving our goals. increases sales and maximise margins for the producers. This creates wealth, jobs and prosperity for the SMEs involved. When this project is replicated in other regions and networked the benefits will multiply



8) Use of technology accessible to all, providing sales data intelligence to facilitate growth and eliminate waste
The provision of intelligent real time data to all users in a format that works for everyone will be key.   

Competitors and differentiation factors
1) Focus - focussed on the needs of small regional producers

2) Central Distribution Hub - hubs will be regional

3) National Distribution - solution will be networked bi-directional through regional hubs as opposed to radial ex Dublin

4) Sales Data & Intelligence - core service

5) Market Reach - Visibility to additional markets 

6) Scalability - focussed on collaboration controlled by intelligence

7) Technology - technology will be bespoke and accessible

Food-360, Existing Model and Scalability
Food-360 currently operate a model in Galway that addresses artisan producers needs for a central warehouse and distribution network.

Services to Producers

o Full range of logistics, transport and sales intelligence 

Services to Food Service

o Product & producer info & bespoke solutions

Services to Retailer

o Product & producer info


Our current offering has shown the need for a regional DC and network customised for small producers.

SWOT analysis re Scalability
 Strengths
o Flexibility

o Local knowledge

o Short supply chain

o Bespoke technology

 Weaknesses
o Scale = cashflow & resources

o Producers as competitors

 Opportunities
o Artisan and craft producers

o Geographical diversification

o Ancillary services

o Intl food distribution

o Unique cold store design

o Outsourcing

 Threats 

o Retailers dictating distribution chain

* Non-compliance


Food-360 - You Produce, We Deliver