Redistribution
An emerging trend in the foodservice distribution business is redistribution.
Before the advent of redistribution, only the largest food service distributors could purchase enough products from an individual food manufacturer to fill up an entire truck. Smaller distributors were forced to purchase in less than truckload (LTL) quantities, putting them at a significant logistical disadvantage to the larger distributors.
In the food redistribution model, a redistributor will purchase in truckload quantities from many food manufacturers and warehouse the products. Individual distributors can then purchase multiple manufacturers' products from the redistributor and fill up an entire truck to save on shipping costs. The largest food re distributor in the U.S. is Dot Foods, followed by Sysco.
Read more about this topic: Foodservice Distributor