Supplying Industry

  • Suppliers of packaging
  • Suppliers of raw materials and ingredients

Manufacturers of the big brands appear to be less willing to innovate in view of high costs and a significant risk of failure. The Supplying industry (packaging, raw materials and ingredients) is aware of this trend and experiences that it is increasingly difficult to bring innovations to the market through the brand manufacturers.

Innovation

Producers are challenged by their retail buyers to support them in order to differentiate themselves from the competition. Private label plays a strategic role in this process because packaging, formulation, price and assortment can be adjusted to the wishes of the retailer. In order to assist both private label producers and retailers in the innovation process, the supplying industry is looking for opportunities to get in direct contact. However, it is difficult to find the right way because it is not always clear who the players are, how their organization is structured and how decisions are made within it. IPLC is familiar with these problems and sensitivities and offers thorough knowledge on how relationships can be built and maintained. It is essential to learn the right approach from consultants that know how to navigate this potential minefield.

Insight in the Supply Chain

The supply side of private label is not very transparent because the name of the producer is usually not mentioned on the packaging. The spectacular growth of the private label market has not escaped the Supplying industry. Especially at the upper end of the market, retailers have taken over the initiative almost entirely with their innovative private labels. As the owner of the brand, however, the retailer determines the game and this has drastically changed the market in which the supplying industry must operate. Based on a deep knowledge and experience in the industry, IPLC provides transparency and highlights the sensitivities in the private label supply chain. This enables the Supplying industry to determine its strategy and to optimize cooperation with all players in the chain.

Different Business Model

The business model of a private label producer differs fundamentally from that of a brand producer. Private label producers do not communicate with consumers and focus all efforts on building and maintaining long-term relationships with their retail customers. As a result, these relationships are often close and the Supplying industry must be aware of this if direct contact is made with retailers. The risk of bypassing and conflicting interests can lead to unforeseen tensions. IPLC can also offer support here to ensure successful cooperation with both retailers and private label producers and prevent dangerous pitfalls.

Our clients

  • Aako (Netherlands)
  • Cargill (UK)
  • Chep (Germany)
  • Corbion (Netherlands)
  • DSM Food Specialties (Netherlands)
  • Firmenich (Switzerland)
  • Friesland Foods Kievit (Netherlands)
  • Givaudan (Switzerland)
  • Kampffmeyer Mühle (Germany)
  • Kerry Ingredients and Flavours (Ireland)
  • Novozymes (Denmark)
  • Coveris (UK)
  • Quest International (Netherlands)
  • SIG Combiblock (Germany)
  • SmurfitKappa (Benelux)
  • Tetra Pak (Europe)
  • Tredegar Film Products (Netherlands)
Loonsebaan 127
5263 CM Vught
The Netherlands
Tel: +31 (0)73 – 68 43 808
info@iplc-europe.com
VAT: NL822624102.B01
Chamber of commerce:  50065106
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